Okay. We're back at AWS reinforced 2022. My name is Dave Vellante, and this is the cube we're here in Boston, home of lobster and CDA. And we're here, the convention center where the cube got started in 2010, Shariq Qureshi is here the senior manager at Deloitte and two LL P and merit bear is back on the cube. Good to see >>You guys can't keep me away, >>Right? No. Well, we love having you on the cube shark set up your role at, at Deloitte and toosh what do you actually, what's your swim lane, if you will. >>Yeah, sure. You know, I spend, I wear a lot of hats. I spend a lot of time in the assurance, the controls advisory audit type of role. So I spend our time, a lot of time working with our clients to understand, you know, regulatory requirements, compliance requirements, and then controls that they need to have in place in order to address risks, technology risks, and ultimately business risks. >>So I like to put forth premise, you know, when I walk around a show like this and come up with some observations and then I like to share 'em and then people like me. Well, you know, maybe so help me course correct. My epiphany at this event is the cloud is becoming the first line of defense. The CISO at your customers is now the second line of defense. I think audit is maybe the th third line of defense. Do, do you buy that the sort of organizational layered approach? >>No, because in fact, what we're here to talk about today is audit manager, which is integrated, right? Like if you're doing so the whole notion of cloud is that we are taking those bottom layers of the stack, right? So the concrete floors up through layer for the hypervisor, the, the racks and stacks and HVAC and guards and gates up through the hypervisor, right? Our, our proprietary hardware nitro ecosystem, which has security inheritance is okay upon that. We are then virtualized. Right? And so what we're really talking about is the ways that audit looks different today, that you can reason about what you're doing. So you're doing infrastructure as code. You can do securities code, you can do compliances code, and that's the beauty of it. So like for better, or in your case for worse in your analogy, you know, these are integrated, these are woven together and they are an API call >>Seamless. >>It, it is like easy to describe, right? I mean, like you can command line knowledge about your resources. You can also reason about it. So like, this is something that's embedded, for example, an inspector you can do network reachability know whether you have an internet facing endpoint, which is a PCI, you know, requirement, but that'll be dashboarded in your security hub. So there's the cloud is all the stuff we take away that you don't have to deal with. And also all the stuff that we manage on top of it that then you can reason about and augment and, and take action on. >>Okay. So at the same time you can't automate the audit entirely. Right? So, but, but talk about the challenges of, of, of, of automating and auditing cloud environment. >>Yeah. I mean, when I look at cloud, you know, organizations move to take advantage of cloud characteristics and cloud capabilities, right? So elasticity, scalability is one of them. And, you know, for market conditions, business, business outcomes, you know, resources expand and contract. And one of the questions that we often get as an auditor is how do you maintain a control environment for resources that weren't there yesterday, but are there today, or that are, that are no longer there and that are there today. So how do you maintain controls and how do you maintain security consistently uniformly throughout an audit environment? It's not there. So that's a challenge auditors, you know, historically when you look at the on-prem environment, you have servers that are there, it's a physical, it's a physical box. You can touch it and see it. And if it goes down, then, you know, it's still there. You can hug >>It if you're some people >>It's still there. So, but you know, with, you know, with cloud things get torn down that you don't see. So how do you maintain controls? That's, you know, it, one challenges, it >>Sounds like you're describing a CMDB for audit. >>I mean, that's a, that's an outcome of having, you know, getting good controls of having a CMDB to keep track and have an inventory of your assets. >>But the problem with CMDB is they're out of date, like so, so quickly, is it different in the cloud world? >>Yeah, exactly. I mean, yes. And yes, they are outta date. Cuz like anything static will be manual and imprecise, like it's gonna be, did John go calculate, like go count how many servers we have. That's why I was joking about server huggers versus like virtualizing it. So you put out a call and you know, not just whether it exists, but whether it's been patched, whether it's, you know, like there are ways that we can reason about what we've done, permissioning pruning, you know, like, and these, by the way, correspond to audit and compliance requirements. And so yes, we are not like there, it's not a click of a, whatever, a snap of the fingers, right. It takes work to translate between auditors and us. And it also takes work to have customers understand how they can augment the way that they think about compliance. But a lot of this is just the good stuff that they already need to be doing, right? Knowing internet facing endpoints or whatever, you know, like pruning permissioning. And there's a lot of ways that, you know, access analyzer, for example, these are automated reasoning tools that come from our formal reasoning group, automated reason group that's in identity. Like they, computers can reason about things in ways that are more complex, as long as it can be resolved. It's like EEU utility in mathematics. You don't go out and try to count every prime number. We accept the infinitude of primes to be true. If you believe in math, then we can reason about it. >>Okay. So hearing that there's a changing landscape yeah. In compliance shift from a lot of manual work to one that's much more highly automated, maybe not completely integrated and seamless. Right. But, but working in that direction, right. Yeah. Is that right? And maybe you could describe that in a little bit more detail, how that, you know, journey has progressed. >>I mean, just the fact alone that you have, you know, a lot of services, a lot of companies that are out there that are trying to remove the manual component and to automate things, to make things more efficient. So then, you know, developers can develop and we can be more agile and to do the things that, you know, really what the core competencies are of the business to remove those manual, you know, components to take out the human element and there's a growing need for it. You know, like we always look at security as, you know, like a second class citizen, we don't take advantage of, you know, the, you know, the opportunities that we need to, to do to maintain controls. So, you know, there's an opportunity here for us to look at and, and automate compliance, to automate controls and, and to make things, you know, seamless >>As a fun side benefit, you will actually hopefully have improved your actual security and also retain your workforce because people don't wanna be doing manual processes. You know, they wanna be doing stuff that humans are designed for, which is creative thinking, innovation, you know, creating ways to make new pathways instead of just like re walking these roads that a computer can analyze, >>You mentioned audit manager, what is that? I mean, let's give a plug for the product or the service. What's that all about what problems does it solve? Let's get >>Into that. Yeah. I mean, audit manager is a first of its kind service. You're not gonna find this offered through any other hyperscaler it's specifically geared and tailored towards the second line, which is security and compliance and a third line function, which is internal audit. So what is it looking to do and what is it looking to address some of those challenges working in a cloud space working, and if you have a cloud footprint. So for example, you know, most organizations operate in a multi account strategy, right? You don't just have one account, but how do you maintain consistency of controls across all your accounts? Auto manager is a service that can give, you know, kind of that single pane of view that to see across your entire landscape, just like a cartographer has a map to see, you know, the entire view of what he's designing auto managers does the same thing only from a cloud perspective. So there's also other, you know, features and capabilities that auto managers trying to integrate, you know, that presents challenges for those in compliance those in the audit space. So, you know, most companies, organizations they have, you know, not just one framework like SOC two or GDPR, high trust, HIPAA PCI, you know, you can select an industry accepted framework and evaluate your cloud consumption against, you know, an industry accepted framework to see where you stand in terms of your control posture, your security hygiene, >>And that's exclusive to AWS. Is that what you're saying? You won't find that on any other hyper scale >>And you'll find similarities in other products, but you won't find something that's specifically geared towards the second line and third line. There's also other features and capabilities to collect evidence, which is, I don't see that in the marketplace. >>Well, the only reason I ask that is because, you know, you, everybody has multiple clouds and I would love, I would love a, you know, an audit manager that's, that's span that transcends, you know, one cloud, is that possible? Or is that something that is just not feasible because of the, the, the deltas between clouds? >>I mean, anything's possible with the APIs right now, the way that, you know, you have to ingrain in, right. There's, you know, a, a feature that was introduced recently for audit manager was the ability to pull in APIs from third party sources. So now you're not just looking, looking exclusively at one cloud provider, you're looking at your entire digital ecosystem of services, your tools, your SA solutions that you're consuming to get a full, comprehensive picture of your environment. >>So compliance, risk, audit security, they're like cousins that are all sort of hanging out on the same holiday, but, but they're different. Like what help us understand and squint through those different disciplines. >>Yeah. I mean, each of them have, you know, a different role and a hat to wear. So internal audit is more of your independent arm of management working or reporting directly towards, you know, to the audit committee or to the board to give an independent view on company control and posture security and compliance works with management to help design the, that there that are intended to prevent, detect, or even correct, you know, controls, breakdowns, you know, those action, those action verb items that you wanna prevent unauthorized access, or you wanna restrict changes from making its way into production unless it's approved and, and documented and tracked and so on and so forth. So each, you know, these roles they're very similar, but they're also different in terms of what their function is. >>How are customers dealing with regional differences? You mentioned GDPR, different regulations, data sovereignty, what are the global nuances and complexities that, that, that cloud brings. And how are you addressing those? >>Yeah. Merit, I don't know if you had any thoughts on that one. >>I mean, I think that a lot of what, and this will build off of your response to the sort of Venn diagrams of security and risk and compliance and audit. I think, you know, what we're seeing is that folks care about the same stuff. They care about privacy. They care about security. They care about incentivizing best practices. The form that that takes when it's a compliance framework is by definition a little bit static over time. Whereas security tends to be more quickly evolving with standards that are like industry standards. And so I think one of the things that, you know, all these compliance frameworks have in, in mind is to go after those best practices, the forms that they take may take different forms. You know what I mean? And so I, I see them as hopeful in the motivation sense that we are helping entities get the wherewithal, they need to grow up or mature or get even more security minded. I think there are times that they feel a little clunky, but you know, that's just Frank. Yeah. >>It, it, it can audit manager sort of help me solve that problem. Is that the intent? And I see what you're saying, merit, that there security is at a different pace than, than, you know, GDPR, a privacy, you know, person, >>Right. I mean, like security says, we want this outcome. We want to have, you know, data be protected. The compliance may say, it must be this particular encryption standard. You know what I mean? Like the form I see things taking over time will evolve and, and feels dynamic. Whereas I think that sometimes when we think about compliance and it's exactly why we need stuff like audit manager is to like help manage exactly what articulation of that are we getting in this place at this time for this regulated industry? And like almost every customer I have is regulated. If you're doing business, you're probably in PCI, right. >>And there's never just one silver bullet. So security is, is a number of things that you're gonna do, the number of tools that you're gonna have. And it's often the culture in, in what you develop in your people, your process and technology. So auto manager is one of the components of robust strategy on how to address security. >>But it's also one of those things where like, there are very few entities, maybe Deloitte is one that are like built to do compliance. They're built to do manufacturing, automotive hospitality. Yeah. You know, like they're doing some other industry as their industry. Right. And we wanna let them have less lag time as they make sure that they can do that core business. And the point is to enable them to move our, I mean like sure. I think that folks should move to the pod because of security, but you don't have to, you should move because it enables your business. And this is one of the ways in which it just like minimizes, you know, like whatever our tailwinds lagging or push it anyway, it pushes you. Right. I mean, like it minimizes the lag >>Definitely tailwind. So are you suggesting merit that you can inject that industry knowledge and specificity into things like audit manager and, and actually begin to automate that as, and of course Deloitte has, you know, industry expertise char, but, but, but how should we think about that? >>I mean, you're gonna, you're gonna look at your controls comprehensively a across the board. So if you operate in an industry, you're gonna look to see like, what's, what's important for you. What do you have to, you know, be mindful of? So if you have data residency concerns, you wanna make sure that you've tailored your controls based on the risks that you're addressing. So if there's a framework >>And remember that you can go in the console and choose what region you're, you know, like we never remove your data from your region that you have chosen, you know, like this is, there's an intentionality and an ability to do this with a click of a mouse or with an API call that's, you know, or with a cloud formation template. That's like, there is a deliberateness there. There's not just like best wishes. >>You know, >>ESG is in scope. I presume, you know, helping the CISO become more green, more diverse. Increasingly you're seeing ESG reports come out from major organizations. I presume that's part of the compliance, but maybe not, maybe it hasn't seeped in yet. Are you seeing >>For that? I think it's still a new service auto manager. It's still, you know, being developed, but, you know, continuous feedback to make sure that, you know, we're covering a, a broad range of services and, and, and those considerations are definitely in the scope. Yeah. >>I mean, are you hearing more of that from >>Clients? So, I mean, we have an internal commitment to sustainability, right. That has been very publicly announced and that I'm passionate about. We also have some other native tools that probably, you know, are worth mentioning here, like security hub that does, you know, CIS benchmarking and other things like that are traffic lighted in their dashboard. You know, like there are ways a lot of this is going to be the ways that we can take what might have been like an ugly ETL process and instead take the managed ness on top of it and, and consume that and allow your CISO to make high velocity decision, high velocity, high quality decisions. >>What's the relationship between your two firms? How do you work >>To I'm like we just met. >>Yeah. I sense that, so is it, is it, how do you integrate, I guess is >>A question. Yeah. I mean, I mean, from the audit perspective, our perspective, working with clients and understanding, you know, their requirements and then bringing the service audit manager from the technical aspect and how we can work together. So we have a few use cases, one we've working with the tech company who wanted to evaluate, you know, production workload that had content, you know, critical client information, client data. So they needed to create custom controls. We were working with them to create custom controls, which auto manager would evaluate their environment, which would, you know, there's a reporting aspect of it, which was used to, you know, to present to senior leadership. So we were working together with AWS and on helping craft what those custom controls were in implement at the customer. >>Yeah. I mean, among other things, delight can help augment workforce. It can help folks interpret their results when they get outputs and act upon them and understand industry standards for responsiveness there. I mean, mean like it's a way to augment your approach by, you know, bringing in someone who's done this before. >>Yeah. Cool, cool. Collaboration on a topic that's generally considered, sorry. Don't, don't hate me for saying this boring, but really important. And the fact that you're automating again makes it a lot more interesting guys. Excellent. Thanks for your sharp first time on the cube. Thank you. Absolutely on, appreciate it. Rapidly. Becoming a VIP. Thanks. Coming on. Hey, I'll take it. All right. Keep it right there. Thank you. This is Dave ante for the cube. You're watching our coverage of AWS reinforce 2022 from Boston. We'll be right back.

>>Okay, welcome back to the cubes coverage of Del tech world. I'm john for your host of the cube we're here for virtual coverage were not yet face to face as we start to come out of covert, we're still doing the remote but we got the cube virtual. We're here with Dennis Hoffman, senior Vice President, General Manager for the telecom Systems business group within Dell Technologies dead. It's great to see you. Thanks for coming in CUba alumni. Thanks for coming on. >>My pleasure, john great to see you and look forward to the days when we can stop doing this virtually. >>Well, you guys have been certainly pumping out a lot of content and right now telco cloud telco disruption is big. We heard Michael Dell last event and even when we were in person in real life, we he was really laying down the five G leadership now with hybrid cloud, um, standardized, pretty much I mean, consensus is no, no debate really. It's hybrid multi cloud on the horizon. That's still just a subsystem of basically distributed computing A. K. A hybrid cloud makes the edge a huge part of the story this year. And the innovations all around telecom, Edge in five G have been around and they're changing really fast. What's how are these Edge in five G technologies impacting the market today? >>Yeah, it's uh is fascinating times, I'll tell you they are providing really the ultimate carrots, you know, the catalyst for um innovation in the market and really driving the world's network operators To uh want to take advantage of all the opportunity that the edge presents and that 5G enables. And it's, you know, at the end of the day, it's really forcing folks to think hard about if they have the right network architectures to enable that to capture that opportunity to have the right kind of capabilities. And so we're seeing an awful lot of interest in network desegregation, network modernization, various forms of adopting the technology is you and I are familiar with from years of what's going on in data center evolution are really starting to hit the telco network now at a really, really interesting time >>while we're on the landscape. Do you want to get your opinion on something? I've been hearing a lot, certainly in interviewing other folks here at Dell tech world and in the industry about how the edge and the data compute equation and the connectivity has changed how they're going to lay out essentially their factory, their plants, their operations and certainly covid pushing everyone at home has changed the game on how data is being computed on and how apps are being built. This is a huge five G opportunity certainly when you start to get into the business impact, autonomous vehicles, I've been doing stories about autonomous boats and everything we could have an autonomous cube soon. So, you know, everything is autonomous which drives to this whole edge piece, What's your take on that? >>Yeah, you know, it's, it's funny for years we've been talking about on prem and off prem, like there's two problems there turns out there's a third Prem, right? There is the other premises and that is not the private data center and not the public cloud. And when you stop and think about it, it it makes sense because at the end of the day, wherever we can get data, we can create digital advantage and it's always been cheaper and more effective and faster to move compute to data than to move data to compute. So technology is like 5G are beginning to make it possible to run very interesting applications in very different places and capture what is predicted to be some 3/4 of the data created over the next decade is going to get created somewhere other than a private data center or a public cloud. And that's the edge, you know, in telcos, look at that third premises as their opportunity to get another bite of the apple on services. Four G was kind of a story of the over the top. Players really took the profit pool and made a lot of money from the over to the netflix is to the itunes and so on and so forth. But when you come back to Five G and think of it kind of as the Enterprise G, it's a chance now for the world's network operators to really get a chunk of that profit pool that comes from the emergence of this third premises called the edge >>Enterprise G. I love that, I'm gonna steal that from you. It's a great, great uh >>somebody else >>uh Yeah, the new trend, but it's a business, it's a business opportunity again, totally cool. And consumers to um okay, so you got your out on the road a lot. I know that we've talked in the past on the cube. There's a lot of discussions in the industry, as well as customers that you're having. What are you hearing? What are the some of the pain points are, see Covid has unveiled unveiled new use cases, people had had adapted to it. There's adaptations that are out there that are new and then things that might not happen again. What are you hearing from customers? >>Yeah, I would say in summary, we're hearing a mix of optimism and uncertainty, optimism around all the stuff we just talked about and that you mentioned, you know, it's it's a blank from anywhere. World right work from anywhere, learn from anywhere. Medicine from anywhere. And you know, if the pandemic has taught us anything, it's about the absolute necessity of communications technology to the world we live in today. The uncertainty comes from this question of, okay, so I know that there's this big opportunity and I know that I need to modernize my network architecture and kind of change the way I operate to capture it all. But the architecture is I run on today, make that really hard. And the architecture is that that the modern data center is built on, We know they work. But how do I get them in a way that allows me to build a resilient, high performance agile communications network. Um, you know, today we uh we face a world in which we see, we have a world in which solutions are delivered very fairly monolithically in the network uh for network operators but going forward, the power to potentially decompose all of that is wonderful provided it can be recomposed in a way they can consume. And I think that's where the uncertainty lies. There's a lot of testing and trialing of pieces of applications of underlying hardware, infrastructure, servers, accelerators, um certainly different types of virtualization and container ization technologies. But in the end these networks need to run it many many many nines um and they need to be extremely robust and pulling together a lot of different components from the open ecosystem is a daunting challenge for most of the network operators. >>You know, I hear you saying about the opportunity recognition and the re factoring how we called re composing this opportunity here and again. I like this enterprise G angle because what it means is that it's not the consumer the only it's it's everything. It's a complete consumer ization of I. T. So it's a whole another edge landscape. Prem third, the third premise is the edge. All good. I've always so set on the cube and certainly Dave and I have David and I have riffed on this is that you know, everything is now cloud operations and the data center is a big edge and then you've got other pieces that are just edges. A distributed system kind of sounds like a computer in the cloud. So this is kind of operating model. So I have to ask the question which is in telco, if it's gonna be distributed like that and it's going to be operated at scale, how is Dell responding to capture the mind share and customers using Dell in this new telco disruption? Because it's kind of you got to keep the lights on and you gotta also get them in a position to take advantage of the new opportunity. How are you responding? >>Yeah, Well, we're trying to we're literally trying to fill that gap, you know, the talking to the world's uh modern or say the world's telecom network operations leaders. We've uh we've had a lot of conversations with folks about what they need to do and what's holding them back from really in many ways taking advantage of the digital transformation that that's kind of rippling through the economy. And as they kind of laid that out to us, we decided that it was an enormous opportunity for Dell that this this uh you know, this new network will be fundamentally built on computer technology uh and it will be open industry standard computer technology. And on top of that we will use virtualization. And if this begins to sound like the way data centers are being built, because that's exactly what's happening. But more than that, I think there's a need for an at scale substantial provider that the world's biggest carriers can bet on and feel they can trust as a strategic partner to not only pull the ecosystem together, validated, certified, curated a little bit uh, and deliver it as an outcome, but then stand behind it running and importantly, do all of that in a way that doesn't constrain the continuous innovation. That's really the hallmark of some of these modern architecture. So for us, we see, you know, an opportunity that is literally perfectly built for a company like dealt and that's why we decided to invest in it. That's why you hear Michael talking about it a lot. Uh it's um, you know, it's it's really super well aligned with our strategy, we think it's actually key to winning the edge. Uh and and it's also really well aligned with our purpose, you know what this company exists to accelerate human progress through technology. And this little slice of it is all about accelerating communications and the transformation of modern networks to do exactly that right, To help close the digital divide, to bring fair and equitable medicine and learning to all, um and to allow us all to work from wherever we're working. So it's uh it's something that we're excited about on multiple levels and we think the company is really built for the distributed computing environment that a modern telco network represents. >>Yeah, what's interesting is that the value that you guys can enable at the edge, his real impact, It's not just data center and compute and have applications. Remember the old days I got my crm in my E. R. P and I got my apps on my systems and it's all good now. Business is completely software enables, it's the entire business and the business is software naval, which means that you have to have that edge. So I totally love of the positioning and strategy. I have to ask you if you don't mind, where is the residents with customers when you look at the telco enablement there that you're enabling them to do what's resonating the most, what's jumping out from the telescopes in terms of what Dell's doing for them And the customers, you mentioned tele medicine, which by the way, is an amazing impact to the world. Just one example. But where's the residence? >>Yeah. You know, first we we are what we are. Right. So it's, I think with a lot of conversations, it begins with, um, the telecommunications network needs server technology, but it needs very specific kinds of server technology built in very specific ways. Um, the, you know, the needs of compute at the base of a cell tower on a hill in Montana in the middle of winter are different than we've been building for data centers for years. So I think the first thing that resonates it, I need it, I need a very specific kind of open compute, uh, infrastructure hardware foundation that is industry standard. And, and we turn to somebody like Delta do do exactly that. But what we've learned is there's so much more than that because really we need to begin to deliver outcomes on top of that foundation. Uh, First outcome, we need to deliver his modern operations and maintenance of a distributed network. Zero touch provisioning, zero touch upgrading. How can we impact the total cost of maintenance and ownership in a meaningful way, um, for a network that is in fact constructed out of a fabric of server. On top of that there's the actual network core network services, Edge, the radio access network. And how do we successively open up each section of the network, driving computing storage all the way to the edge? Because for many organizations in the world, many enterprises, their edge will actually be on the telco premises. Right. The telco edge will be their edge. Some of the bigger companies certainly can build their own. But as you get in the world of medium and small business, the person they buy their circuits from and their communications from. If they have the ability to deliver them private slices of networks and virtual compute and storage, that's going to be how they get after it. So you know for us that next piece that resonates is the ability to pull together solutions like we've been doing for years with the ex rail hyper converged the stuff we did with the C. E. Back in the day and then last >>I'm just saying that you know you're bringing up things that kind of sound. It's super complex physical plant and equipment. You're talking about real hard and purpose built devices in the past very operational technology oriented stuff and then that has to have I. T. Agility right? And then have scalability behind it and complete you know integration this is not obvious and easy. It's hard. >>Yeah. No I mean software doesn't run on software right? Software runs on hardware and so as much as a lot of the power and the interest comes from what the application can do underlying it all is a capability to distribute, compute and storage to where the application or the software wants to run or runs best. That's what's really cool about five G is its ability to do the stuff you mentioned earlier on, you know, the, the G Wiz stuff, drones and autonomous and a AR and VR and all the things that ultra reliable, low latency communication would make possible on a grand scale that really bring the machines into the picture, not just humans on the edge. It's the stuff, right? That that's on the edge and we've been talking about it for a long time, but none of it's gonna matter if we don't put this infrastructure foundation in place. Then we got to lay an open marketplace of containerized network functions. Virtualized network functions on top of that all to enable our network operators to deliver interesting services to end users. It's >>super exciting. I got to say that it's a super exciting because you know, it's coming it's like the energies there, it's like the, you know, the storm's coming of disruption in the innovation because you think about what containers and cloud native kubernetes the cloud native technologies can do for legacy because its shelf life and more headroom, right? So you can you can win these telcos can actually not only pivot but line extension into new capabilities. So they tend to be very strong technically is an operator, operator networks, the hard tech stuff, physical stuff and software but not known for it. I mean but now there's a huge opportunity that's gonna come around the corner. I'm bullish on Iot and edge where you have the O. T. And I. T. Coming together. It's really compelling And it's going to be radically different I think in the next 5 to 10 years what's your take on that in terms of outlook? >>Couldn't agree more. Yeah I mean it's you know it's for those of us are in the industry always the knowledge of what's coming or the belief in what's coming. The hype precedes the actual development. But you know just as I don't know 15 20 years ago the idea that you can completely disrupt the taxi industry with an app and a four G smartphone service was in nobody's mind except maybe a couple of people. You >>know it >>makes you wonder what is the what is the uber equivalent of a business service that will be fundamentally enabled by the architecture we just described that we're not thinking about right now and that's why every time we move from a centralized computing model to a decentralized computing models that decentralized computing models dramatically larger than a centralized, >>way >>bigger than mainframe. Edge, way bigger than client server, which is already way bigger than cloud, Public. Cloud. And so I think it's, you know, there's a, there's a lot of promise, a lot of excitement. Still a long way to go though. A lot of the stuff we're talking about still is not actually rolled out into the network. Um and that's kind of the opportunity for somebody like them. >>Yeah. And decentralized and open winds. It's funny you mentioned high, we were talking David was just talking with Michael Dell and Pat Gelsinger in 2013. We're talking hybrid cloud, that's 78 years ago. Okay, so good stuff. Let's get into the news real quick. Um Deltek World, you've got some news coming. Uh Let's dig into it. Please share some of the outlook of the news. You're gonna be you're you're announcing here? >>Yeah, thanks. Sure, john, I mean, we're gonna be announcing two things relative to the telecom portfolio. Uh and they're both reference architectures with VM ware. One is the second edition of the telco cloud platform for five G. Um, so that's a Delvian where reference architecture, that is exactly what we just talked about. It's this open software defined on industry standard hardware platform, um for running 5G applications. And then the other one is the first version of the telco cloud platform for the radio access network, TCP ran as we would call it. Um and as we start to push this technology from the core out towards the edge of the telecom network. So to really interesting developments in in deep partnership with VM ware and stuff, we've been working on for a while stuff, we are in fact working on with customers and delivering today and we'll be making formal announcements about those at the D T W show. >>Awesome. Dennis, thanks for coming on the Cuban, sharing the update and thanks for the industry insight. Uh, I love the telco shift that's going on. It's an extension of existing, I think cloud native saves the day here with telco and allows the completely different landscape to evolve. So you guys were on top of it. Thanks for sharing S VP and general manager, the telecom systems business with Dell Dennis. Hoffman. Thanks for coming on. >>Thanks john Okay >>cube coverage here. Del Tech world. I'm john for a year. Thanks for watching. Yeah.

(upbeat music) >> In 1946, the acerbic manager of the Dodgers, Leo the Lip Durocher famously said of baseball, great Mel Ott who was player manager of the Giants at the time. You know what happens to nice guys. They finished in last place. The phrase nice guys finish last was born. It became popular outside of baseball. Well joining me today is someone who was a consummate gentlemen and a nice guy who proves that idiom absolutely isn't true at all. He's also written a new book "Play nice and Win" Michael Dell chairman and CEO of Dell technologies, welcome back to the CUBE. >> Thank you very much, Dave, always great to be with you. Wonderful to be on the CUBE and thanks for your great coverage of Dell technologies world. >> Yeah. We're very excited to be covering the virtual version this year, next year we're back face to face I'm Sure. And we're going to talk about your book but I want to start by asking you to comment on the past 12 months, how are you going to remember 2020? >> I'm going to remember it by the resiliency of the world and our team, the adaptability the acceleration of digital transformation which is pretty amazing around the world. The vital role that technology played in addressing some of the biggest challenges, whether it was the creation of vaccines or, you know, decoding the virus itself or just addressing all the challenges that the world had. You know, I think it's a game changer in terms of disease identification and how we prevent these kinds of things going forward. You know, there's still a long way to go in terms of how do we get 7.5 billion people vaccinated and safe. I also think it exposed, you know some of the fault lines in our society. And that's a great learning for all of us in terms of access to healthcare and education and, you know, the digital resources that power the world. And so, yeah, those are some of the things that really stand out for me. >> Well, I mean, I think leaders like yourself and position of influence, absolutely passionate about some of those changes that we see coming in society. So hopefully we'll have time to talk about that but I wanted to get into the business. I think a lot of people, myself included felt that 2020 was going to be a down year for big tech companies like yours and that relied heavily on selling products that data centers and central offices but the remote work trend and the laptop, boom offset, some of those on-prem softness and headwinds combined with VMware the financial performance of Dell technologies was actually quite amazing. Why were you able to do so well last year? >> Well, first of all, you're right. We did, we had record pretty much everything record revenues, record operating income, record cashflow and be also paid down a record amount of debt. And so I think the strength and resiliency of our supply chain, as well as the broad diversified nature of what we provide our customers continue to serve us very well as they moved to this sort of do anything from anywhere in the world. And it continues the first part of this year, business is very strong >> You know, a few weeks ago, of course you officially announced the spinoff of Dell technologies. Wasn't a huge surprise but the 81% equity ownership of VMware are you worried about untethering VMware from Dell or maybe you can share more on what this means for the future of, your two companies and your customers. >> Right? So, I think this will drive additional growth opportunities for both Dell Tech and VMware, while it unlocks a lot of value for our stakeholders. What we've done is to formalize the commercial relationship into a series of agreements and those are unique and differentiated and they provide lots of flexibility and we've driven a tremendous amount of innovation together and that's going to continue and it will, one of the things we said back in 2015 you'll remember is our commitment to keep the VMware ecosystem open and independent and working across the whole industry. We've done that. You'll continue to see us innovate together with Edge solutions, certainly all the great work we've done with VxRail SD LAN, you know Tanzu creates this platform to modernize applications and VMware Cloud and Dell technologies are the easy path to a multi-cloud architecture. And, that continues to work super well and is not going to be slowed down at all. So... and of course, I'll continue to be a chairman of both companies and we're not selling VMware we're distributing our ownership to our shareholders. >> Well, of course, Dell is the largest sort channel if you will, for VMware. So that's ... you guys got a tight relationship but I want to ask you about digital transformation and everybody talked about it pre COVID but nobody really knew exactly what it was but COVID sort of brought that into focus very quickly. If you weren't a digital business, you were out of business. So going forward, how do you see that whole digital transformation playing out? >> You know I think the plot of any company is to figure out how it can use its data and turn that into insights and outcomes and better results and ultimately competitive advantage faster. And as you said, you know, if it's not able to do that, it's probably going to go out of business. And that agenda just got massively accelerated because it was kind of digital was sort of the only thing that worked during this, this past period. So every organization has figured out that technology is not the IT department, it's actually the fulcrum of progress in the entire company. And so we're seeing sort of across the board a dramatic acceleration in the investment in digital technologies, you know, Edge is growing very fast. I think 5G just accelerates this and, you know you're seeing it in all the demand trends. It's quite positive and, you know, I think you'll see even a more rapid separation from those companies that are able to take advantage of this and quickly adjust their businesses their organizations, and those that are >> You better hop on board or get left behind, you know, the Edge. You mentioned the Edge it's a little bit like digital transformation, you know kind of pre COVID and even post COVID. It means a lot of things to a lot of different people but the telecoms transformation and 5G they have there certainly real. How do you see the Edge? >> You know, the Edges is ... think of it as actually the real world, right? It's, not a data center sitting in the center of the universe somewhere. And look today, you know only 10% of data is processed outside of the data center, but, you know, it's estimated by 2025 you got 75% of enterprise data will be processed outside of a traditional data center or a Cloud. And so as everything becomes intelligent connected 5G accelerates that it's going to be a huge acceleration of this whole process of digital transformation. And you know, again, think about this. I mean, the cost of making something intelligent used to be really expensive. Now it's asymptotically approaching zero. And of course all those things are connected. They're talking to each other and exactly what does this mean for every industry. Nobody's really quite sure and not everything is going to work, but, you know we're seeing it in manufacturing, in retail, in healthcare and the growth on the Edge is really accelerating in a meaningful way. And it's not so much about, you know people talking people with machines, we know how to do that. Now it's about the thing right And, you know you've got like 200 billion arm processors, you know out there in the last couple of years, all those things talking to the other things, generating data it happens in the real world. That's what the Edge is. >> Yeah as you know, we're a big fans of the arm model. And I think it just presents huge opportunities for companies like Dell. I want to ask you about Cloud. And I have to say, I think, you know companies like Dell have been maybe a little bit defensive over the last several years when it comes to Cloud but I think you starting to see the Cloud as a gift with all that CAPEX that's being built out by these hyperscalers. You know, thank you. It seems to me, you can build on top of that. How are you thinking about the Cloud as an opportunity for you and your customers especially as the definition of Cloud evolves? >> Well, first, you know, what we see is and the Edge is kind of the third place or the third premise, right? You got Clouds in the public form, you've got the Colo which is really growing fast and, you know the private hybrid Clouds, and now you've got the Edge. And so you've got infrastructure all over the place with Edge being the fastest growing. You know, one of the big things we see is that customers want a consistent way to operate and execute across that whole platform. And, you know, one of the other things that we've been focused on at Dell technologies is how can we move our business to more of a service and subscription on demand and provide customers that flexibility to to pay as they consume. And so, to some extent this is an evolution of, you know, products to services to managed services, to everything as a service. And so, you know, looking at our balance sheet you'll see over $40 billion in remaining performance obligations as we moved the business to that kind of model and it's been growing double digits for several quarters in a row. And so, you know, we're embracing Cloud and on-demand, and as a service, and obviously here at Dell technologies world we're talking a lot about Apex and our continuing initiatives to move our whole business in that direction. >> Yeah. Apex is a real accelerator for that model. I want to switch topics a little bit. I got a long list of things I want to talk about ESG, sustainability, inclusion, you know, is another topic that, that I'm interested in. I want it. And I said before, people like yourself in a position of influence to influence public policy and obviously the employees and your ecosystem why is it not just the right thing to do? Why is... why are those things good business, Michael? >> Well, it's good business because people want to be part of something that is important and purposeful. You know, it's not just make a profit and earn a living right? You know, people want to be inspired and feel that they're part of something special. And look, I think if you look at the positive changes that have occurred in the world certainly you could turn on the news and see the horrible things that happened in the last 24 hours or something like that. But if you step back and think about the amazing progress that's happened in the last several decades, you know a lot of it's been driven by technology and by businesses that have stepped up and made a difference and made commitments. And, you know, we're one of those companies that has made a series of commitments you know, 10 years ago, we set out with our 2020 goals. We accomplished significant majority of those retired those. Now we set out our progress made real 2030 goals all around the ESD themes. And it's not only the right thing to do but it is good for business. It inspires our team members, our customers and I think initiatives like progress made real at Dell and thousands of other companies. Ultimately, those are the things that are going to drive progress forward. I believe, you know, more so than government edicts or regulation, those can play a role. But I think, companies voluntarily driving things like the circular economy and how we include everyone in our business and provide opportunities for everyone to succeed no matter where they come from. I think those are the things that are really going to drive the world forward. >> Well, I want to ask you about public policy because as you say, it's not just the government, but of course sometimes the government can get in the way. You're seeing a lot of vitriol around Val break up big tech but the same time, you're seeing the US government and the EU very willing to help out with the semiconductor competitiveness in the like I know you were tapped with the new administration President Biden, tapping, you know, the best minds in tech and you were asked to part sort of participate give feedback. What can you tell us about, you know your advice to the US government? >> Well, you know, lots of great discussion with the new administration and it's a delight to see that they're focused on semiconductors and sort of the industries of the future. This is a big deal. I mean, you know, we've got some big global competitors out there other nations that are with a deterministic strategy very focused on the industries of the future. But US, you know if you think about the atomic age and, you know the Apollo missions that created the whole semiconductor industry ARPANET and ultimately the Internet and that kind of stopped right there, you know, there wasn't as much government investment in some of those big R and D initiatives that really drove an enormous creation of industries and success for the United States and its citizens. And so I think focusing on semiconductors and how you build the infrastructure of the future really important for the United States to continue to be a leader in that you know, we were, you know, producing a one point about 37% of the world's semiconductors. It's now down to 12% and dropping and really important that more investments are made in that area. It's a combination of capital, talent, you know education knowledge, and also, you know, the policies that promote the development of these kinds of businesses. >> Yah well, Pat's got a very big challenge ahead of them. And so that's why but we've said Intel's too strategic to fail in our view but I wanted to plug your book a little bit. My former boss, you and I have talked about this. He was also a gentleman who proved Leo Durocher wrong. He was very nice guy, but also a winner, Play Nice But Win, why did you decide to write another book? >> Well, you know, Dave, a lot has happened in the last 20 years and especially the last nine or so years since we went private and, you know merged with EMC and VMware and went public again. And, you know, I'd say we... first of all, you know when I wrote the first book in 1998 I wasn't comfortable disclosing a lot. And, and I wasn't vulnerable enough and didn't feel, you know, able to do that. Now I do, you know, I'm older, you know hopefully a little wiser. And so I think everybody's going to like hearing some of the fun stories about not only my childhood but you know, the dorm room and beyond, and leading up to, you know the pivotal changes that have occurred the last decade my alligator wrestling with Carl Icahn and other, you know there's lots of fun stories in there. I got arrested one time. It was only for speeding tickets, don't worry but you know, lots of fun. I'm really looking forward to the book coming out and being able to talk about it. >> I can't wait. You know, I've said many times anybody who could beat the great icon is interesting to me. I wanted to ask you, I mentioned my old boss, Pat McGovern. I used to say to them all the time, "Pat how come you don't buy more companies?" And he'd say," Dave, you know the vast majority of acquisitions and mergers they failed to meet their objectives." Did you ever imagine, I mean... I did the EMC acquisition. Did... how could it not have exceeded your expectations? I wonder if you could give us your final thoughts on that. >> You know, and I talk about this a lot in the book. I mean, these are kind of the ultimate considered decisions. And in the case of the EMC combination it was something that we had thought about going back to 2008, 2009. And then, you know, started thinking about it in 2014 worked on it for a full year before it got announced in 2015 and finally closed in 2016. But yeah, I mean, you know, we thought it would be great. It turned out to be even better than We thought the revenue synergies were far greater. The teams were quite energized. Customers liked what we were providing and you know it's ... and, of course the markets were supportive Right? You know, we were paying close attention to interest rates and how we could structure the merger in a attractive way. And, you know, thank goodness, lots of hard work lots of determination, you know, it's worked out quite well. >> Yeah, great commitment from the Dell team as well. Congratulations on that. Go ahead, please. >> And any adventure continues right? It's...( both chuckles) >> I can't wait to see the next chapter and I can't wait to get the book, but congratulations on that, all your tremendous success you're you are a winner and a gentleman and a friend of the CUBE, Michael Dell. Thanks so much. >> Thank you so much Dave. >> And thank you for watching. And this is the CUBE continuous coverage of Dell tech world 2021, the virtual edition. Keep it right there, right back. (upbeat music)

(soft music) >> Narrator: From theCUBE studios in Palo Alto in Boston, connecting with thought leaders all around the world, this is theCUBE conversation. >> Hi, I'm Stu Miniman. And we're digging in with VMware with the latest update of the VMware cloud, on AWS definitely technology solution set that the ecosystem has been very interesting into. And to help us do that deep dive happy to welcome back to the program, Kit Colbert. He is the Vice President and CTO of the cloud platform business unit with VMware. Kit, thanks so much for joining us. >> Thanks for having me Stu. >> All right, so you brought along some slides said if people want to watch we've done an executive interview to give kind of the general business update, but when it comes to the technology, you know I guess we start with VMware, Amazon partnership is a deep integration we've heard both from Andy Jassy and for Pat Gelsinger, on how much engineering work and how critically important it is. Anybody from the technical side understand that one of the interesting things in cloud is that Amazon created bare metal instances to support this solution. So one of the items here is that there is a new bare metal instance. So why don't you bring us inside, you know What the updates are and what this means to the user base? >> Yeah, absolutely. Yeah so the bare metal support is something that we worked very closely with AWS on when we were first launching VMware cloud on AWS. And the idea there was that bare metal support is that it very similarly models, EC2 virtual machines, in the sense of each of these Vms VM types or instance types, as they say, are various kinds of T short sizes, right? And so they have a lot of these different instance types. And so similarly speaking, on the bare metal side, we're also seeing a lot of different instance types there. So we started out with an i3.metal instance, and we added an r5.metal instance and now we're really excited to add what we're we're calling i3en.metal. And so lets bring about slide to talk more about all the new capabilities there with i3en. You know, we have found when we talk to customers is that they love the simplicity of the hyper converged model that i3 brings. What they said was, hey, we've got a lot of workloads that are storage capacity battle. And so that meant that, you know they had the issue there is workloads, they use some amount usually a good amount of CPU memory, but they have a lot of storage capacity requirements. What that meant with i3, is they had to get a lot of these i3 hosts to get enough storage capacity to support those workloads. And obviously, they have some extra compute capacity lying around. And so you know what we've done here with i3en, is dramatically increase the amount of storage capacity. So we can see here, what is it about 45 terabytes or so so much, much larger than what you can get about four x larger than we can get on i3en. metal today. So this is again, very targeted to those very large workloads that needed beefy underlying server and, just trying to better align the customer needs and workload needs with the underlying physical capabilities. And so this is just going to be one of many that we'll bring out. We've got, a whole pipeline of these actually. And, you know, again, you can imagine all the different types of VM instance types, right? There's GPU ones, there's FPGA based ones, you know, so there's all sorts of different shapes and sizes. And, you know as we get more and more feedback from customers, as they're running more and more applications, we'll get more and more of these instance types out there as well. >> Yeah, it's really interesting Kit it give, it gives me flashbacks. I'm thinking back to your 10 or even 15 years ago, when you talked in the early days of, did I just deploy VMware on the servers I had? Or did I buy servers that had the configuration, so I could optimize and take advantage of the feature functionality that's needed? All right, when I heard some of the things you talked about there, about the, you know, being able to use certain workloads and the like, one of the feedbacks I've gotten from users is, you know, the overall price of this, let's just say it's not the least expensive solution to start with. So, so, what, what are, what are some of the new entry level options that you have with the VMC on AWS? How does this update help? >> Yeah, yeah, first of all on the price side what we have found is that this is actually extremely price efficient price competitive. if you're able to utilize all the underlying physical and variable capacity. But you know, as you just mentioned, Stu, you know, the default configuration is three nodes of those i3 hosts, and that those three hosts aren't small either, right? They're pretty beefy and if you just want to get started, just try something small. Well, today, we do have actually a OneNote instance. But that OneNote instance, is just a temporary is kind of a testbed, if you will a proof of concept type of environment. It's not a long term, long running a production environment. And so customers kind of have this OneNote on the one hand or three notes on other and, you know, obviously they're saying, "Hey, why can't we just start with two nodes, "make it super simple, "reduce that price point again "for a very small footprint deployment, "and then allow us to scale up." So we bring up the next slide, what you can see is that that's exactly what we've done here as well, supporting two nodes now. And the idea here is this is a full production environment. You get all the great VMware technology, you can do motion stuff, HA, you get availability, and so forth, stores policies, as you see here. So again, this is meant to be a long lived, fully supported production environment that can also scale up if need be, right? You might start out with two nodes, but then find, "Hey, I want to add three or four or more." And you can certainly fully do that and fully support that. So again, this is just giving customers more optionality, more flexibility for where they want to to come in. What we've been doing thus far is talking with a lot of customers that had, you know, pretty large footprints and saying, "Hey, I want to move a good chunk of my data center, "or I've got a lot of workloads I want to burst." And of those cases, three or more nodes made a lot of sense. What we're finding now is that a lot of customers do want that flexibility to start smaller, just with two nodes really simple, kind of put their toe in the water, if you will and get a feel for the service and then expand from there. >> Yeah, okay, Kit, one, one quick follow up on this, you mentioned that if customers are maximizing, you know, leveraging the full environment they I have there, it's very cost competitive. You know, how are we hearing from data from from customers? What is their, their growth pattern? Are they getting good utilization? Do, do they have a good feel for, how to manage that economics in the AWS space, a lot of talk about things like FinOps these days, and how to make sure that the technical group and the Financial Group are working close together. >> Yeah, such a great question, actually. And the whole notion of the economics around this is a huge focus area for us. We have a whole Cloud Economics group, as a matter of fact, that we frequently bring in to talk with customers to help them think through all these different things. There's, there's a number of different considerations there. You know, a lot of look from, going from on-prem into the Cloud to the VMC on AWS. And, you know, with VMC on AWS, our prices are just public cloud in general, it's very easy to understand the price 'cause it's right up front, you're getting charged, right? On Premise a bit more difficult to understand that you've got a lot of capital expenses, you got a lot of other sort of operational expenses, you know, power electricity, people, and how do you, how do you make all the right computations there? So we have whole teams to help people think through that. But usually, what we have found is that price is not the main thing, right? Price is kind of a secondary or tertiary type of consideration. The main thing is always one of our primary use cases, it's like, man, I need to get out of my data centers, or my data center is that capacity, I want to keep it but I really need to be able to burst to the cloud, maybe some sort of test dev* like test in the cloud and production on pram or vice versa. Those are the key use cases that bring customers in, and then it's really a question of, okay, now that you know, you want to do this, how do we do this as effectively, efficiently from a cost perspective as well as possible, right? And that's where that sort of economic discussion starts to happen. And then you get into more of the details like, okay, which kind of instance type do I want? What are the cost metrics of that? Can I actually fill it to capacity? That's where we start getting into those more specific situations for each customer. >> Excellent, we have that. That really tees up for me kit, when, when I think about the, you know early customers that I've talked to that are using VMC on AWS, they tend to be your enterprise customers, they're big VMware customers, they've enterprise license agreements, and the like. VMware has got a strong history working across the board. And you talk about Cloud in previous solutions. You've had close partnerships with the, with the managed service providers. >> Yeah. >> So my understanding is you're actually looking to help connect between what you've done with a managed service project in the past and this VMware on AWS solution. So bring us inside, you know this, this, this option >> Sure. Yeah, let me let me break it down for you 'cause we do work with a lot of partners. You know, obviously from VMware, its inception partners have been, you know, core to our strategy and core to our success, right? What we've actually been doing, actually somewhat kind of quietly over the past 15 years anyway, isn't really building out, what we call our VMware Cloud Provider Partner Program, and the VCPP program. And, you know, the idea there is that we do have a lot of these managed service providers that can take our software and run it on behalf of their customers, essentially, delivering our software as a service to their customers. And that's been great. We've seen a lot of success stories there. And we have about 4200 of these folks now, like a tremendous amount spread all around the world, all sorts of different geographies, and also all sorts of different industry verticals. And so you see a lot of these folks getting really specific, you know, let's say to the finance, vertical, you know, in and around Wall Street, running all sorts of great services for the financial services firms. Well, these folks are looking to evolve as well and what they're saying and seeing is like, hey, you know, just this basic idea of running infrastructure. Well, I can do that. But it doesn't necessarily differentiate me right? I need to move up the stack and start offering more services, and really trying to be a very, you know, sort of boutique and targeted solution for their customers. And so a lot of these customers, you know, obviously want to run on VMC on AWS. And so what we've been doing is enabling these partners to, you know, sell through essentially VMC on AWS that to sell these servers to their customers. But one of the challenges there is that they're only able to sell the full sort of bare-metal server, they weren't able to break that up or split that across customers as they can do today within their own environments. In fact, today, within their environments, they use something called VMware Cloud Director. And this is software that we give them. And you know, it's really nice that you can take a vSphere environment, software-defined data center and break it apart or kind of carve it up, if you will, into multiple smaller tenants, then, the, you know, each of these customers can, can take part of. And so but we didn't have that functionality for VMware Cloud on AWS. And so that's for the announcements all about, so let's pull up the slide to talk about that. The basic idea here is we can now enable the same software defined data centers that are running inside of AWS as part of VMware Cloud on AWS to be accessed by VMware Cloud Director. And so what we've done is actually made, we call it VCD, for short made VCD, a service that we now operate, and it runs there alongside VMC on AWS. And so now these managed service providers can leverage the VCD as a service to rule out access and, and carve up these SDDC that they get. And, you know, the takeaway here is that we're just giving these partners much greater flexibility and optionality in terms of how they consume, the underlying bare-metal infrastructure on VMC on AWS, and then give that out to their own customers again, giving greater customer choice and options, those customers. >> All right kit, so the other big thing that we've covered this year with VMware, of course, is the launch of vSphere 7. What that means the cloud native-space, the whole Tanzu portfolio line. So help us understand how all the application modernization Kubernetes and like ties into now the solution that we're talking about. >> Yeah, absolutely. It's about a huge focus for us, as you know. Yeah, we launched Tanzu last year at Vmworld. And have, then launched the product set earlier this year, it's finally ready to GA. It's in great customer interest and has customer traction there. And obviously, one of the big questions people had was like, "Hey, how can I get this for VMC on AWS?" And so the specific product they were looking at there was called Tanzu Kubernetes Grid. And so the idea with Tanzu Kubernetes Grid is that it enables a customer to provision and manage Kubernetes clusters across any cloud, right? And you can do this on AWS, you can do this on-prem, on vSphere, or other clouds and so forth. And, so obviously, this technology needed to come to BMC. You know, the thing we talk about with customers, when it comes to VMC on AWS is this notion of migrate the modernize, that we can migrate you off of your on-prem infrastructure to this modernized cloud infrastructure that is VMC on AWS. And once you have that modernized infrastructure, it makes it much easier to modernize your applications, you've got all sorts of great AWS services sitting there. So now the application itself can start taking advantage of all these things, as well as these new type of capabilities. So let's pull up the slide for this one. So what we're announcing here is Tanzu Kubernetes Grid plus on VMC on AWS. And what this gives you is all that great functionality, the ability to get Kubernetes seamlessly running on top of your VMC environment right next to all of your existing apps. So it's not one of those situations where you need, you know, separate clusters or different environments. You can have a single environment, they can have both your traditional applications and your more modern ones. And Tanzu Kubernetes Grid takes care of all the management of that Kubernetes environment. It ensures that it's up to date, properly lifecycle manage, manage local security, you get a Container Registry there, can elastically scale based on demand. And of course, you get all that great consistency as well. And we do a lot of customers that are multicloud that, that are doing things across different environments. And so TKG can replicate itself and give you that consistent management across any of those environments on-prem and the cloud between clouds. So that's really what the power of this is. And again, it's really taking VMC from just being a platform from migrating your existing workloads to really being a platform for modernizing those workloads as well. >> Yeah, it's interesting Kit, you know if when I think about traditionally, VMware, it was, you know, let me take my app and I'm going to shove it into the end and I'll never think about it again. So what's the change in mindset? How do you make sure that it's not just, you know, stick it in there and forget about it, but, you know, can move in change which is, you know, really the, the call for today is that I need to be more agile, I need to be able to respond to change? >> That's a great question. And we actually spend a lot of time talking about this with customers. So if we take a step back, you know, it's important to understand the traditional journey most customers are looking at when they're moving to the cloud. I talked about this notion of migrating then modernizing. Oftentimes, you know, before the advent of VMC on AWS, you didn't have the ability to take those two apart, you had to migrate and modernize simultaneously. In order to move to the cloud, you actually had to do a bunch of refactoring and retooling and so forth to your application. And obviously, that created a lot of challenges because it slowed how quickly customers can move up to the cloud. And so what we've done, which I think is really, really powerful is kind of broken those two apart. To say, you know what, you may have a business imperative to get out of the data center, we can help you do that, we can move, you know, some customers moved hundreds of workloads a week, up to VMC on AWS. And then once you've done that, you're now a little bit more breathing room, right? You've gotten out of your immediate business problem, and let's say in this case, closed-ended data center. And now you can sort of focus on okay, how do I think about modernizing these applications? How do I think about the interior points to opening them up and actually getting inside of them? And so I think, you know, the most valuable aspect of the approach that we've taken here is that ability to, to separate out those two to get the quick business wins that you need. And then to take the time to think about, okay, how do I actually modernize this? How do I want to? What sort of technologies do I want to use? How should I do this right, rather than just need to do this quickly? And so I think that's a really, really powerful aspect of our approach, and that we can give customers more optionality in terms of how they approach their modernization efforts. >> Yeah, so, so Kit, the final question I have for you, the VMware AWS partnership has been around for a couple years now. >> Yeah. >> What would you say is the biggest change technically, from when the solution was first announced, just to where we are today with all the new updates that you've talked about? >> Yeah, that's a great question. Look, it's hard to pick one, right? I think the biggest thing in general, is just the increasing maturity of this offering. And that goes really across the board, technical maturity, operational maturity, compliance, certification maturity, right? Getting more and more of those under our belt, global reach maturity, right? We started off in one region, but now we're all over the world, pretty much every region that AWS has. You see more and more features, you know, we're constantly releasing new features, new hardware types. And so I think that's really the biggest thing. It's not been like one singular thing, what has been is just a lot of work by the team across 1000 different areas, and moving all those in parallel. And that's really been the heavy lift that we've had to do with the past few years. You know, as we talked about, it was a lot of work just to get this thing out in the first place, right? We had to do a lot of technical work with AWS to enable this bare metal-capability. And so we got that one out, we got it out and had that initial service. There have been a lot of limitations, right? We just had one instance type, only one region, you know, didn't have as many compliance certifications. So obviously that limited the number of customers initially, right? Just because there are some restrictions around that. So our goal has really been to open this up to as many customers, in fact, every customer, all of our 500,000 odd vSphere customers to be able to move to VMS on AWS. And so we're slow, you know, slowly but surely, every month knocking down more and more barricades to that, right? And so what you're seeing is just a tremendous explosion of innovation and effort across the entire team. And so it's really it's kudos to the team for their continued effort day in day out of these past three years or so, to get VMC on AWS to where it is today. >> Excellent, well, thank you so much, Kit. Great to talk to you. Congratulation to the VMware and AWS team. And of course, looking forward to talking to more of the customers down the road, as they take advantage of this, hopefully at Vmworld, and some of the Amazon shows too. Thanks so much for joining us Kit. >> Thank yous Stu. >> All right, stay with us for lots more coverage, of course VMware Cloud on AWS really exciting and interesting topic we've been covering since day one. I'm Stu Miniman and thank you for watching theCUBE. (upbeat music)

>>Yeah, it's the queue covering the virtual vertical Big Data Conference 2020 Brought to You by vertical. >>Welcome back, everybody. My name is Dave Vellante, and you're watching the Cube's coverage of the verdict of Virtual Big Data conference. The Cube has been at every BTC, and it's our pleasure in these difficult times to be covering BBC as a virtual event. This digital program really excited to have Joy King joining us. Joy is the vice president of product and go to market strategy in particular. And if that weren't enough, he also runs marketing and education curve for him. So, Joe, you're a multi tool players. You've got the technical side and the marketing gene, So welcome to the Cube. You're always a great guest. Love to have you on. >>Thank you so much, David. The pleasure, it really is. >>So I want to get in. You know, we'll have some time. We've been talking about the conference and the virtual event, but I really want to dig in to the product stuff. It's a big day for you guys. You announced 10.0. But before we get into the announcements, step back a little bit you know, you guys are riding the waves. I've said to ah, number of our guests that that brick has always been good. It riding the wave not only the initial MPP, but you you embraced, embraced HD fs. You embrace data science and analytics and in the cloud. So one of the trends that you see the big waves that you're writing >>Well, you're absolutely right, Dave. I mean, what what I think is most interesting and important is because verdict is, at its core a true engineering culture founded by, well, a pretty famous guy, right, Dr Stone Breaker, who embedded that very technical vertical engineering culture. It means that we don't pretend to know everything that's coming, but we are committed to embracing the tech. An ology trends, the innovations, things like that. We don't pretend to know it all. We just do it all. So right now, I think I see three big imminent trends that we are addressing. And matters had we have been for a while, but that are particularly relevant right now. The first is a combination of, I guess, a disappointment in what Hadoop was able to deliver. I always feel a little guilty because she's a very reasonably capable elephant. She was designed to be HD fs highly distributed file store, but she cant be an entire zoo, so there's a lot of disappointment in the market, but a lot of data. In HD FM, you combine that with some of the well, not some the explosion of cloud object storage. You're talking about even more data, but even more data silos. So data growth and and data silos is Trend one. Then what I would say Trend, too, is the cloud Reality Cloud brings so many events. There are so many opportunities that public cloud computing delivers. But I think we've learned enough now to know that there's also some reality. The cloud providers themselves. Dave. Don't talk about it well, because not, is it more agile? Can you do things without having to manage your own data center? Of course you can. That the reality is it's a little more pricey than we expected. There are some security and privacy concerns. There's some workloads that can go to the cloud, so hybrid and also multi cloud deployments are the next trend that are mandatory. And then maybe the one that is the most exciting in terms of changing the world we could use. A little change right now is operationalize in machine learning. There's so much potential in the technology, but it's somehow has been stuck for the most part in science projects and data science lab, and the time is now to operationalize it. Those are the three big trends that vertical is focusing on right now. >>That's great. I wonder if I could ask you a couple questions about that. I mean, I like you have a soft spot in my heart for the and the thing about the Hadoop that that was, I think, profound was it got people thinking about, you know, bringing compute to the data and leaving data in place, and it really got people thinking about data driven cultures. It didn't solve all the problems, but it collected a lot of data that we can now take your third trend and apply machine intelligence on top of that data. And then the cloud is really the ability to scale, and it gives you that agility and that it's not really that cloud experience. It's not not just the cloud itself, it's bringing the cloud experience to wherever the data lives. And I think that's what I'm hearing from you. Those are the three big super powers of innovation today. >>That's exactly right. So, you know, I have to say I think we all know that Data Analytics machine learning none of that delivers real value unless the volume of data is there to be able to truly predict and influence the future. So the last 7 to 10 years has been correctly about collecting the data, getting the data into a common location, and H DFS was well designed for that. But we live in a capitalist world, and some companies stepped in and tried to make HD Fs and the broader Hadoop ecosystem be the single solution to big data. It's not true. So now that the key is, how do we take advantage of all of that data? And now that's exactly what verdict is focusing on. So as you know, we began our journey with vertical back in the day in 2007 with our first release, and we saw the growth of the dupe. So we announced many years ago verdict a sequel on that. The idea to be able to deploy vertical on Hadoop nodes and query the data in Hadoop. We wanted to help. Now with Verdict A 10. We are also introducing vertical in eon mode, and we can talk more about that. But Verdict and Ian Mode for HDs, This is a way to apply it and see sequel database management platform to H DFS infrastructure and data in each DFS file storage. And that is a great way to leverage the investment that so many companies have made in HD Fs. And I think it's fair to the elephant to treat >>her well. Okay, let's get into the hard news and auto. Um, she's got, but you got a mature stack, but one of the highlights of append auto. And then we can drill into some of the technologies >>Absolutely so in well in 2018 vertical announced vertical in Deon mode is the separation of compute from storage. Now this is a great example of vertical embracing innovation. Vertical was designed for on premises, data centers and bare metal servers, tightly coupled storage de l three eighties from Hewlett Packard Enterprises, Dell, etcetera. But we saw that cloud computing was changing fundamentally data center architectures, and it made sense to separate compute from storage. So you add compute when you need compute. You add storage when you need storage. That's exactly what the cloud's introduced, but it was only available on the club. So first thing we did was architect vertical and EON mode, which is not a new product. Eight. This is really important. It's a deployment option. And in 2018 our customers had the opportunity to deploy their vertical licenses in EON mode on AWS in September of 2019. We then broke an important record. We brought cloud architecture down to earth and we announced vertical in eon mode so vertical with communal or shared storage, leveraging pure storage flash blade that gave us all the advantages of separating compute from storage. All of the workload, isolation, the scale up scale down the ability to manage clusters. And we did that with on Premise Data Center. And now, with vertical 10 we are announcing verdict in eon mode on HD fs and vertically on mode on Google Cloud. So what we've got here, in summary, is vertical Andy on mode, multi cloud and multiple on premise data that storage, and that gives us the opportunity to help our customers both with the hybrid and multi cloud strategies they have and unifying their data silos. But America 10 goes farther. >>Well, let me stop you there, because I just wanna I want to mention So we talked to Joe Gonzalez and past Mutual, who essentially, he was brought in. And one of this task was the lead into eon mode. Why? Because I'm asking. You still had three separate data silos and they wanted to bring those together. They're investing heavily in technology. Joe is an expert, though that really put data at their core and beyond Mode was a key part of that because they're using S three and s o. So that was Ah, very important step for those guys carry on. What else do we need to know about? >>So one of the reasons, for example, that Mass Mutual is so excited about John Mode is because of the operational advantages. You think about exactly what Joe told you about multiple clusters serving must multiple use cases and maybe multiple divisions. And look, let's be clear. Marketing doesn't always get along with finance and finance doesn't necessarily get along with up, and I t is often caught the middle. Erica and Dion mode allows workload, isolation, meaning allocating the compute resource is that different use cases need without allowing them to interfere with other use cases and allowing everybody to access the data. So it's a great way to bring the corporate world together but still protect them from each other. And that's one of the things that Mass Mutual is going to benefit from, as well, so many of >>our other customers I also want to mention. So when I saw you, ah, last last year at the Pure Storage Accelerate conference just today we are the only company that separates you from storage that that runs on Prem and in the cloud. And I was like I had to think about it. I've researched. I still can't find anybody anybody else who doesn't know. I want to mention you beat actually a number of the cloud players with that capability. So good job and I think is a differentiator, assuming that you're giving me that cloud experience and the licensing and the pricing capability. So I want to talk about that a little >>bit. Well, you're absolutely right. So let's be clear. There is no question that the public cloud public clouds introduced the separation of compute storage and these advantages that they do not have the ability or the interest to replicate that on premise for vertical. We were born to be software only. We make no money on underlying infrastructure. We don't charge as a package for the hardware underneath, so we are totally motivated to be independent of that and also to continuously optimize the software to be as efficient as possible. And we do the exact same thing to your question about life. Cloud providers charge for note indignance. That's how they charge for their underlying infrastructure. Well, in some cases, if you're being, if you're talking about a use case where you have a whole lot of data, but you don't necessarily have a lot of compute for that workload, it may make sense to pay her note. Then it's unlimited data. But what if you have a huge compute need on a relatively small data set that's not so good? Vertical offers per node and four terabyte for our customers, depending on their use case, we also offer perpetual licenses for customers who want capital. But we also offer subscription for companies that they Nope, I have to have opt in. And while this can certainly cause some complexity for our field organization, we know that it's all about choice, that everybody in today's world wants it personalized just for me. And that's exactly what we're doing with our pricing in life. >>So just to clarify, you're saying I can pay by the drink if I want to. You're not going to force me necessarily into a term or Aiken choose to have, you know, more predictable pricing. Is that, Is that correct? >>Well, so it's partially correct. The first verdict, a subscription licensing is a fixed amount for the period of the subscription. We do that so many of our customers cannot, and I'm one of them, by the way, cannot tell finance what the budgets forecast is going to be for the quarter after I spent you say what it's gonna be before, So our subscription facing is a fixed amount for a period of time. However, we do respect the fact that some companies do want usage based pricing. So on AWS, you can use verdict up by the hour and you pay by the hour. We are about to launch the very same thing on Google Cloud. So for us, it's about what do you need? And we make it happen natively directly with us or through AWS and Google Cloud. >>So I want to send so the the fixed isn't some floor. And then if you want a surge above that, you can allow usage pricing. If you're on the cloud, correct. >>Well, you actually license your cluster vertical by the hour on AWS and you run your cluster there. Or you can buy a license from vertical or a fixed capacity or a fixed number of nodes and deploy it on the cloud. And then, if you want to add more nodes or add more capacity, you can. It's not usage based for the license that you bring to the cloud. But if you purchase through the cloud provider, it is usage. >>Yeah, okay. And you guys are in the marketplace. Is that right? So, again, if I want up X, I can do that. I can choose to do that. >>That's awesome. Next usage through the AWS marketplace or yeah, directly from vertical >>because every small business who then goes to a salesforce management system knows this. Okay, great. I can pay by the month. Well, yeah, Well, not really. Here's our three year term in it, right? And it's very frustrating. >>Well, and even in the public cloud you can pay for by the hour by the minute or whatever, but it becomes pretty obvious that you're better off if you have reserved instance types or committed amounts in that by vertical offers subscription. That says, Hey, you want to have 100 terabytes for the next year? Here's what it will cost you. We do interval billing. You want to do monthly orderly bi annual will do that. But we won't charge you for usage that you didn't even know you were using until after you get the bill. And frankly, that's something my finance team does not like. >>Yeah, I think you know, I know this is kind of a wonky discussion, but so many people gloss over the licensing and the pricing, and I think my take away here is Optionality. You know, pricing your way of That's great. Thank you for that clarification. Okay, so you got Google Cloud? I want to talk about storage. Optionality. If I found him up, I got history. I got I'm presuming Google now of you you're pure >>is an s three compatible storage yet So your story >>Google object store >>like Google object store Amazon s three object store HD fs pure storage flash blade, which is an object store on prim. And we are continuing on this theft because ultimately we know that our customers need the option of having next generation data center architecture, which is sort of shared or communal storage. So all the data is in one place. Workloads can be managed independently on that data, and that's exactly what we're doing. But what we already have in two public clouds and to on premise deployment options today. And as you said, I did challenge you back when we saw each other at the conference. Today, vertical is the only analytic data warehouse platform that offers that option on premise and in multiple public clouds. >>Okay, let's talk about the ah, go back through the innovation cocktail. I'll call it So it's It's the data applying machine intelligence to that data. And we've talked about scaling at Cloud and some of the other advantages of Let's Talk About the Machine Intelligence, the machine learning piece of it. What's your story there? Give us any updates on your embracing of tooling and and the like. >>Well, quite a few years ago, we began building some in database native in database machine learning algorithms into vertical, and the reason we did that was we knew that the architecture of MPP Columbia execution would dramatically improve performance. We also knew that a lot of people speak sequel, but at the time, not so many people spoke R or even Python. And so what if we could give act us to machine learning in the database via sequel and deliver that kind of performance? So that's the journey we started out. And then we realized that actually, machine learning is a lot more as everybody knows and just algorithms. So we then built in the full end to end machine learning functions from data preparation to model training, model scoring and evaluation all the way through to fold the point and all of this again sequel accessible. You speak sequel. You speak to the data and the other advantage of this approach was we realized that accuracy was compromised if you down sample. If you moved a portion of the data from a database to a specialty machine learning platform, you you were challenged by accuracy and also what the industry is calling replica ability. And that means if a model makes a decision like, let's say, credit scoring and that decision isn't anyway challenged, well, you have to be able to replicate it to prove that you made the decision correctly. And there was a bit of, ah, you know, blow up in the media not too long ago about a credit scoring decision that appeared to be gender bias. But unfortunately, because the model could not be replicated, there was no way to this Prove that, and that was not a good thing. So all of this is built in a vertical, and with vertical 10. We've taken the next step, just like with with Hadoop. We know that innovation happens within vertical, but also outside of vertical. We saw that data scientists really love their preferred language. Like python, they love their tools and platforms like tensor flow with vertical 10. We now integrate even more with python, which we have for a while, but we also integrate with tensorflow integration and PM ML. What does that mean? It means that if you build and train a model external to vertical, using the machine learning platform that you like, you can import that model into a vertical and run it on the full end to end process. But run it on all the data. No more accuracy challenges MPP Kilometer execution. So it's blazing fast. And if somebody wants to know why a model made a decision, you can replicate that model, and you can explain why those are very powerful. And it's also another cultural unification. Dave. It unifies the business analyst community who speak sequel with the data scientist community who love their tools like Tensorflow and Python. >>Well, I think joy. That's important because so much of machine intelligence and ai there's a black box problem. You can't replicate the model. Then you do run into a potential gender bias. In the example that you're talking about there in their many you know, let's say an individual is very wealthy. He goes for a mortgage and his wife goes for some credit she gets rejected. He gets accepted this to say it's the same household, but the bias in the model that may be gender bias that could be race bias. And so being able to replicate that in and open up and make the the machine intelligence transparent is very, very important, >>It really is. And that replica ability as well as accuracy. It's critical because if you're down sampling and you're running models on different sets of data, things can get confusing. And yet you don't really have a choice. Because if you're talking about petabytes of data and you need to export that data to a machine learning platform and then try to put it back and get the next at the next day, you're looking at way too much time doing it in the database or training the model and then importing it into the database for production. That's what vertical allows, and our customers are. So it right they reopens. Of course, you know, they are the ones that are sort of the Trailblazers they've always been, and ah, this is the next step. In blazing the ML >>thrill joint customers want analytics. They want functional analytics full function. Analytics. What are they pushing you for now? What are you delivering? What's your thought on that? >>Well, I would say the number one thing that our customers are demanding right now is deployment. Flexibility. What? What the what the CEO or the CFO mandated six months ago? Now shout Whatever that thou shalt is is different. And they would, I tell them is it is impossible. No, what you're going to be commanded to do or what options you might have in the future. The key is not having to choose, and they are very, very committed to that. We have a large telco customer who is multi cloud as their commit. Why multi cloud? Well, because they see innovation available in different public clouds. They want to take advantage of all of them. They also, admittedly, the that there's the risk of lock it right. Like any vendor, they don't want that either, so they want multi cloud. We have other customers who say we have some workloads that make sense for the cloud and some that we absolutely cannot in the cloud. But we want a unified analytics strategy, so they are adamant in focusing on deployment flexibility. That's what I'd say is 1st 2nd I would say that the interest in operationalize in machine learning but not necessarily forcing the analytics team to hammer the data science team about which tools or the best tools. That's the probably number two. And then I'd say Number three. And it's because when you look at companies like Uber or the Trade Desk or A T and T or Cerner performance at scale, when they say milliseconds, they think that flow. When they say petabytes, they're like, Yeah, that was yesterday. So performance at scale good enough for vertical is never good enough. And it's why we're constantly building at the core the next generation execution engine, database designer, optimization engine, all that stuff >>I wanna also ask you. When I first started following vertical, we covered the cube covering the BBC. One of things I noticed was in talking to customers and people in the community is that you have a community edition, uh, free addition, and it's not neutered ais that have you maintain that that ethos, you know, through the transitions into into micro focus. And can you talk about that a little bit >>absolutely vertical community edition is vertical. It's all of the verdict of functionality geospatial time series, pattern matching, machine learning, all of the verdict, vertical neon mode, vertical and enterprise mode. All vertical is the community edition. The only limitation is one terabyte of data and three notes, and it's free now. If you want commercial support, where you can file a support ticket and and things like that, you do have to buy the life. But it's free, and we people say, Well, free for how long? Like our field? I've asked that and I say forever and what he said, What do you mean forever? Because we want people to use vertical for use cases that are small. They want to learn that they want to try, and we see no reason to limit that. And what we look for is when they're ready to grow when they need the next set of data that goes beyond a terabyte or they need more compute than three notes, then we're here for them, and it also brings up an important thing that I should remind you or tell you about Davis. You haven't heard it, and that's about the Vertical Academy Academy that vertical dot com well, what is that? That is, well, self paced on demand as well as vertical essential certification. Training and certification means you have seven days with your hands on a vertical cluster hosted in the cloud to go through all the certification. And guess what? All of that is free. Why why would you give it for free? Because for us empowering the market, giving the market the expert East, the learning they need to take advantage of vertical, just like with Community Edition is fundamental to our mission because we see the advantage that vertical can bring. And we want to make it possible for every company all around the world that take advantage >>of it. I love that ethos of vertical. I mean, obviously great product. But it's not just the product. It's the business practices and really progressive progressive pricing and embracing of all these trends and not running away from the waves but really leaning in joy. Thanks so much. Great interview really appreciate it. And, ah, I wished we could have been faced face in Boston, but I think it's prudent thing to do, >>I promise you, Dave we will, because the verdict of BTC and 2021 is already booked. So I will see you there. >>Haas enjoyed King. Thanks so much for coming on the Cube. And thank you for watching. Remember, the Cube is running this program in conjunction with the virtual vertical BDC goto vertical dot com slash BBC 2020 for all the coverage and keep it right there. This is Dave Vellante with the Cube. We'll be right back. >>Yeah, >>yeah, yeah.

>> From Bahrain, it's theCUBE. Covering AWS Public Sector Bahrain. Brought to you by Amazon Web Services. >> Welcome back, everyone, to CUBE coverage here in Bahrain for AWS Summit. Cloud computing's changing the landscape, startups, business, government, and society. We're here with a special guest, His Excellency, Aymen Tawfiq Almoayed. Thank you very much, thanks for coming, thanks for joining us. >> Thank you for having me. >> And of course Max Peterson, Vice President of International Sales, Worldwide Public Sector for Amazon Web Services. >> Good to be here, John. >> Your Excellency, this program you're doing with Amazon, this MOU you've signed is interesting, I want to unpack it, because it speaks to the bigger picture of how the region is shaped by its generational shift of cloud computing and the people here. This is a really big part of this modernization plan. >> No question, no question. So the program that the government adopted, so Vision 2030, which was adopted a while ago, is based on one premise, one key premise. That the government is going to move from operator to regulator, and our focus would be to focus on and establish, create almost, an open, just, competitive environment. So the idea is for us to provide the platform and then allow the meritocratic system to let those that can aspire to opportunities and reach these opportunities come up through the system. So this program really sets the stage to get a new level going. >> Explain the difference with this program and why it's different than some of the things we've been hearing. We saw a cloud computing degree coming out of the University of Bahrain. We're seeing a lot of job skill training. This is different, this is a unique thing. Can you give a more detail around how it works. >> So, what we're doing is we're looking at very quick wins. And for us, six months, for somebody to spend six months, one year, in Amazon is a very quick win. This is not an extended degree. What this is is it's an opportunity to interact with the best of the best in their world sector. And to, honestly it's almost like a reset, where what Max and I were talking about earlier is somebody that spends a year with Amazon, I think that something happens to the pulse rate, right. So your pulse literally starts to beat much faster. >> Max knows all about that. >> Exactly, exactly. We hear about their traveling patterns, and that in itself is amazing. So in any case, so the reason it's different from a degree is it gives you real-life vocational experience. It gives you the networking opportunity. It gives you the lifestyle exposure. And then it gives you the shortcuts in organization. >> So you're exposing them to the excellence of what a culture looks like, Amazon in this case. They're hard-charging, they're fast. Anyone who's worked with Amazon knows that they move pretty quickly. But they're disciplined. It's a world-class organization. It's like a sports team being promoted to varsity or the pro team. Work their way up from the entry-level. >> So maybe the difference as well is, in this sort of program it's sink or swim. It's really as simple as that. I mean, you need to hit the ground running and take off. Maybe with a degree, it's much less so. With a degree, you go through your first year, your second year, your sophomore and so on. So what we do, what we want, is we want our youth to hit the ground running. We want very quick wins and I have no doubt that once the first trench, first team goes out to Amazon, comes back, I'm sure that the ripple effect that you see in industry and you see in the marketplace will be tremendous. >> Max, what's your take on this? 'Cause obviously you're on the Amazon side. You're taking them in Amazon Web Services here in Bahrain, or is it outside corporate headquarters in Seattle? Is there a definition around? >> All good questions. First, we're excited to be the first company that is partnered with the Ministry on this effort. We're sure many others are going to join, but we're excited to be first. I think what makes it different is the aspect of experiential. There's a lot of experiential learning that's going on different than the academic learning. Equally or maybe even more necessary is the sort of organizational cultural learning. Just what does it take to operate at world scale or at pace. And then to be able to bring that back to the region. We'll do that wherever we've got the right mix of skills. So it could be in Bahrain, where we've got a big office now, it could be in London, could be Washington, D.C., could be Seattle. >> Your Excellency, we always talk about on theCUBE over the years, tech athletes. Because, you know, to be an athlete, you got to have durability, intelligence, stability. Being a tech athlete, the travel schedules, we were just joking last night about it, you mentioned it. But also the intelligence and the integrity to do this at this speed. So this is kind of, I love the theme, so I want you to elaborate why this connects in with your vision and how did this idea get started, what was the origination around this effort? >> So initially the, again, if one takes a step back, we started experimenting about a year ago, a year and a half ago with the sports sector. So what we were doing with the sports sector, because it was a much smaller sector. What we're trying to experiment there is, if you were to allow our athletes to interact with the best in class, what would happen? Would they live up to that experience or not? And so one of the segments that we were looking at is, for example, triathlons. So about two years ago, this sport, triathlons in general, just simply didn't exist in the region. So two, maximum three years ago, they just, they were nonexistent. So His Highness had ordered that we go ahead and see if we can develop this and see if we can develop the athletes for it. And so what we needed to do, essentially, was pick some-- >> Find the athletes. (laughs) >> Is find the athletes, exactly. Send them out, we did a few triathlons. They did Kuna and Florida, came back, loved it, the addiction and the adrenaline kicked in, and then we started arranging duathlons and then triathletes here in Bahrain. Of course, I don't know if you know this, a year, fast forward, a year and a half later, and BE13, which is our triathlon team, is number one in the world. Simply it's number one in the world. Now we're doing this, we tried this with biking. So we sent a team to the Tour de France, and we started to do exactly the same thing. We were aspiring to look at greats like Sky team and the rest, and just learning from them, imitate, and then innovate, and-- >> One, if you have to have the talent to begin with, your theory is put 'em in, let 'em see it, and they'll either level up or they won't. It's self selection. >> Absolutely, no question. >> And you want to bring that formula to tech. >> It's pure meritocratic sink or swim. So we've got, so there's two, there's two phrases that we live by, all right. Number one, our role is open, competitive, just environment. That's it, all right. The number two is we open doors with no hand-holding. Simply no hand-holding, but we'll get you the opportunity. But if Amazon calls us and says participant number 606 or whatever isn't up to the cut, then they're not up to the cut. And what our youth have proven to us time after time is they're always up to the cut. As long as you make that clear, they-- >> The expectation defines the experience. So if you say this is what it is, you can swim or you can sink, your choice, people will tap out, they won't even jump in. >> I like the tech athletes piece. >> Yeah, I'm loving it, absolutely. >> Well, I mean, a lot of tech athletes, it takes a lot of energy, it is like you said, you don't know what it takes to build a company, it's really hard, I mean, it's not easy. >> It is, and the thing, just like this program, the thing that was interesting about the University of Bahrain idea was they're going to try and immerse everybody, because cloud and technology now is immersed in any field. I mean, anything becomes digital. And we were talkin' earlier about e-sports, so you need a whole bunch of great tech athletes to start bringing e-sports services to the world. >> Absolutely. >> Do you see e-sports emerging? >> Yeah, no doubt. So what we did on Friday is we signed the first agreement, this is the first time that a region hosts, we're hosting BLASTPro's finals in Bahrain, this is going to be on the 13th and the 14th of December, and that's running, streaming on Twitch. So we're excited, we're excited to be doing this with the guys at BLASTPro, and we're excited to be using Amazon's infrastructure to do it. So yes, absolutely, there is amazing things to be seen in e-sports and we're excited. >> This is awesome, digital disruption, you guys have been so proactive on this. I was commenting this morning on Twitter, then stats went out about entrepreneurship in Silicon Valley in the U.S., 51% of all ventures fail. And some other ones, 4% become unicorns, but it was all about optionality, et cetera, et cetera, and entrepreneurs are about getting on the right wave and falling and trying again, and this is, you guys have been very proactive on this. >> Right, so that's exactly why we think that sports plays a big role. So the idea behind the program was simply to gamify everything. The idea behind this program, the idea behind adopting the new bankruptcy law in Bahrain, and the new reform regulations that are coming in, all we're doing is we're gamifying things. What we're simply saying is when you fall, it's OK to fall. As long as you get back up and hit the ground running once again, we're OK with that. So you'll start to hear phrases that are pretty interesting. Like I said, with the entrepreneurships, what we're looking at is unlocking levels. So we're gamifying. With education we're doing exactly the same thing, we're looking at vocational training where you get to unlock levels. So as long as people know that the name of the game is just to stay in the game, and then outpace everybody else, then we're good. >> And the funding's been fantastic. You guys have been supporting it with resources. Now that the region's up and running, Max, do you feel good about the development so far with the new region? Therese was just on earlier, she mentioned first day they turned it on, a bunch of companies were launched already. >> Besides the cannons and the confetti that shot out today at the summit, the other exciting thing's I think when we launched the region, we had over 350 different companies, many small businesses, small and medium enterprises that put their offerings into the AWS Marketplace. When it was launched, anybody in the region, anybody in Bahrain, could literally turn on 1,700 different types of software solutions at the push of a button, so I think that's big. I think we heard how 35 local companies have created migration offerings and fast-start offerings. We heard from one great entrepreneur on stage today and we heard from government about how government's operating faster than business, I think Sheikh Salman threw down a bit of a challenge to the rest of the government and state enterprises and even corporations. And then of course I think we saw the digital bank of the future from Bank ABC with their first virtual banking assistant up on stage who, by the way, lives in the cloud over Bahrain. >> Yeah, digital employee, we had a great chat about that. This speaks to the generational shift, this is something that's going to be an interesting footnote in history. The sea change around expectations, you brought this up earlier, I think this is important. The younger generation, they want the world to be at a different speed, and they don't want an intolerant blockers in their way. And so whoever can be out front on setting up the environment, whether it's society, government, citizen services, but money-making potential, banks got to operate. So this is the replatforming of society is happening. >> No question, yeah, no question. I'll give you just the, when you compare ministries, when you compare government entities, you would walk in and you'd assume the ultra-bureaucratic system is still in place where you've got to go through tiers and so on and so forth. As far as the youth at the Ministry of Youth is involved, these guys are running things with chats, we've got internal chat systems, and so there is no memo-writing process where you then have to escalate it, and then it goes to the minister's office and so on. Absolutely not. These guys are on the likes of Slack, the likes of Teams from Microsoft and so on, and that's how government is run. >> Max, email's for old people like us. >> Hey, modern digital governments are redesigning the way all this stuff works, and it doesn't, the thing that's interesting to me is it doesn't just impact these things that you would think of as tech. I thought the example of going from 130 days to 5 days for permitting approvals-- >> For building permits, sure. >> That takes out a massive amount of inefficiency from the industry, right, and it enables that very industry to then move faster, instead of government as a blocker to so many of these things, becomes an enabler. And I think it's that attitude about modernized, customer-focused or citizen-focused that is the hallmark of what folks are doing now to make a difference. >> Well, thanks for coming in and sharing the insights. Your Excellency, great to see you. I have one final question, take a minute to explain to the folks what is the Ministry of Youth and Sports Affair, what's the charter, you going to add tech athletes to the mix now that we've kind of defined that term? But take a minute to explain-- >> Tech athletes. So the vast majority of the population is under the age of 35. The ministry's mandate is to make sure that anybody within that constituency, their touchpoints are being managed in the right way. So our job, very, very simply, is to be effectively the change agent for them, number one, and number two, to protect their interests. So we're the ones that are negotiating regulations that come in, but what touchpoint really is relevant? We're negotiating new laws that impact youth when it comes to their trades, new laws that impact youth when it comes to their rights, new laws-- >> Whether it's culture or art or whatever. >> Any touchpoints, so effectively we're customer-relations for youth, or client relations for youth. So that's that from one perspective. With regards to sports, we're simply regulators. So what we're doing is we're moving from an operator model to a regulator model, and what we're trying to do is we're trying to create a sports industry. So instead of us focusing on the actual tournament itself only, we're looking at sports diplomacy, we're looking at sports industry, we're looking at human performance and things like that. So any sectors that we can catalyze to grow in Bahrain that relates in any way, shape, or form to sports, whether it was medicinal development, technological development, regulations or otherwise, that falls under Ministry of Youth and Sports. >> You're charged to look at the whole individual across all spectrums touchpoints. >> Exactly >> That's awesome. >> So we're a horizontal as opposed to a vertical. >> Your Excellency, great to have you on theCUBE, great topic, could talk about it forever. We love sports, of course, on theCUBE, we love talkin' sports, Max, you're a tech athlete. >> I'm a tech athlete, I learned that today. Brilliant. >> You go from city to city, hit a home run everywhere you go. >> I'm looking for the next league to compete in. >> Guys, thanks so much for the insights. CUBE coverage here at AWS Summit in Bahrain, I'm John Furrier, thanks for watching. (bright music)

>> Hey, welcome back already, Jeffrey. Here with the Cube, we are high top San Francisco in the Salesforce Tower in the newest center offices. It's really beautiful and is part of that. They have their San Francisco innovation hubs, so it's five floors of maker's labs and three D printing and all kinds of test facilities and best practices Innovation theater and in this studio, which is really fun to be at. So we're talking about hybrid cloud in the development of cloud and multi cloud. And, you know, we're, you know, continuing on this path. Not only your customers on this path, but everyone's kind of on this path is the same kind of evolved and transformed. We're excited. Have a couple experts in the field. We got Larry Soccer. He's the global managing director of Intelligent Cloud Infrastructure Service's growth and strategy at a center. Very good to see you again. Great to be here. And the Jay Patel. He's the senior vice president and general manager, cloud provider, software business unit, being where enemies of the people are nice. Well, so, uh so first off, how you like the digs appear >> beautiful place and the fact we're part of the innovation team. Thank you for that. It's so let's just >> dive into it. So a lot of crazy stuff happening in the market place a lot of conversations about hybrid cloud, multi cloud, different cloud, public cloud movement of Back and forth from Cloud. Just wanted. Get your perspective a day. You guys have been in the Middle East for a while. Where are we in this kind of evolution? It still kind of feeling themselves out. Is it? We're kind of past the first inning, so now things are settling down. How do you kind of you. Evolution is a great >> question, and I think that was a really nice job of defining the two definitions. What's hybrid worse is multi and simply put hybrid. We look at hybrid as when you have consistent infrastructure. It's the same infrastructure, regardless of location. Multi is when you have disparate infrastructure. We're using them in a collective. So just from a level setting perspective, the taxonomy starting to get standardized industry starting to recognize hybrid is a reality. It's not a step in the long journey. It is an operating model that's gonna be exists for a long time, so it's no longer about location. It's a lot harder. You operate in a multi cloud and a hybrid cloud world and together, right extension BM would have a unique opportunity. Also, the technology provider Accenture, as a top leader in helping customers figure out where best to land their workload in this hybrid multicolored world, because workloads are driving decisions right and one of the year in this hybrid medical world for many years to come. But >> do I need another layer of abstraction? Cause I probably have some stuff that's in hybrid. I probably have some stuff in multi, right, because those were probably not much in >> the way we talked a lot about this, and Larry and I were >> chatting as well about this. And the reality is, the reason you choose a specific cloud is for those native different share capability. Abstraction should be just enough so you can make were close portable, really use the caper berry natively as possible right, and by fact, that we now with being where have a native VM we're running on every major hyper scaler, right? And on. Prem gives you that flexibility. You want off not having to abstract away the goodness off the cloud while having a common and consistent infrastructure. What tapping into the innovations that the public cloud brings. So it is a evolution of what we've been doing together from a private cloud perspective to extend that beyond the data center to really make it operating model. That's independent location, right? >> Solarium cures your perspective. When you work with customers, how do you help them frame this? I mean, I always feel so sorry for corporate CEOs. I mean, they got >> complexities on the doors are already going on >> like crazy that GDP are now, I think, right, The California regs. That'll probably go national. They have so many things to be worried about. They got to keep up on the latest technology. What's happening in containers away. I thought it was Dr Knight. Tell me it's kubernetes. I mean, it's really tough. So how >> do you help them? Kind of. It's got a shot with the foundation. >> I mean, you look at cloud, you look at infrastructure more broadly. I mean, it's there to serve the applications, and it's the applications that really drive business value. So I think the starting point has to be application lead. So we start off. We have are intelligent. Engineering guys are platform guys. You really come in and look And do you know an application modernisation strategy? So they'll do an assessment. You know, most of our clients, given their scale and complexity, usually have from 520,000 applications, very large estates, and they got to start to freak out. Okay, what's my current application's? You know, you're a lot of times I use the six R's methodology, and they say, OK, what is it that I I'm gonna retire. This I'm no longer needed no longer is business value, or I'm gonna, you know, replace this with sass. Well, you know, Yeah, if I move it to sales force, for example, or service now mattress. Ah, and then they're gonna start to look at their their workloads and say OK, you know, I don't need to re factor reform at this, you know, re hosted. You know, when one and things obviously be Emily has done a fantastic job is allowing you to re hosted using their softer to find a data center in the hyper scale er's environments >> that we called it just, you know, my great and then modernized. But >> the modern eyes can't be missed. I think that's where a lot of times you see clients kind of getting the trap Hammer's gonna migrate and then figure it out. You need to start tohave a modernisation strategy and then because that's ultimately going to dictate your multi and your hybrid cloud approaches, is how they're zaps evolve and, you know, they know the dispositions of those abs to figure out How do they get replaced? What data sets need to be adjacent to each other? So >> right, so a j you know, we were there when when Pat was with Andy and talking about, you know, Veum, Where on AWS. And then, you know, Sanjay has shown up, but everybody else's conferences a Google cloud talking about you know, Veum. Where? On Google Cloud. I'm sure there was a Microsoft show I probably missed. You guys were probably there to know it. It's kind of interesting, right from the outside looking in You guys are not a public cloud per se. And yet you've come up with this great strategy to give customers the options to adopt being We're in a public hot. And then now we're seeing where even the public cloud providers are saying here, stick this box in your data center and Frank, this little it's like a little piece of our cloud of floating around in your data center. So talk about the evolution of the strategy is kind of what you guys are thinking about because you know, you're cleared in a leadership position, making a lot of interesting acquisitions. How are you guys see this evolving? And how are you placing your bets? >> You know, that has been always consistent about this. Annie. Any strategy, whether it's any cloud, was any device, you know, any workload if you will, or application. And as we started to think about it, right, one of the big things be focused on was meeting the customer where he's out on its journey. Depending on the customer, let me simply be trying to figure out looking at the data center all the way to how the drive in digital transformation effort in a partner like Accenture, who has the breadth and depth and something, the vertical expertise and the insight. That's what customers looking for. Help me figure out in my journey. First tell me where, Matt, Where am I going and how I make that happen? And what we've done in a clever way, in many ways is we've created the market. We've demonstrated that VM where's the omen? Consistent infrastructure that you can bet on and leverage the benefits of the private or public cloud. And I You know, I often say hybrids a two way street. Now, which is you're bringing Maur more hybrid Cloud service is on Prem. And where is he? On Premise now the edge. I was talking to the centering folks and they were saying the mitral edge. So you're starting to see the workloads, And I think you said almost 40 plus percent off future workers that are gonna be in the central cloud. >> Yeah, actually, is an interesting stat out there. 20 years 2020 to 70% of data will be produced and processed outside the cloud. So I mean, the the edges about, you know, as we were on the tipping point of, you know, I ot finally taking off beyond, you know, smart meters. You know, we're gonna see a huge amount of data proliferate out there. So, I mean, the lines between public and private income literary output you look at, you know, Anthony, you know, as your staff for ages. So you know, And that's where you know, I think I am where strategy is coming to fruition >> sometime. It's great, >> you know, when you have a point of view and you stick with it >> against a conventional wisdom, suddenly end up together and then all of a sudden everyone's falling to hurt and you're like, This is great, but I >> hit on the point about the vertical ization. Every one of our client wth e different industries have very different has there and to the meeting that you know the customer, you know, where they're on their journey. I mean, if you talk to a pharmaceutical, you know, geekspeak compliance. Big private cloud started to dip their toes into public. You know, you go to minds and they're being very aggressive public. So >> every manufacturing with EJ boat back in >> the back, coming to it really varies by industry. >> And that's, you know, that's a very interesting here. Like if you look at all the ot environment. So the manufacturing we started see a lot of end of life of environment. So what's that? Next generation, you know, of control system's gonna run on >> interesting on the edge >> because and you've brought of networking a couple times where we've been talking it, you know, and as as, ah, potential gate right when I was still in the gates. But we're seeing Maura where we're at a cool event Churchill Club, when they had Xilinx micron and arm talking about, you know, shifting Maur that compute and store on these edge devices ti to accommodate, which you said, you know, how much of that stuff can you do at the adverse is putting in. But what I think is interesting is how are you going to manage that? There is a whole different level of management complexity when now you've got this different level of you're looting and security times many, many thousands of these devices all over the place. >> You might have heard >> recent announcements from being where around the carbon black acquisition right that combined with our work space one and the pulse I ot well, >> I'm now >> giving you a management framework with It's what people for things or devices and that consistency. Security on the client tied with the network security with NSX all the way to the data center, security were signed. A look at what we call intrinsic security. How do we bake and securing the platform and start solving these end to end and have a park. My rec center helped design these next generation application architectures are distributed by design. Where >> do you put a fence? You're you could put a fence around your data center, >> but your APP is using service now. Another SAS service is so hard to talk to an application boundary in the sea security model around that. It's a very interesting time. >> You hear a lot of you hear a >> lot about a partnership around softer to find data center on networking with Bello and NSX. But we're actually been spending a lot of time with the i o. T. Team and really looking at and a lot of our vision, the lines. I mean, you actually looked that they've been work similarly, agent technology with Leo where you know, ultimately the edge computing for io ti is gonna have to be containerized because you can need multiple middleware stacks supporting different vertical applications, right? We're actually you know what we're working with with one mind where we started off doing video analytics for predictive, you know, maintenance on tires for tractors, which are really expensive. The shovels, It's after we started pushing the data stream up it with a video stream up into azure. But the network became a bottleneck looking into fidelity. So we gotta process there. They're not looking autonomous vehicles which need eight megabits low laden C band with, you know, sitting at the the edge. Those two applications will need to co exist. And you know why we may have as your edge running, you know, in a container down, you know, doing the video analytics. If Caterpillar chooses, you know, Green Grass or Jasper that's going to co exist. So you see how the whole container ization that were started seeing the data center push out there on the other side of the pulse of the management of the edge is gonna be very difficult. I >> need a whole new frontier, absolutely >> moving forward. And with five g and telco. And they're trying to provide evaluated service is So what does that mean from an infrastructure perspective. Right? Right, Right. When do you stay on the five g radio network? Worse is jumping on the back line. And when do you move data? Where's his process? On the edge. Those all business decisions that need to be doing to some framework. >> You guys were going, >> we could go on. Go on, go. But I want to Don't fall upon your Segway from containers because containers were such an important part of this story and an enabler to the story. And, you know, you guys been aggressive. Move with hefty Oh, we've had Craig McCloskey, honor. He was still at Google and Dan great guys, but it's kind of funny, right? Cause three years ago, everyone's going to Dr Khan, right? I was like that were about shows that was hot show. Now doctors kind of faded and and kubernetes has really taken off. Why, for people that aren't familiar with kubernetes, they probably here to cocktail parties. If they live in the Bay Area, why's containers such an important enabler? And what's so special about Coburn? 80 specifically. >> Do you wanna go >> on the way? Don't talk about my products. I mean, if you >> look at the world is getting much more dynamics on the, you know, particularly you start to get more digitally to couple applications you started. You know, we've gone from a world where a virtual machine might have been up for months or years. Toe, You know, obviously you have containers that are much more dynamic, allowed to scale quickly, and then they need to be orchestrated. That's essential. Kubernetes does is just really starts to orchestrate that. And as we get more distributed workloads, you need to coordinate them. You need to be able to scale up as you need it for performance, etcetera. So kubernetes an incredible technology that allows you really to optimize, you know, the placement of that. So just like the virtual machine changed, how we compute containers now gives us a much more flexible portable. You know that, you know you can run on anything infrastructure, any location, you know, closer to the data, et cetera. To do that. And I >> think the bold movie >> made is, you know, we finally, after working with customers and partners like century, we have a very comprehensive strategy. We announced Project Enzo, a philosophy in world and Project tansy really focused on three aspects of containers. How do you build applications, which is pivotal in that mansion? People's driven around. How do we run these arm? A robust enterprise class run time. And what if you could take every V sphere SX out there and make it a container platform? Now we have half a million customers. 70 million be EMS, all of sudden that run time. We're continue enabling with the Project Pacific Soviets. Year seven becomes a commonplace for running containers, and I am so that debate of'em czar containers done gone well, one place or just spin up containers and resource is. And then the more important part is How do I manage this? You said, becoming more of a platform not just an orchestration technology, but a platform for how do I manage applications where I deploy them where it makes most sense, right? Have decoupled. My application needs from the resource is, and Coburn is becoming the platform that allows me to port of Lee. I'm the old job Web logic guy, right? >> So this is like distributed Rabb logic job on steroids, running across clouds. Pretty exciting for a middle where guy This is the next generation and the way you just said, >> And two, that's the enabling infrastructure that will allow it to roll into future things like devices. Because now you've got that connection >> with the fabric, and that's working. Becomes a key part of one of the key >> things, and this is gonna be the hard part is optimization. So how do we optimize across particularly performance, but even costs? >> You're rewiring secure, exact unavailability, >> Right? So still, I think my all time favorite business book is Clayton Christians. An innovator's dilemma. And in one of the most important lessons in that book is What are you optimizing four. And by rule, you can't optimize for everything equally you have to you have to rank order. But what I find really interesting in this conversation in where we're going in the complexity of the throughput, the complexity of the size of the data sets the complexity of what am I optimizing for now? Just begs for applied a I or this is not This is not a people problem to solve. This is this >> is gonna be all right. So you look at >> that, you know, kind of opportunity to now apply A I over the top of this thing opens up tremendous opportunity. >> Standardize infrastructural auditory allows you to >> get more metrics that allows you to build models to optimize infrastructure over time. >> And humans >> just can't get their head around me because you do have to optimize across multiple mentions. His performances cost, but then that performances gets compute. It's the network, I mean. In fact, the network's always gonna be the bottlenecks. You look at it even with five G, which is an order of magnitude, more bandwidth from throughput, the network will still lag. I mean, you go back to Moore's Law, right? It's Ah, even though it's extended to 24 months, price performance doubles. The amount of data potentially can kick in and you know exponentially grow on. Networks don't keep pays, so that optimization is constantly going to be tuned. And as we get even with increases in network, we have to keep balancing that right. >> But it's also the business >> optimization beyond the infrastructure optimization. For instance, if you're running a big power generation field of a bunch of turbines, right, you may wanna optimize for maintenance because things were running at some steady state. But maybe there's oil crisis or this or that. Suddenly the price, right? You're like, forget the maintenance. Right now we've got you know, we >> got a radio controlled you start about other >> than a dynamic industry. How do I really time change the behavior, right? Right. And more and more policy driven. Where the infrastructure smart enough to react based on the policy change you made. >> That's the world we >> want to get to. And we're far away from that, right? >> Yeah. I mean, I think so. Ultimately, I think the Cuban honeys controller gets an A I overlay and the operators of the future of tuning the Aye aye engines that optimizing, >> right? Right. And then we run into the whole thing, which we've talked about many times in this building with Dr Room, A child re from a center. Then you got the whole ethics overlay on top of the thing. That's a whole different conversation from their day. So before we wrap kind of just want to give you kind of last thoughts. Um, as you know, customers Aaron, all different stages of their journey. Hopefully, most of them are at least at least off the first square, I would imagine on the monopoly board What does you know, kind of just top level things that you would tell people that they really need just to keep always at the top is they're starting to make these considerations, starting to make these investments starting to move workloads around that they should always have kind of top >> of mind. For me, it's very simple. It's really about focused on the business outcome. Leverage the best resource for the right need and design. Architectures are flexible that give you a choice. You're not locked in and look for strategic partners with this technology partners or service's partners that alive you to guide because the complexities too high the number of choices that too high. You need someone with the breath in depth to give you that platform in which you can operate on. So we want to be the digital kind of the ubiquitous platform. From a software perspective, Neck Centuries wants to be that single partner who can help them guide on the journey. So I think that would be my ask. It's not thinking about who are your strategic partners. What is your architecture and the choices you're making that gave you that flexibility to evolve. Because this is a dynamic market. What should make decisions today? I mean, I'll be the one you need >> six months even. Yeah. And And it's And that that dynamic that dynamics is, um is accelerating if you look at it. I mean, we've all seen change in the industry of decades in the industry, but the rate of change now the pace, you know, things are moving so quickly. >> I mean, little >> respond competitive or business or in our industry regulations, right. You have to be prepared for >> Yeah. Well, gentlemen, thanks for taking a few minutes and ah, great conversation. Clearly, you're in a very good space because it's not getting any less complicated in >> Thank you. Thank you. All right. Thanks, Larry. Ajay, I'm Jeff. You're watching the Cube. >> We are top of San Francisco in the Salesforce Tower at the center Innovation hub. Thanks for watching. We'll see next time. Quick

>> From Cambridge, Massachusetts, it's theCUBE, covering MIT Chief Data Officer and Information Quality Symposium 2019, brought to you by SiliconANGLE Media. >> Welcome back to Cambridge, Massachusetts everybody, you're watching The Cube, the leader in tech coverage. My name is Dave Vellante here with my cohost Paul Gillin. This is day one of our two day coverage of the MIT CDOIQ conferences. CDO, Chief Data Officer, IQ, information quality. Colin Mahoney is here, he's a good friend and long time CUBE alum. I haven't seen you in awhile, >> I know >> But thank you so much for taking some time, you're like a special guest here >> Thank you, yeah it's great to be here, thank you. >> Yeah, so, this is not, you know, something that you would normally attend. I caught up with you, invited you in. This conference has started as, like back office governance, information quality, kind of wonky stuff, hidden. And then when the big data meme took off, kind of around the time we met. The Chief Data Officer role emerged, the whole Hadoop thing exploded, and then this conference kind of got bigger and bigger and bigger. Still intimate, but very high level, very senior. It's kind of come full circle as we've been saying, you know, information quality still matters. You have been in this data business forever, so I wanted to invite you in just to get your perspectives, we'll talk about what's new with what's going on in your company, but let's go back a little bit. When we first met and even before, you saw it coming, you kind of invested your whole career into data. So, take us back 10 years, I mean it was so different, remember it was Batch, it was Hadoop, but it was cool. There was a lot of cool >> It's still cool. (laughs) projects going on, and it's still cool. But, take a look back. >> Yeah, so it's changed a lot, look, I got into it a while ago, I've always loved data, I had no idea, the explosion and the three V's of data that we've seen over the last decade. But, data's really important, and it's just going to get more and more important. But as I look back I think what's really changed, and even if you just go back a decade I mean, there's an insatiable appetite for data. And that is not slowing down, it hasn't slowed down at all, and I think everybody wants that perfect solution that they can ask any question and get an immediate answers to. We went through the Hadoop boom, I'd argue that we're going through the Hadoop bust, but what people actually want is still the same. You know, they want real answers, accurate answers, they want them quickly, and they want it against all their information and all their data. And I think that Hadoop evolved a lot as well, you know, it started as one thing 10 years ago, with MapReduce and I think in the end what it's really been about is disrupting the storage market. But if you really look at what's disrupting storage right now, public clouds, S3, right? That's the new data league. So there's always a lot of hype cycles, everybody talks about you know, now it's Cloud, everything, for maybe the last 10 years it was a lot of Hadoop, but at the end of the day I think what people want to do with data is still very much the same. And a lot of companies are still struggling with it, hence the role for Chief Data Officers to really figure out how do I monetize data on the one hand and how to I protect that asset on the other hand. >> Well so, and the cool this is, so this conference is not a tech conference, really. And we love tech, we love talking about this, this is why I love having you on. We kind of have a little Vertica thread that I've created here, so Colin essentially, is the current CEO of Vertica, I know that's not your title, you're GM and Senior Vice President, but you're running Vertica. So, Michael Stonebreaker's coming on tomorrow, >> Yeah, excellent. >> Chris Lynch is coming on tomorrow, >> Oh, great, yeah. >> we've got Andy Palmer >> Awesome, yeah. >> coming up as well. >> Pretty cool. (laughs) >> So we have this connection, why is that important? It's because, you know, Vertica is a very cool company and is all about data, and it was all about disrupting, sort of the traditional relational database. It's kind of doing more with data, and if you go back to the roots of Vertica, it was like how do you do things faster? How do you really take advantage of data to really drive new business? And that's kind of what it's all about. And the tech behind it is really cool, we did your conference for many, many years. >> It's coming back by the way. >> Is it? >> Yeah, this March, so March 30th. >> Oh, wow, mark that down. >> At Boston, at the new Encore Hotel. >> Well we better have theCUBE there, bro. (laughs) >> Yeah, that's great. And yeah, you've done that conference >> Yep. >> haven't you before? So very cool customers, kind of leading edge, so I want to get to some of that, but let's talk the disruption for a minute. So you guys started with the whole architecture, MPP and so forth. And you talked about Cloud, Cloud really disrupted Hadoop. What are some of the other technology disruptions that you're seeing in the market space? >> I think, I mean, you know, it's hard not to talk about AI machine learning, and what one means versus the other, who knows right? But I think one thing that is definitely happening is people are leveraging the volumes of data and they're trying to use all the processing power and storage power that we have to do things that humans either are too expensive to do or simply can't do at the same speed and scale. And so, I think we're going through a renaissance where a lot more is being automated, certainly on the Vertica roadmap, and our path has always been initially to get the data in and then we want the platform to do a lot more for our customers, lots more analytics, lots more machine-learning in the platform. So that's definitely been a lot of the buzz around, but what's really funny is when you talk to a lot of customers they're still struggling with just some basic stuff. Forget about the predictive thing, first you've got to get to what happened in the past. Let's give accurate reporting on what's actually happening. The other big thing I think as a disruption is, I think IOT, for all the hype that it's getting it's very real. And every device is kicking off lots of information, the feedback loop of AB testing or quality testing for predictive maintenance, it's happening almost instantly. And so you're getting massive amounts of new data coming in, it's all this machine sensor type data, you got to figure out what it means really quick, and then you actually have to do something and act on it within seconds. And that's a whole new area for so many people. It's not their traditional enterprise data network warehouse and you know, back to you comment on Stonebreaker, he got a lot of this right from the beginning, you know, and I think he looked at the architectures, he took a lot of the best in class designs, we didn't necessarily invent everything, but we put a lot of that together. And then I think the other you've got to do is constantly re-invent your platform. We came out with our Eon Mode to run cloud native, we just got rated the best cloud data warehouse from a net promoter score rating perspective, so, but we got to keep going you know, we got to keep re-inventing ourselves, but leverage everything that we've done in the past as well. >> So one of the things that you said, which is kind of relevant for here, Paul, is you're still seeing a real data quality issue that customers are wrestling with, and that's a big theme here, isn't it? >> Absolutely, and the, what goes around comes around, as Dave said earlier, we're still talking about information quality 13 years after this conference began. Have the tools to improve quality improved all that much? >> I think the tools have improved, I think that's another area where machine learning, if you look at Tamr, and I know you're going to have Andy here tomorrow, they're leveraging a lot of the augmented things you can do with the processing to make it better. But I think one thing that makes the problem worse now, is it's gotten really easy to pour data in. It's gotten really easy to store data without having to have the right structure, the right quality, you know, 10 years ago, 20 years ago, everything was perfect before it got into the platform. Right, everything was, there was quality, everything was there. What's been happening over the last decade is you're pumping data into these systems, nobody knows if it's redundant data, nobody knows if the quality's any good, and the amount of data is massive. >> And it's cheap to store >> Very cheap to store. >> So people keep pumping it in. >> But I think that creates a lot of issues when it comes to data quality. So, I do think the technology's gotten better, I think there's a lot of companies that are doing a great job with it, but I think the challenge has definitely upped. >> So, go ahead. >> I'm sorry. You mentioned earlier that we're seeing the death of Hadoop, but I'd like you to elaborate on that becuase (Dave laughs) Hadoop actually came up this morning in the keynote, it's part of what GlaxoSmithKline did. Came up in a conversation I had with the CEO of Experian last week, I mean, it's still out there, why do you think it's in decline? >> I think, I mean first of all if you look at the Hadoop vendors that are out there, they've all been struggling. I mean some of them are shutting down, two of them have merged and they've got killed lately. I think there are some very successful implementations of Hadoop. I think Hadoop as a storage environment is wonderful, I think you can process a lot of data on Hadoop, but the problem with Hadoop is it became the panacea that was going to solve all things data. It was going to be the database, it was going to be the data warehouse, it was going to do everything. >> That's usually the kiss of death, isn't it? >> It's the kiss of death. And it, you know, the killer app on Hadoop, ironically, became SQL. I mean, SQL's the killer app on Hadoop. If you want to SQL engine, you don't need Hadoop. But what we did was, in the beginning Mike sort of made fun of it, Stonebreaker, and joked a lot about he's heard of MapReduce, it's called Group By, (Dave laughs) and that created a lot of tension between the early Vertica and Hadoop. I think, in the end, we embraced it. We sit next to Hadoop, we sit on top of Hadoop, we sit behind it, we sit in front of it, it's there. But I think what the reality check of the industry has been, certainly by the business folks in these companies is it has not fulfilled all the promises, it has not fulfilled a fraction on the promises that they bet on, and so they need to figure those things out. So I don't think it's going to go away completely, but I think its best success has been disrupting the storage market, and I think there's some much larger disruptions of technologies that frankly are better than HTFS to do that. >> And the Cloud was a gamechanger >> And a lot of them are in the cloud. >> Which is ironic, 'cause you know, cloud era, (Colin laughs) they didn't really have a cloud strategy, neither did Hortonworks, neither did MapR and, it just so happened Amazon had one, Google had one, and Microsoft has one, so, it's just convenient to-- >> Well, how is that affecting your business? We've seen this massive migration to the cloud (mumbles) >> It's actually been great for us, so one of the things about Vertica is we run everywhere, and we made a decision a while ago, we had our own data warehouse as a service offering. It might have been ahead of its time, never really took off, what we did instead is we pivoted and we say "you know what? "We're going to invest in that experience "so it's a SaaS-like experience, "but we're going to let our customers "have full control over the cloud. "And if they want to go to Amazon they can, "if they want to go to Google they can, "if they want to go to Azure they can." And we really invested in that and that experience. We're up on the Amazon marketplace, we have lots of customers running up on Amazon Cloud as well as Google and Azure now, and then about two years ago we went down and did this endeavor to completely re-architect our product so that we could separate compute and storage so that our customers could actually take advantage of the cloud economics as well. That's been huge for us, >> So you scale independent-- >> Scale independently, cloud native, add compute, take away compute, and for our existing customers, they're loving the hybrid aspect, they love that they can still run on Premise, they love that they can run up on a public cloud, they love that they can run in both places. So we will continue to invest a lot in that. And it is really, really important, and frankly, I think cloud has helped Vertica a lot, because being able to provision hardware quickly, being able to tie in to these public clouds, into our customers' accounts, give them control, has been great and we're going to continue on that path. >> Because Vertica's an ISV, I mean you're a software company. >> We're a software company. >> I know you were a part of HP for a while, and HP wanted to mash that in and run it on it's hardware, but software runs great in the cloud. And then to you it's another hardware platform. >> It's another hardware platform, exactly. >> So give us the update on Micro Focus, Micro Focus acquired Vertica as part of the HPE software business, how many years ago now? Two years ago? >> Less than two years ago. >> Okay, so how's that going, >> It's going great. >> Give us the update there. >> Yeah, so first of all it is great, HPE and HP were wonderful to Vertica, but it's great being part of a software company. Micro Focus is a software company. And more than just a software company it's a company that has a lot of experience bridging the old and the new. Leveraging all of the investments that you've made but also thinking about cloud and all these other things that are coming down the pike. I think for Vertica it's been really great because, as you've seen Vertica has gotten its identity back again. And that's something that Micro Focus is very good at. You can look at what Micro Focus did with SUSE, the Linux company, which actually you know, now just recently spun out of Micro Focus but, letting organizations like Vertica that have this culture, have this product, have this passion, really focus on our market and our customers and doing the right thing by them has been just really great for us and operating as a software company. The other nice thing is that we do integrate with a lot of other products, some of which came from the HPE side, some of which came from Micro Focus, security products is an example. The other really nice thing is we've been doing this insource thing at Micro Focus where we open up our source code to some of the other teams in Micro Focus and they've been contributing now in amazing ways to the product. In ways that we would just never be able to scale, but with 4,000 engineers strong in Micro Focus, we've got a much larger development organization that can actually contribute to the things that Vertica needs to do. And as we go into the cloud and as we do a lot more operational aspects, the experience that these teams have has been incredible, and security's another great example there. So overall it's been great, we've had four different owners of Vertica, our job is to continue what we do on the innovation side in the culture, but so far Micro Focus has been terrific. >> Well, I'd like to say, you're kind of getting that mojo back, because you guys as an independent company were doing your own thing, and then you did for a while inside of HP, >> We did. >> And that obviously changed, 'cause they wanted more integration, but, and Micro Focus, they know what they're doing, they know how to do acquisitions, they've been very successful. >> It's a very well run company, operationally. >> The SUSE piece was really interesting, spinning that out, because now RHEL is part of IBM, so now you've got SUSE as the lone independent. >> Yeah. >> Yeah. >> But I want to ask you, go back to a technology question, is NoSQL the next Hadoop? Are these databases, it seems to be that the hot fad now is NoSQL, it can do anything. Is the promise overblown? >> I think, I mean NoSQL has been out almost as long as Hadoop, and I, we always say not only SQL, right? Mike's said this from day one, best tool for the job. Nothing is going to do every job well, so I think that there are, whether it's key value stores or other types of NoSQL engines, document DB's, now you have some of these DB's that are running on different chips, >> Graph, yeah. >> there's always, yeah, graph DBs, there's always going to be specialty things. I think one of the things about our analytic platform is we can do, time series is a great example. Vertica's a great time series database. We can compete with specialized time series databases. But we also offer a lot of, the other things that you can do with Vertica that you wouldn't be able to do on a database like that. So, I always think there's going to be specialty products, I also think some of these can do a lot more workloads than you might think, but I don't see as much around the NoSQL movement as say I did a few years ago. >> But so, and you mentioned the cloud before as kind of, your position on it I think is a tailwind, not to put words in your mouth, >> Yeah, yeah, it's a great tailwind. >> You're in the Amazon marketplace, I mean they have products that are competitive, right? >> They do, they do. >> But, so how are you differentiating there? >> I think the way we differentiate, whether it's Redshift from Amazon, or BigQuery from Google, or even what Azure DB does is, first of all, Vertica, I think from, feature functionality and performance standpoint is ahead. Number one, I think the second thing, and we hear this from a lot of customers, especially at the C-level is they don't want to be locked into these full stacks of the clouds. Having the ability to take a product and run it across multiple clouds is a big thing, because the stack lock-in now, the full stack lock-in of these clouds is scary. It's really easy to develop in their ecosystems but you get very locked into them, and I think a lot of people are concerned about that. So that works really well for Vertica, but I think at the end of the day it's just, it's the robustness of the product, we continue to innovate, when you look at separating compute and storage, believe it or not, a lot of these cloud-native databases don't do that. And so we can actually leverage a lot of the cloud hardware better than the native cloud databases do themselves. So, like I said, we have to keep going, those guys aren't going to stop, and we actually have great relationships with those companies, we work really well with the clouds, they seem to care just as much about their cloud ecosystem as their own database products, and so I think that's going to continue as well. >> Well, Colin, congratulations on all the success >> Yeah, thank you, yeah. >> It's awesome to see you again and really appreciate you coming to >> Oh thank you, it's great, I appreciate the invite, >> MIT. >> it's great to be here. >> All right, keep it right there everybody, Paul and I will be back with our next guest from MIT, you're watching theCUBE. (electronic jingle)

>> we'LL run. Welcome to this special. Keep conversation. We're here in Mountain View, California. The pure storage headquarters here in Castro Tree, one of the many buildings they have here as they continue to grow as a public company. Our next guest is Kicks Vice President of strategy Employee number six Pure. Great to see you. Thanks for spending time. Thanks for having me. So cloud is the big wave that's coming around the future itself here. Now, people really impacted by it operationally coming to the reality that they got to actually use the cloud of benefits for many, many multiple benefits. But you guys have major bones in storage, flash arrays continuing to take take territory. So as you guys do that, what's the cloud play? How to customers who were using pure. And we've heard some good testimonials Yet a lot of happy customers. We've seen great performance, Easy to get in reliability performances. They're in the storage side on premise. Right? Okay. Now Operations says, Hey, I build faster. Cloud is certainly path there. Certainly. Good one. Your thoughts on strategy for the cloud? >> Absolutely. So look for about ten years into the journey here, a pure. And a lot of what we did in the first ten years was helped bring flash onto the scene. Um, and you know what a vision when we started the company of the All Flash Data Center and I'd like to first of all, remind people that look, we ain't there yet. If you look at the analyst numbers, about a third of the storage sold this year will be flashed two thirds disk. So we still have a long way to go in the old flash data center and a lot of work to do there. But of course, increasingly customers are wanting to move, were close to the cloud. And I think the last couple of years have almost seen a pendulum swing a little bit more back to reality. You know, when I met with CEOs to three years ago, you often heard we're going all cloud. We're going to cloud first and, you know, now there a few years into it. And they've realized that that cloud is a very powerful weapon in their in their arsenal for agility, for flexibility. But it's not necessarily cheaper on DH. So I think the swing back to really believe in in hybrid is the model of the day, and I think that I think people have realised in that journey is that the club early works best when you build a nap for the cloud natively. But what if you have a bunch of on prime maps that are in traditional architecture? How do I get in the cloud? And so one of the things we really focused on is how we can help customers take their mission critical applications and move them seamlessly to the cloud without re architecture. Because for most customers, that's really going to start. I mean, they could build some new stuff in the cloud, but the bulk of their business, if they want to move substantial portions of the cloud, they've got to figure out how to move what they've got. And we think we really had value in that. >> And the economics of the cloud is undeniable. People who are born in the cloud will testify that certainly as you guys have been successful on premise with the cloud, how do you make those economics, he seem, was as well as the operations. This seems to be the number one goal when you talk about how important that is and how hard it is, because it sounds easy just to say it. But it's actually really difficult to have seamless operations on Prime because, you know, Amazon, Google, Microsoft, they all got computing storage in the cloud and you got story. John Premise. This equation is a really important one to figure out what the importance and how hard is it to some of things that you guys are doing to solve that. >> Yeah, So I heard two things that question one around costs and one around operations on. You know, the first thing I think that has been nice to see over the last couple of years as people realizing that both the cloud and on from our cost effective in different ways, and I think a little bit about the way that I think about owning a car. Owning a car is relatively cost effective for me, and there's times and taken uber is relatively cost effective. I think they're both cheap when you look it on one metric, though, about what I pay per mile, it's way more expensive to own a car to take a number look about acquisition cost. It's way more expensive. Car, right? And so I think both of them provide value of my lives in the way that hybrid does today. But once you start to use both than the operational, part of your question comes in. How do I think about these two different worlds? And I think we believe that that storage is actually one of the areas where these two worlds are totally different on dso a couple things we've done to find a bridge together. First off on the cost side, one of the things we realised was that people that are going to run large amounts of on prime infrastructure increasingly want to do it in the cloud model. And so we introduced a new pricing model that we call the S to evergreen storage service, which will essentially allows you to subscribe to our storage even in your own data center. And so you can have an optics experience in the cloud. You gotta monoprix experience on Prem and when you buy and yes, to those licenses are transferrable so you can start on Prem, Move your stories to the cloud with pure go back and forth tons of flexibility. From the operational point of view, I think we're trying to get to the same experience as well such that you have a single storage experience for a manageability and automation point of view across both. And I think that last word of automation is key, because if you look at people who are really invested in cloud, it's all about automation. In one of the nice things I think that's made pure, so successful in on Prime Claude environments is this combination of simplicity and automation. You can't we automate what isn't simple to begin with on DH. So we started with simplicity. But as we've added rich FBI's, we're really seeing that become the dominant way that people administrated our storage. And so as we've gone to the cloud because it's the same software on both sides, literally the same integrations, the same AP calls everything works transparently across both places. >> That's a great point. We've been reporting on silicon ng on the Cube for years. Automation grave. You have to couple of manual taxes and automated, but the values and shifting and you guys in the storage business you know this data's data data is very valuable. You mentioned the car and Alice just take uber uber is an app. It's got Web services in the back end. So when you start thinking about cloud, you think you hear ap eyes You hear micro services as more and more applications going to need the data, they're going to need to have that in real time, some cases not near real time, either real time. And they're gonna need to have at the right time. So the role of data becomes important, which makes storage more important. So you automate the story, Okay, Take away that mundane tasks. Now the value shifts to making sure data is being presented properly. This is the renaissance of application development. Right now we're seeing this. How do you guys attack that market? How do you guys enable that? Mark, how do you satisfy that market? Because this is where the AP eyes could be connectors. This is where the data can be valuable. Whether it's analytic, score an app like uber. That's just, you know, slinging AP eyes together for a service that is now going to go public. Yeah, >> I think the mindset around data is one of the biggest differences between the old world in the New World. And if you think about the old world of applications. Yeah, monolithic databases that kind of privately owned their own data stores and the whole name of the game was delivering that as reliably as possible, kind of locking it down, making it super reliable. If you look at the idea of the Web scale application, the idea of an application is broken up into lots of little micro services, and those maker services somehow have to work together on data. And so what does it mean that the data level, it's not this kind of monolithic database anymore? It's got to be this open shared environment and, you know, as a result, if you look in the Web in Amazon's case, for example, the vast majority of applications are written on history object storage that's inherently shared. And so I think one of the bigger interesting challenges right now is how you get data constructs to actually go both ways. You know, if you want to take a non prime map that kind of is built around the database, you've got to figure out a way to move it to the cloud and ronit reliably on the flipside of the coin. If you want to build on Web skill tools and then be hybrid and run some of those things on Prem, well, you need an object store on prim and most people don't have that. And so you know, this whole kind of compatibility to make hybrid reality. It's forcing people on both sides of the weir to understand the other architecture er, and make sure they're compatible both ways >> and throw more complex into that equation. Is that skills, gaps? I know I know that cloud needed. But now men on premise so different skill got you guys had an announcement that's come out. So I want to ask you about your product announcement and your acquisitions. Go back to past six months. What's the most notable product announcements inequities that you guys have done? And what does that mean for pure and your customers? Yeah, >> absolutely. So I'll just kind of walk through it, So the first thing we announced was our new set of Cloud data services, and this was in essence, bringing our core software that runs on our purity. Operating environment right into the cloud. And so we call that cloud block store. And again, this is a lot of what I've been talking about, how you can take a tier one block storage application on Prem and seamlessly move it to the cloud along that same timeline. We also introduce something called P S O, which is the pure service orchestrator. And this was a tool set that we built specifically for the containers world for communities so that basically, in a container environment, our storage could be completely automated. It's been really fun watching customers use and just see how different that storage is in a container environment. You know, we look at our call home data with an R P. R. One application, and in our traditional on prime environment, the average array has about one administrative tasks per day. Make a volume. Delete something, Whatever. If you look in a container environment, that's tens of thousands, and so it's just a much more fluid environment, which there's no way a storage at Ben's going to do something ten thousand times a day they've got on, >> and that's where automation comes in. But what does that mean? the continuous station. That means the clients are using containers to be more flexible, they deploying more. What's the What's the inside of this container trend? >> You know, I think ultimately it's just a farm or fluid environment. It's totally automated, Andi. It's built on a world of share data. And so you need a shared, reliable data service that can power these containers, Um and then, you know, back to original question about about kind of product expansion. The next thing that we haven't announced last year was acquisition of a company called Story Juice, and we've subsequently brought out as a product that we call Object Engine. And this is all about a new type of data moving into the club, which is backup data and facilitating in this backup process. You know, in the past, people moved from tape back up to the space back up and, you know, we saw kind of two new inflection points here. Number one the opportunity Use flash on Prem. So the people have really fast recoveries on prep because in most environments now, space recovery just aren't fast enough, and then using low cost object storage in the cloud for retention. So the combination of flash on Prem and Object Storage in the Cloud can completely replace both disc and tape in the back of process >> case. I won the competition because you guys came in really with the vision of all Flash Data Center. You now have a cloud software that runs on Amazon and others with words. No hardware, he just the blocks are great solution. How have the competition fallen behind you guys really kind of catapulted into the lead, took share certainly from other vendors. In my public, someone predicted that pure would never make it to escape velocity. Some other pundits and other CEOs of tech company said that you guys achieve that, but their success now You guys go the next level. What is the importance of that ability you have? And what's the inability of the competition? So, you know, I like >> to joke with folks. When we started the company, I think flashes. It's an excuse, you know, We just tried to build a better storage company and we went out and I talkto many, many, many customers, and I found in general they didn't just not like their stories products they didn't like the companies that sold it to them, and so we tried to look at that overall experience. And, you know, we, of course, innovated around flash use. Consumer fresh brought the price down so I could actually afford to use it with the duplication. But we also just looked at that ownership experience. And when I talk to folks in the history, I think now we might even be better known for are evergreen approach that even for Flash. And it's been neat to watch customers now that even the earliest your customers or two or three cycles of refreshing they've seen a dramatic difference in just the storage experience that you can essentially subscribe to. A known over time through many generations of technology. Turn as opposed to that cycle of replacing a raise >> share a story of a custom that's been through that's reached fresh cycles from their first experience to what they're experienced. Now what what? Some of the experiences like any share some some insight. >> Yeah, so, you know, one of one of the first customers that really turn us on to this. That scale was a large telco provider, and they were interesting they run, you know, hundreds of here wanna raise from from competitors and you know, they do a three year cycle. But as they really like, looked at the cost of that three or cycle. They realized that it was eighteen months of usable life in those three years because it took him nine months to get the dirt on the array. And then when they knew the end was coming, it took him nine months to get the data off the array. And so parade it was cost him a million dollars just in data migration costs alone. Then you've wasted half of your life of the array, and so add that up over hundreds of raising your environment. You can quickly get the math. >> It's just it's a total cost of ownership, gets out of control, right? And >> so as we brought in Evergreen, there's just an immediate roo. I mean, it was accost equation. It was, you know, on parity with flash disk anyway. But if you look at all those operational savings, itjust is completed. And so I think what we started with Evergreen, we realised it was much more of a subscription model where people subscribe to a service with us. We updated. Refresh the hardware over time and it just keeps getting better over time. Sounds >> a lot like the cloud, right? And so we really your strategies bring common set of tools in there and read them again. That kind of service that been Kia. >> Yeah, I think you know another thing that we did from Day one was like, We're never gonna build a piece of on prime management software. So are on print. Our management experience from Day one was pure one, which is our SAS base management platform. You know, it started out as a call home application, but now is a very full featured south space management experience. And that's also served us well as you go to the cloud, because when you want to manage on permanent cloud together, we're about to do it from then the cloud itself >> tell about the application environment you mentioned earlier hybrid on multi class here. Ah, a lot of pressure and I t to get top line revenue, not just cost reduction was a good benefits you mentioned certainly gets their attention. But changing the organization's value proposition to their customers is about the experience either app driven or some other tech. This is now an imperative. It's happening very fast. Modernisation Renaissance. People call it all these things. How you guys helping that piece of the >> puzzle? Yeah, I mean, I think ultimately, for most customers, as they start toe really getting their mindset, that technology is there. Differentiation speed into Julia there, developers becomes key. And so you know, modern CEO is much less about being a cost cutting CEO today, and much more about that empower in Seo and how you can actually build the tools and bring them there for the ordination. Run faster. And a lot of that is about unlocking consumption. And so it's been it's been fun to see some of the lessons of the cloud in terms of instant consumption, agility growth actually come to the mindset of how people think about on Primus. Well, and so a lot of what we've done is tried Teo armed people on prom with those same capabilities so that they can easily deliver storage of service to their customers so folks can consume the FBI without having to call somebody to ask for storage. So things could take seconds, not weeks of procurement, right? And then now, as we bridge those models between on permanent cloud, it becomes a single spot where you can basically have that same experience to request storage wherever it may be. In the organization, >> the infrastructures code is really just, you know, pushing code not from local host or the machine, but to cloud or on prim and just kind of trickle all the way through. This is one of the focuses we're hearing in cloud native conversations, as you know, words like containers We talked briefly about you mentioned in the activities. Hi, Cooper Netease is really hot right now. Service meshes Micro services state ful Data's stateless data. These air like really hyped up areas, but a lot of traction force people take a look at it. How do you guys speak to the customers when they say, hey, kicks? We love all the pure stuff. We're on our third enter federation or anything about being a customer. I got this looming, you know, trend. I gotto understand, and either operationalize or not around. Cooper Netease service mesh these kinds of club native tools. How do you guys talk to that customer. What's the pitch? That's the value proposition. >> Yeah. I mean, I think you know, your your new Kupres environment is the last place you should consider a legacy Storage, You know, all all joking aside, we've We've been really, I think possibly impressed around how fast the adoption it started around containers in general. And Cooper, that is, You know, it started out as a developer thing. And, you know, we first saw it in our environment. When we started to build our second product up your flash blade four, five years ago, the engineering team started with honors from Day one. It was like, That's interesting. And so we started to >> see their useful. We have containers and communities worker straight, pretty nights. And >> so, you know, we just started to see that grow way also started to see it more within analytics and a I, you know, as we got into a I would area and are broader push around going after Big Gate and analytics. Those tool chains in particular, were very well set up to take advantage of containers because they're much more modern. That's much more about, you know, fluidly creating this data pipeline. And so it started in these key use cases. But I think you know, it's at a point right now where every enterprises considering it, there's certainly an opportunity in the development environment. And, you know, despite all of that, the folks who tend to use these containers, they don't think about storage. You know that if they go to the cloud and they start to build applications, they're not thinking many layers down in the organization. What the story is that supports me looks like. And so if you look at a storage team's job or never structure seems job is to provide the same experience to your container centric consumers, right? They should just be able Teo, orchestrate and build, and then stories should just happen underneath. >> I told Agree that I think that success milestone. If you could have that conversation that he had, you know you're winning what they do care about. We're hearing more of what you mentioned earlier about data pipeline data they care about because applications will be needing data. But it's a retail app or whatever. I might need to have access to multiple data, not some siloed or you know, data warehouse that might have little, you know. Hi, Leighton. See, they need data in the AP at the right moment. This has been a key discussion. Real time. I mean, this is the date. It's It's been a hard problem. Yeah. How do you guys look at that solution opportunity for your customers? I >> think one of the insights we had was that fundamentally folks needed infrastructure that cannot just run one tool or another tool, but a whole bunch of them. And, you know, you look at people building a data pipeline there, stitching together six, eight, ten tools that exist today and another twenty that don't exist tomorrow. And that flexibility is key, right? A lot of the original thought in that space was going to pick the right storage for this piece of the write stories for that piece. But as we introduced our flash blade product, we really position it as a data hub for these modern applications. And each of them requires something a little different. But the flexibility and scale of flash played was able to provide everything those applications needed. We're now seeing another opportunity in that space with Daz and the traditional architecture. You know, as we came out with envy me over fabrics within our flash ray product line. We see this is a way to really take Web scale architecture on Prem. You know, you look Quinn's within Google and Amazon and whatnot, right? They're not using hyper converge there, not using Daz disc inside of the same chassis that happens. We're on applications. They have dedicated in frustration for storage. That's simply design for dedicated servers. And they're connected with fast Internet, you know, networking on demand. And so we're basically trying to bring that same architecture to the on prime environment with nd me over fabric because they need me over fabric can make local disc feel like you know as fun. >> But this is the shift that's really going on here. This is a complete re architecture of computing and storage. Resource is >> absolutely, you know, and I think the thing that's changing it is that need for consolidation. In the early days, I might have said, Okay, I'm gonna deploy. I don't know, two hundred nodes of the Duke and all just design a server for her dupe with the right amount of discontent and put him over in those racks, and that will be like this. Then I'LL design something else for something else. Right now, people are looking for defining Iraq. They can print out, over and over and over and over again, and that rack needs to be flexible enough to deliver the right amount of storage to every application on demand over and >> over. You know, one trend I want get your reaction to a surveillance because this kind of points that value proposition functions have been very popular. It's still early days on what functions are, but is a tell sign a little bit on where this is going to your point around thinking, rethinking on Prem not in the radical wholesale business model change, but just more of operating change. I was deployed and how it works with the cloud because those two things, if working together, make server Lis very interesting. >> Yeah, absolutely. I mean, it's just a further form of abstraction, ultimately from the underlying hardware. And so you know, if you think about functions on demand or that kind of thing, that's absolute, something that just needs a big shared pool of storage and not to have any persistent findings to anything you know, Bill, to get to the storage needs, do its task, right? What it needs to and get out of the way. Right? >> Well, VP of strategy. A big roll. You guys did a good job. So congratulations being the number six employees of pure. How's the journey been? You guys have gone public, Still growing. Been around for it on those ten years. You're not really small little couple anymore. So you're getting into bigger accounts growing. How's that journey been for you? >> It's so it's been an amazing right. That's why I'm still here, coming in every day, excited to come to work. I think they think that we're the proudest of is it still feels like a small company. It still feels with, like we have a much aggression and much excitement to go out for the market everyday, as we always have the oranges very, very strong. But on the flip side, it's now fun that we get to solve customer problems at a scale that we probably could have even imagined in the early days. And I would also say right now it really feels like there's this next chapter opening up. You know, the first chapter was delivering the all flashes, and we're not even done with that yet. But as we bring our software to the cloud and really poured it natively be optimized for each of the clouds. It kind of opens up. Our engineers tto be creative in different ways. >> Generational shift happening. Seeing it, you know again. Application, modernization, hybrid multi clouded. Just some key pillars. But there's so much more opportunity to go. I want your thoughts. You've had the luxury of being working under two CEOs that have been very senior veterans Scott Dietzen and Charlie. What's it like working with both of them? And what's it like with Charlie? Now it's What's the big mandate? What what's the Hill you guys are trying to climb? Share some of the vision around Charlene's? Well, >> I'd say the thing that binds both Scott and truly together in DNA is that they're fundamentally both innovators. And, you know, if you look at pure, we're never going to be the low cost leader. We're not going to be. The company tells you everything, so we have to be the company that's most innovative in the spaces we playing. And so you know, that's job number one. It pure after reliability. So let's say that you remember, too. But that's key. And I think both of both of our CEOs have shared that common DNA, which is their fundamentally product innovators. And I think that's the fun thing about working for Charlie is he's really thoughtful about how you run a company of very large scale. How you how you manage the custom relationship to never sacrifice that experience because that's been great for pure but ultimately how you also, unlike people to run faster and a big organization, >> check every John Chambers, who Charlie worked with Cisco. With the back on the day, he said, One of the key things about a CEO is picking the right wave the right time. What is that way for pure. What do you guys riding that takes advantage of? The work still got to do in the data center on the story side. What's the big wave? >> So, you know, look, the first way was flash. That was a great way to be on and before its not over. But we really see a and an enormous opportunity where cloud infrastructure mentality comes on. And, you know, we think that's going to finally be the thing that gets people out of the mindset of doing things the old way. You know, you fundamentally could take the lessons we learned over here and apply it to the other side of my hybrid cloud. Every talks about hybrid cloud and all the thought processes what happens over the cloud half of the hybrid. Well, Ian from half of the hybrid is just as important. And getting that to be truly Cloudera is a key focus of >> Arya. And then again, micro Services only helped accelerate. And you want modern story, your point to make that work absolutely kicks. Thanks for spending time in sparing the insides. I really appreciate it. It's the Cube conversation here of Pure stores. Headquarters were in the arcade room. Get the insights and share in the data with you. I'm job for your Thanks for watching this cube conversation

>> Hi, I'm Peter Burris, Chief Research Officer for Wikibon Cube and welcome to another special digital community event. Today we are going to be presenting Wikibon's 2019 trends. Now, I'm here in our Palo Alto Studios in kind of a low tech mode. Precisely, because all our our crews are out at all the big shows bringing you the best of what's going on in the industry, and broadcasting it over The Cube. But that is okay because I've asked each of our Wikibon analysts to use a similar approach to present their insights into what would be the most impactful trends for 2019. Now the way we are going to do this is first we are going to use this video as base of getting our insights out, and then at the end we are going to utilize a crowd chat to give you an opportunity to present your insights back to the community. So, at the end of this video, please stay with us, and share your insights, share your thoughts, your experience, ask your questions about what you think will be the most impactful trends of 2019 and beyond. >> A number of years ago Wikibon predicted that cloud, while dominating computing, would not feature all data moving to the cloud but rather, the cloud experience and cloud services moving to the data. We call that true private cloud computing, and there has, nothing has occurred in the last couple of years that has suggested that we were, anyway, wrong about this prediction. In fact, if we take a look at what's going on with Edge, our expectations that increasingly Edge computing and on Premise technology, or needs, would further accelerate the rate at which cloud experiences end up on Premise, end up at the Edge, and that would be the dominant model for how we think about computing over the course of the next few years. That leads to greater distribution of data. That leads to greater distribution of places where data actually will be used. All under the aegis of cloud computing but not utilizing the centralized public cloud model that so many predicted. >> A prediction we'd like to talk about is how multi-cloud and orchestration of those environments fit together. At Wikibon, we've been looking for many years at how digital businesses are going to leverage cloud, and cloud is not a singular entity, and therefore the outcomes that you are looking for, often require that you use more than one cloud, specially if you are looking at public clouds. We've been seeing the ascendance of Kubernetes as a fundamental foundational piece of enabling this multi-cloud environment. Kubernetes is not the sole thing, and of course, you don't want to overemphasize any specific tool, but you are seeing, driven by the CNC AFT in a broad ecosystem, that Kubernetes is getting into all the platforms, both public and private cloud, and that we predict that by 2020, 90% of multi-cloud enterprise applications will use Kubernetes to lead for the enablement of their multicloud strategies. >> One of the biggest challenges that the industry is going to face over the next few years is how to deal with multi-cloud. We predict, ultimately, that a sizable percentage of the marketplace, as much as 90%, will be taking a multi--cloud approach first to how they conceive, build, and operate their high, strategic value applications that are engaging customers, engaging partners, and driving their businesses forward. However, that creates a pressing need for three new classes of Technology. Technology that provides multi-cloud inter-networking; Technology that provides orchestration services across clouds, and finally Technologies that ensure data protection across multi-cloud. While each of these domains by themselves is relatively small today, we think that over the next decade they will, each, grow into market that are tens of billions if not hundreds of billions of dollars in size. >> The picture I'd like to talk about a very few, the Robotic Process Automation, RPA. So we've observed that there's a widening gap between how many jobs are available world wide and the number of qualified candidates to fill those jobs. RPA, we believe, is going to become a fundamental approach to closing that gap, and really operationalizing artificial intelligence. Executives that we talk to in The Cube; They realize they just can't keep throwing bodies at the problem, so this so called "software robots" are going to become increasingly easy to use. And we think that low code or no code approaches to automation and automating work flows are going to drive the RPA market from its current position, which is around a billion dollars to more than ten X, or ten billion dollars plus by 2023. I predict that in 2019 what we are going to see is more containerization of AI machine learning for deployment to the Edge, throughout the multi-cloud. It's a trend that's been going on for some time. In particular, what we are going to be seeing is a increasing focus on technologies, or projects in code base such as Cube flow, which has been established in this year just gone by to support that approach for containerization of AI out to the edges. In 2019, we are going to see the big guys, like Google, and AWS, and Microsoft, and others in the whole AI space begin to march around the need for a common delatched framework suck such as Cube Flow, because really that is where many of their customers are going. The data scientists and App developers who are building these applications; They want to manage these over Kubernetes using these CNC stacks of tooling and projects to enable a degree of supportability and maintain ability and scalability around containerized intelligent applications. >> My prediction is around the move from linear programming and data models to matrix computing. This is a move that's happening very quicly, indeed, as new types of workload come on. And these workloads include AI, VR, AR, Video Gaming, very much at the edge of things. And ARM is the key provider of these types of computing chips and computing models that are enabling this type of programming to happen. So my prediction is that this type of programming is gonna start very quickly in 2019. It's going to rule very rapidly about two years from now, in 2021, into the enterprise market space, but that the preparation for this type of computing and the movement of work right to the edge, very, very close to the senses, very, very close to where the users are themselves is going to accelerate over the next decade. >> The prediction I'd like to make in 2019 is that the CNCF, as the steward of the growing cloud native stack, they'll expand the range of projects to include the frontier topics, really the frontier paradigms, in micro sources in cloud computing; I'm talking about Serverlus. My prediction is that virtual Kubelets will become an incubating project at CNCF to address the need to provide Serverlus event driven interfaces to containerize orchestrated micro sources. I'd also like to predict that VM and container coexistence will proceed apace in terms of a project such as, specially Kubevirt. I think will become also a CNCF project. And I think it will be adopted fairly widely. And one last prediction, in that vein, is that the recent working group that CNCF has established with Eclipse, around IOT, the internet of things. I think that will come to fruition. There is an Eclipse project called Ditto that uses IOT, and AI, and digital twins, a very interesting way for industrial and other applications. I think that will come under the auspices of CNC in the coming year. >> Security remains vexing to the cloud industry, and the IT industry overall. Historically, it's been about restricting access, largely at the perimeter, and once you provide through the perimeter user would have access to an entire organization's resources, digital resources, whether they be files, or applications, or identities. We think that has to change, largely as a consequence of businesses now being restructured, reorganized, and re-institutionalizing work around data. That what's gonna have to happen is a notion of zero trust security is going to be put in place that is fundamentally tied to the notion of sharing data. So, instead of restriction access at the perimeter, you have to restrict access at the level of data. That is going to have an enormous set of implication overall, for how the computing industry works. But two key technologies are essential to making zero trust security work. One is software to find infrastructure, so that you can make changes to the configuration of your security policies and instances by other software and to, very importantly, high quality analytics that are bringing the network and security functions more closely together and through the shared data are increasing the use of AI, the use of machine learning, etc and ensuring higher quality security models across multiple clouds. It's always great to hear from the Wikibon analysts about what is happening in the industry and what is likely to happen in the industry. But now, let's hear from you, so let's jump into the cloud chat as an opportunity for you to present your ideas, your insights, ask your questions, share your experience. What will be the most important trends and issues in 2019 and beyond, as far as you are concerned. Thank you very much for listening. Now let's cloud chat.

>> Live from New York. It's theCUBE. Covering theCUBE New York City, 2018. Brought to you by SiliconANGLE Media, and it's ecosystem partners. >> I'm John Furrier with Peter Burris, our next two guests are Jim Franklin with Dell EMC Director of Product Management Anant Chintamaneni, who is the Vice President of Products at BlueData. Welcome to theCUBE, good to see you. >> Thanks, John. >> Thank you. >> Thanks for coming on. >> I've been following BlueData since the founding. Great company, and the founders are great. Great teams, so thanks for coming on and sharing what's going on, I appreciate it. >> It's a pleasure, thanks for the opportunity. >> So Jim, talk about the Dell relationship with BlueData. What are you guys doing? You have the Dell-ready solutions. How is that related now, because you've seen this industry with us over the years morph. It's really now about, the set-up days are over, it's about proof points. >> That's right. >> AI and machine learning are driving the signal, which is saying, 'We need results'. There's action on the developer's side, there's action on the deployment, people want ROI, that's the main focus. >> That's right. That's right, and we've seen this journey happen from the new batch processing days, and we're seeing that customer base mature and come along, so the reason why we partnered with BlueData is, you have to have those softwares, you have to have the contenders. They have to have the algorithms, and things like that, in order to make this real. So it's been a great partnership with BlueData, it's dated back actually a little farther back than some may realize, all the way to 2015, believe it or not, when we used to incorporate BlueData with Isilon. So it's been actually a pretty positive partnership. >> Now we've talked with you guys in the past, you guys were on the cutting edge, this was back when Docker containers were fashionable, but now containers have become so proliferated out there, it's not just Docker, containerization has been the wave. Now, Kubernetes on top of it is really bringing in the orchestration. This is really making the storage and the network so much more valuable with workloads, whether respective workloads, and AI is a part of that. How do you guys navigate those waters now? What's the BlueData update, how are you guys taking advantage of that big wave? >> I think, great observation, re-embrace Docker containers, even before actually Docker was even formed as a company by that time, and Kubernetes was just getting launched, so we saw the value of Docker containers very early on, in terms of being able to obviously provide the agility, elasticity, but also, from a packaging of applications perspective, as we all know it's a very dynamic environment, and today, I think we are very happy to know that, with Kubernetes being a household name now, especially a tech company, so the way we're navigating this is, we have a turnkey product, which has containerization, and then now we are taking our value proposition of big data and AI and lifecycle management and bringing it to Kubernetes with an open source project that we launched called Cube Director under our umbrella. So, we're all about bringing stateful applications like Hadoop, AI, ML to the community and to our customer base, which is some of the largest financial services in health care customers. >> So the container revolution has certainly groped developers, and developers have always had a history of chasing after the next cool technology, and for good reason, it's not like just chasing after... Developers tend not to just chase after the shiny thing, they chased after the most productive thing, and they start using it, and they start learning about it, and they make themselves valuable, and they build more valuable applications as a result. But there's this interesting meshing of creators, makers, in the software world, between the development community and the data science community. How are data scientists, who you must be spending a fair amount of time with, starting to adopt containers, what are they looking at? Are they even aware of this, as you try to help these communities come together? >> We absolutely talk to the data scientists and they're the drivers of determining what applications they want to consume for the different news cases. But, at the end of the day, the person who has to deliver these applications, you know data scientists care about time to value, getting the environment quickly all prepared so they can access the right data sets. So, in many ways, most of our customers, many of them are unaware that there's actually containers under the hood. >> So this is the data scientists. >> The data scientists, but the actual administrators and the system administrators were making these tools available, are using containers as a way to accelerate the way they package the software, which has a whole bunch of dependent libraries, and there's a lot of complexity our there. So they're simplifying all that and providing the environment as quickly as possible. >> And in so doing, making sure that whatever workloads are put together, can scaled, can be combined differently and recombined differently, based on requirements of the data scientists. So the data scientist sees the tool... >> Yeah. >> The tool is manifest as, in concert with some of these new container related technologies, and then the whole CICD process supports the data scientist >> The other thing to think about though, is that this also allows freedom of choice, and we were discussing off camera before, these developers want to pick out what they want to pick out what they want to work with, they don't want to have to be locked in. So with containers, you can also speed that deployment but give them freedom to choose the tools that make them best productive. That'll make them much happier, and probably much more efficient. >> So there's a separation under the data science tools, and the developer tools, but they end up all supporting the same basic objective. So how does the infrastructure play in this, because the challenge of big data for the last five years as John and I both know, is that a lot of people conflated. The outcome of data science, the outcome of big data, with the process of standing up clusters, and lining up Hadoop, and if they failed on the infrastructure, they said it was a failure overall. So how you making the infrastructure really simple, and line up with this time of value? >> Well, the reality is, we all need food and water. IT still needs server and storage in order to work. But at the end of the day, the abstraction has to be there just like VMware in the early days, clouds, containers with BlueData is just another way to create a layer of abstraction. But this one is in the context of what the data scientist is trying to get done, and that's the key to why we partnered with BlueData and why we delivered big data as a service. >> So at that point, what's the update from Dell EMC and Dell, in particular, Analytics? Obviously you guys work with a lot of customers, have challenges, how are you solving those problems? What are those problems? Because we know there's some AI rumors, big Dell event coming up, there's rumors of a lot of AI involved, I'm speculating there's going to be probably a new kind of hardware device and software. What's the state of the analytics today? >> I think a lot of the customers we talked about, they were born in that batch processing, that Hadoop space we just talked about. I think they largely got that right, they've largely got that figured out, but now we're seeing proliferation of AI tools, proliferation of sandbox environments, and you're psyched to see a little bit of silo behavior happening, so what we're trying to do is that IT shop is trying to dispatch those environments, dispatch with some speed, with some agility. They want to have it at the right economic model as well, so we're trying to strike a better balance, say 'Hey, I've invested in all this infrastructure already, I need to modernize it, and that I also need to offer it up in a way that data scientists can consume it'. Oh, by the way, we're starting to see them start to hire more and more of these data scientists. Well, you don't want your data scientists, this very expensive, intelligent resource, sitting there doing data mining, data cleansing, detail offloads, we want them actually doing modeling and analytics. So we find that a lot of times right now as you're doing an operational change, the operational mindset as you're starting to hire these very expensive people to do this very good work, at the corest of the data, but they need to get productive in the way that you hired them to be productive. >> So what is this ready solution, can you just explain what that is? Is it a program, is it a hardware, is it a solution? What is the ready solution? >> Generally speaking, what we do as a division is we look for value workloads, just generally speaking, not necessarily in batch processing, or AI, or applications, and we try and create an environment that solves that customer challenge, typically they're very complex, SAP, Oracle Database, it's AI, my goodness. Very difficult. >> Variety of tools, using hives, no sequel, all this stuff's going on. >> Cassandra, you've got Tensorflow, so we try fit together a set of knowledge experts, that's the key, the intellectual property of our engineers, and their deep knowledge expertise in a certain area. So for AI, we have a sight of them back at the shop, they're in the lab, and this is what they do, and they're serving up these models, they're putting data through its paces, they're doing the work of a data scientist. They are data scientists. >> And so this is where BlueData comes in. You guys are part of this abstraction layer in the ready solutions. Offering? Is that how it works? >> Yeah, we are the software that enables the self-service experience, the multitenancy, that the consumers of the ready solution would want in terms of being able to onboard multiple different groups of users, lines of business, so you could have a user that wants to run basic spark, cluster, spark jobs, or you could have another user group that's using Tensorflow, or accelerated by a special type of CPU or GPU, and so you can have them all on the same infrastructure. >> One of the things Peter and I were talking about, Dave Vellante, who was here, he's at another event right now getting some content but, one of the things we observed was, we saw this awhile ago so it's not new to us but certainly we're seeing the impact at this event. Hadoop World, there's now called Strata Data NYC, is that we hear words like Kubernetes, and Multi Cloud, and Istio for the first time. At this event. This is the impact of the Cloud. The Cloud has essentially leveled the Hadoop World, certainly there's some Hadoop activity going on there, people have clusters, there's standing up infrastructure for analytical infrastructures that do analytics, obviously AI drives that, but now you have the Cloud being a power base. Changing that analytics infrastructure. How has it impacted you guys? BlueData, how are you guys impacted by the Cloud? Tailwind for you guys? Helpful? Good? >> You described it well, it is a tailwind. This space is about the data, not where the data lives necessarily, but the robustness of the data. So whether that's in the Cloud, whether that's on Premise, whether that's on Premise in your own private Cloud, I think anywhere where there's data that can be gathered, modeled, and new insights being pulled out of, this is wonderful, so as we ditched data, whether it's born in the Cloud or born on Premise, this is actually an accelerant to the solutions that we built together. >> As BlueData, we're all in on the Cloud, we support all the three major Cloud providers that was the big announcement that we made this week, we're generally available for AWS, GCP, and Azure, and, in particular, we start with customers who weren't born in the Cloud, so we're talking about some of the large financial services >> We had Barclays UK here who we nominated, they won the Cloud Era Data Impact Award, and what they're actually going through right now, is they started on Prem, they have these really packaged certified technology stacks, whether they are Cloud Era Hadoop, whether they are Anaconda for data science, and what they're trying to do right now is, they're obviously getting value from that on Premise with BlueData, and now they want to leverage the Cloud. They want to be able to extend into the Cloud. So, we as a company have made our product a hybrid Cloud-ready platform, so it can span on Prem as well as multiple Clouds, and you have the ability to move the workloads from one to the other, depending on data gravity, SLA considerations. >> Compliancy. >> I think it's one more thing, I want to test this with you guys, John, and that is, analytics is, I don't want to call it inert, or passive, but analytics has always been about getting the right data to human beings so they can make decisions, and now we're seeing, because of AI, the distinction that we draw between analytics and AI is, AI is about taking action on the data, it's about having a consequential action, as a result of the data, so in many respects, NCL, Kubernetes, a lot of these are not only do some interesting things for the infrastructure associated with big data, but they also facilitate the incorporation of new causes of applications, that act on behalf of the brand. >> Here's the other thing I'll add to it, there's a time element here. It used to be we were passive, and it was in the past, and you're trying to project forward, that's no longer the case. You can do it right now. Exactly. >> In many respects, the history of the computing industry can be drawn in this way, you focused on the past, and then with spreadsheets in the 80s and personal computing, you focused on getting everybody to agree on the future, and now, it's about getting action to happen right now. >> At the moment it happens. >> And that's why there's so much action. We're passed the set-up phase, and I think this is why we're hearing, seeing machine learning being so popular because it's like, people want to take action there's a demand, that's a signal that it's time to show where the ROI is and get action done. Clearly we see that. >> We're capitalists, right? We're all trying to figure out how to make money in these spaces. >> Certainly there's a lot of movement, and Cloud has proven that spinning up an instance concept has been a great thing, and certainly analytics. It's okay to have these workloads, but how do you tie it together? So, I want to ask you, because you guys have been involved in containers, Cloud has certainly been a tailwind, we agree with you 100 percent on that. What is the relevance of Kubernetes and Istio? You're starting to see these new trends. Kubernetes, Istio, Cupflow. Higher level microservices with all kinds of stateful and stateless dynamics. I call it API 2.0, it's a whole other generation of abstractions that are going on, that are creating some goodness for people. What is the impact, in your opinion, of Kubernetes and this new revolution? >> I think the impact of Kubernetes is, I just gave a talk here yesterday, called Hadoop-la About Kubernetes. We were thinking very deeply about this. We're thinking deeply about this. So I think Kubernetes, if you look at the genesis, it's all about stateless applications, and I think as new applications are being written folks are thinking about writing them in a manner that are decomposed, stateless, microservices, things like Cupflow. When you write it like that, Kubernetes fits in very well, and you get all the benefits of auto-scaling, and so control a pattern, and ultimately Kubernetes is this finite state machine-type model where you describe what the state should be, and it will work and crank towards making it towards that state. I think it's a little bit harder for stateful applications, and I think that's where we believe that the Kubernetes community has to do a lot more work, and folks like BlueData are going to contribute to that work which is, how do you bring stateful applications like Hadoop where there's a lot of interdependent services, they're not necessarily microservices, they're actually almost close to monolithic applications. So I think new applications, new AI ML tooling that's going to come out, they're going to be very conscious of how they're running in a Cloud world today that folks weren't aware of seven or eight years ago, so it's really going to make a huge difference. And I think things like Istio are going to make a huge difference because you can start in the cloud and maybe now expand on to Prem. So there's going to be some interesting dynamics. >> Without hopping management frameworks, absolutely. >> And this is really critical, you just nailed it. Stateful is where ML will shine, if you can then cross the chasma to the on Premise where the workloads can have state sharing. >> Right. >> Scales beautifully. It's a whole other level. >> Right. You're going to the data into the action, or the activity, you're going to have to move the processing to the data, and you want to have nonetheless, a common, seamless management development framework so that you have the choices about where you do those things. >> Absolutely. >> Great stuff. We can do a whole Cube segment just on that. We love talking about these new dynamics going on. We'll see you in CF CupCon coming up in Seattle. Great to have you guys on. Thanks, and congratulations on the relationship between BlueData and Dell EMC and Ready Solutions. This is Cube, with the Ready Solutions here. New York City, talking about big data and the impact, the future of AI, all things stateful, stateless, Cloud and all. It's theCUBE bringing you all the action. Stay with us for more after this short break.

>> Live, from San Francisco, it's theCube covering DockerCon 18, brought to you by Docker, and its ecosystem partners. >> Welcome back to theCube, we are live at DockerCon 2018, in San Francisco, on a beautiful day. Lisa Martin with John Troyer. We're very pleased to welcome back to theCube distinguished alumni Avinash Lakshman, the CEO and founder of Hedvig. Welcome back. >> Thank you, great to be here. >> So, talk to us about Hedvig, what's new, what are you guys doing, what's exciting? >> Oh, a lot of things, I mean, since the last time we spoke here, I think, some of the improvements have been made in the platform as been pretty significant, in fact we are executing on the vision we had from day one, which is to be the infrastructure for both primary and secondary storage, and I think we are delivering on that promise. And doing so pretty efficiently. >> Talk to us about the case for consolidating primary and secondary workloads on one platform. >> So, everybody understands how capics can be reduced, right, but I think the key to understanding how one can reduce their operation overhead, is going to become very important, and the key to that is to, if you look at how enterprises have evolved, there's always been a vendor they talk to for their SAM needs, a different kind of vendor for their NAS, they're all trying to figure out what their object strategy ought to be, and now there's a lot of disruption happening in the secondary market, we always felt like, what if you go to one platform, on which you can consolidate block, file, and object, and also be the backup target in most of the secondary use cases. Then, all you got to do is to train your folks, on one platform, and just use it for different workloads by changing either policy or adverse queue. Makes your operational overhead very streamlined and very efficient. >> Avinash, sometimes the infrastructure people joke about containers, and they say, well, you know the developers here, they just go, well the storage just exists, doesn't it, I just call, I do a mount point, and it just works, in the cloud, right? And so, but Hedvig is here at DockerCon. Can you talk a little bit about some of the relationship there, and some of the how you work with folks, these folks here at DockerCon, working in containers? >> See, anytime anything is simple to use, they always joke about it, but there's a lot of work that goes behind driving that simplicity. Like they say, you wanna keep things simple, because any fool can complicate things, you know? So, but I think you, people are looking to bring that cloud-like mentality into On Prem data centers, and I think, we are also delivering on that promise. >> To clarify, I was kind of making a joke. The infrastructure people always kind of, they roll their eyes, they say we do all this work, and the developers think it's so easy one it gets to them. >> No, I know, because all hard work is done for them. >> I mean, there's also a joke among the infrastructural community that, eh, it's just an app, that's how they flippantly brush off applications, so, it goes both ways, I suppose. >> Indeed. >> So, I always look at messaging on websites of guests and companies, and I liked what I saw. Finally, a cloud agnostic storage solution. What does that mean from Hedvig's perspective, and how does that give you that differentiation that you want? >> Good question, because, for that one needs to define what multi-cloud is. Everyone has their own definition for multi-cloud. Just the way of, a few years ago, everybody had their own definition of distributed systems, right, I mean, there was a large populace that believed that if a program runs on multiple computers, it's a distributed system. Not the way, we, I, would define it. It has to be multiple machines working together to make believe that there's only one machine behind the scenes, right? And similarly, one may want to set the stage for what multi-cloud is all about. Again, running, there is a popular school of thought, if I can run on Cloud A, and then run on Cloud B, I am multi-cloud, that's not my definition. The way I would like to define it is one fabric that can span multiple clouds, and give you the illusion that that's where there's a whole location transparency thing comes in. You believe everything is local, but it could be anywhere, you know, and that's where infrastructure becomes kind of invisible, and it's a single fabric that spans multiple cloud environments. >> So, that transparency, is that something that really kind of helps Hedvig define some of your key differentiation? >> In the cloud environment, definitely, yes, and here's why: When people typically build applications, if you program to services that are available in one particular cloud environment, tomorrow, you wanna run it on a different cloud environment, there is no API compatibility between different clouds. So you will have to rebuild your applications to a total different set of services, that another cloud vendor provides. At least, what we bring to the table is from a data management infrastructure layer, you could have one fabric, you can run your, you can now move your applications willy-nilly, because you will be programming against an API that we provide, and you don't have to worry about where you are running them. And that's what we enable. And that's done seamlessly today. >> Can you talk about how some of your customers are using Hedvig, and some of the customer use cases, in production? >> Yeah, I mean, there's quite a a few use cases, I think the popular ones are, for those who are in the primary kind of workload space, which are typically used when you to run, when you need fault tolerance across multiple sites. One of the more interesting use cases that we are now deploying in the UK is across multiple clouds and on premise, so it's kind of hybrid and multi-cloud built inside one fabric. And the reason they do it, is basically, not only consolidate their existing On Prem data centers, but also to get, to satisfy data governance laws for certain applications. This leads to a tone that I'm trying to drive and make popular, which is a declarative data sovereignty, which basic means, if you look at things in Europe, for different applications, there are different laws, and that's now becoming kind of common place. We live in a global economy, but the data governance laws are all local. So, people want certain applications and its data not to span certain geographic regions, right? How do you make that happen in a declarative way? And, you should be able to do that by just saying for this app, this volume, and there are some policies you assign to it, and that policy basically dictates what regions that data will live in, and we make it as simple as it possibly can get. >> Nice. So, the policies then drives where the data lives, and on Hedvig, if it needs to stay in Germany, that volume will stay there, and will never be anywhere else. >> Exactly, exactly, and you can even control that across different cloud windows, if you're running, say, for example, this particular customer, I'm not sure if I can mention the name, but so I'm going to err on the side of caution, they run across AWS, Azure, and On Premise. And for certain apps, they want the data to be spread across AWS and Azure, and for certain apps, they wanted data to be stored across On Prem and AWS. You wanna make it as simple as possible, make it declarative, and for those who are more systems savvy, if you look at how computer science has evolved over time, if you look at the late 90s, transactions were a big deal, everyone were trying to figure out how to program transactions into their system. But, over time, people designed run-times, where you can declaratively annotate section of your modules, to say whether it should be part of a transaction or not. And they made it that simple, and the run-time kind of takes care of that delivering those annotations that you declare. We wanna bring the same simplicity for data sovereignty. >> So we're at the fifth DockerCon, and this morning, Steve Singh said it was around 5,000, we've heard upwards of 6,000 attendees here, and I think you said at the first DockerCon, there was only about 300 people. I noticed when I walked out of the general session this morning, and I turned back around the room, it was packed, it was standing room only. I'm curious what your thoughts are about some of the things that Docker has announced, you know, they really talked about what they're enabling with enhancements to enterprise edition, with federated application management, what they're doing with Docker desktop, as really enabling three things: and I heard you kind of talk about one of them for sure, which was agility, choice, and security. From a security perspective, what are some of the things that Hedvig can enable your customers to achieve, because we hear that security is a huge issue. >> Security typically manifests itself in two ways: one is in today's systems, you have data spreading all over the place, so when the data's on the wire, you need to encrypt things on the wire so that nobody can sniff and steal data. There is also an aspect of security where data, which goes onto the sides on any media, needs to be secured, meaning it needs to be encrypted. Now, there's a whole school of people who believe that they've solved that problem by sticking in what is called self-encrypting drives, but that solves only part of the problem, and it's a hacky solution because we live in a world where, you know, BYOD was a big thing, and it's kind of BYOK, right? Bring your own keys, so we can encrypt using the keys that you bring to the table and get out of the way, right? So, if you want to achieve that, then you cannot just SCD's, you have to drive the encryption onto the media on which the data is going to reside, but that's part of the problem. The other part of the problem is: what happens to data when it's on the wire? So you want to be able to encrypt data on the wire, and at rest, so that takes care of one part of security. The other big issue is ransomware, right, and there are also application developers when they want to shown through their features, and they want to build fast and develop features very fast, they could end up corrupting data underneath. How do you protect against, you want to have a feature that even let's you protect your data from yourself, and those are all capabilities that one needs to think through. The way you typically would do that is have the capability of providing managed snapshots, where you can periodically keep taking snapshots of your data, so you can revert to any, it's kinda like Github for data, that's how we look at it. You know, when you look at Github, you put your source code in there, but nobody is working on the same source tree, you create different trees, and then you merge them in when you think the time is right. So, you wanna have different copies of your data, without having copies, and then be able to revert back to any pristine version you deem fit, if you make any mistakes at the application level, or if there are ransomware kind of issues. So, it's a multi-fold problem. So, you've got to look at things holistically and make sure that everything is kind of delivered natively through any infrastructure platform one is building. >> So, Avinash, you are, frankly, you've had a big impact, on cloud computing, you were one of the co-inventors of DynamoDB, at Amazon. >> Dynamo. >> Dynamo, and you were then at Facebook Cassandra, and you actually said the 10th anniversary of Cassandra. >> This is, I didn't even realize, I think it's either this month or next month. >> Nice, nice. Huge impact, right? Whole ecosystems have been built up. So, you have a sense of where the problems are. Now, Hedvig, a few years old now, you know, what are trying to do now with Hedvig, and where would you like to take it? You're in the middle of a very hot market, the data services market, this kind of secondary storage market, is super hot. So, I would just love to hear what your dreams are, where you're trying to take Hedvig, and how did you see that this was a hot place, and where are you going with it? >> Dreams are a difficult question to answer, but at least we know one thing: what we do know, is that we are onto something big, and this a problem that needs solving, and it needs solving from the ground up, and it needs solving in a very different way. I always believed that true innovation comes from people from the outside. I'm not a storage guy, I never was. But, I believe that makes me better suited to go after this problem because I don't have any of the baggage that people typically tend to have. You can't disrupt yourself, right? We believe we are onto something big, and so we are just heads down trying to deliver on that. I don't know where it could go, I'll leave it to destiny, but I think we're onto something big, and hopefully we will reap the benefits of what we are doing. >> Well, Avinash, thanks so much for coming by theCube again and sharing with us what's going on at Hedvig. It sounds like some exciting times ahead, and we wish you the best of luck. >> Thank you, really appreciate it. >> We want to thank you for watching theCube. For John Troyer, I'm Lisa Martin, and we are live from DockerCon 2018 in San Francisco. Thanks for watching, guys. (electronic music hit)

>> Announcer: Live from San Jose, it's theCUBE. Presenting data, Silicon Valley brought to you by Silicon Angle Media and it's ecosystem partners. >> Welcome back to theCUBE. We are live in San Jose at our event, Big Data SV. I'm Lisa Martin, my co-host is George Gilbert and we are down the street from the Strata Data Conference. We are at a really cool venue: Forager Eatery Tasting Room. Come down and join us, hang out with us, we've got a cocktail par-tay tonight. We also have an interesting briefing from our analysts on big data trends tomorrow morning. I want to welcome back to theCUBE now one of our CUBE VIP's and alumna Tendu Yogurtcu, the CTO at Syncsort, welcome back. >> Thank you. Hello Lisa, hi George, pleasure to be here. >> Yeah, it's our pleasure to have you back. So, what's going on at Syncsort, what are some of the big trends as CTO that you're seeing? >> In terms of the big trends that we are seeing, and Syncsort has grown a lot in the last 12 months, we actually doubled our revenue, it has been really an successful and organic growth path, and we have more than 7,000 customers now, so it's a great pool of customers that we are able to talk and see the trends and how they are trying to adapt to the digital disruption and make data as part of their core strategy. So data is no longer an enabler, and in all of the enterprise we are seeing data becoming the core strategy. This reflects in the four mega trends, they are all connected to enable business as well as operational analytics. Cloud is one, definitely. We are seeing more and more cloud adoption, even our financial services healthcare and banking customers are now, they have a couple of clusters running in the cloud, in public cloud, multiple workloads, hybrid seems to be the new standard, and it comes with also challenges. IT governance as well as date governance is a major challenge, and also scoping and planning for the workloads in the cloud continues to be a challenge, as well. Our general strategy for all of the product portfolio is to have our products following design wants and deploy any of our strategy. So whether it's a standalone environment on Linux or running on Hadoop or Spark, or running on Premise or in the Cloud, regardless of the Cloud provider, we are enabling the same education with no changes to run all of these environments, including hybrid. Then we are seeing the streaming trend, with the connected devices with the digital disruption and so much data being generated, being able to stream and process data on the age, with the Internet of things, and in order to address the use cases that Syncsort is focused on, we are really providing more on the Change Data Capture and near real-time and real-time data replication to the next generation analytics environments and big data environments. We launched last year our Change Data Capture, CDC, product offering with data integration, and we continue to strengthen that vision merger we had data replication, real-time data replication capabilities, and we are now seeing even Kafka database becoming a consumer of this data. Not just keeping the data lane fresh, but really publishing the changes from multiple, diverse set of sources and publishing into a Kafka database and making it available for applications and analytics in the data pipeline. So the third trend we are seeing is around data science, and if you noticed this morning's keynote was all about machine learning, artificial intelligence, deep learning, how to we make use of data science. And it was very interesting for me because we see everyone talking about the challenge of how do you prepare the data and how do you deliver the the trusted data for machine learning and artificial intelligence use and deep learning. Because if you are using bad data, and creating your models based on bad data, then the insights you get are also impacted. We definitely offer our products, both on the data integration and data quality side, to prepare the data, cleanse, match, and deliver the trusted data set for data scientists and make their life easier. Another area of focus for 2018 is can we also add supervised learning to this, because with the premium quality domain experts that we have now in Syncsort, we have a lot of domain experts in the field, we can infuse the machine learning algorithms and connect data profiling capabilities we have with the data quality capabilities recommending business rules for data scientists and helping them automate the mandate tasks with recommendations. And the last but not least trend is data governance, and data governance is almost a umbrella focus for everything we are doing at Syncsort because everything about the Cloud trend, the streaming, and the data science, and developing that next generation analytics environment for our customers depends on the data governance. It is, in fact, a business imperative, and the regulatory compliance use cases drives more importance today than governance. For example, General Data Protection Regulation in Europe, GDPR. >> Lisa: Just a few months away. >> Just a few months, May 2018, it is in the mind of every C-level executive. It's not just for European companies, but every enterprise has European data sourced in their environments. So compliance is a big driver of governance, and we look at governance in multiple aspects. Security and issuing data is available in a secure way is one aspect, and delivering the high quality data, cleansing, matching, the example Hilary Mason this morning gave in the keynote about half of what the context matters in terms of searches of her name was very interesting because you really want to deliver that high quality data in the enterprise, trust of data set, preparing that. Our Trillium Quality for big data, we launched Q4, that product is generally available now, and actually we are in production with very large deployment. So that's one area of focus. And the third area is how do you create visibility, the farm-to-table view of your data? >> Lisa: Yeah, that's the name of your talk! I love that. >> Yes, yes, thank you. So tomorrow I have a talk at 2:40, March 8th also, I'm so happy it's on the Women's Day that I'm talking-- >> Lisa: That's right, that's right! Get a farm-to-table view of your data is the name of your talk, track data lineage from source to analytics. Tell us a little bit more about that. >> It's all about creating more visibility, because for audit reasons, for understanding how many copies of my data is created, valued my data had been, and who accessed it, creating that visibility is very important. And the last couple of years, we saw everyone was focused on how do I create a data lake and make my data accessible, break the data silos, and liberate my data from multiple platforms, legacy platforms that the enterprise might have. Once that happened, everybody started worrying about how do I create consumable data set and how do I manage this data because data has been on the legacy platforms like Mainframe, IMBI series has been on relational data stores, it is in the Cloud, gravity of data originating in the Cloud is increasing, it's originating from mobile. Hadoop vendors like Hortonworks and Cloudera, they are creating visibility to what happens within the Hadoop framework. So we are deepening our integration with the Cloud Navigator, that was our announcement last week. We already have integration both with Hortonworks and Cloudera Navigator, this is one step further where we actually publish what happened to every single granular level of data at the field level with all of the transformations that data have been through outside of the cluster. So that visibility is now published to Navigator itself, we also publish it through the RESTful API, so governance is a very strong and critical initiative for all of the businesses. And we are playing into security aspect as well as data lineage and tracking aspect and the quality aspect. >> So this sounds like an extremely capable infrastructure service, so that it's trusted data. But can you sell that to an economic buyer alone, or do you go in in conjunction with anther solution like anti-money laundering for banks or, you know, what are the key things that they place enough value on that they would spend, you know, budget on it? >> Yes, absolutely. Usually the use cases might originate like anti-money laundering, which is very common, fraud detection, and it ties to getting a single view of an entity. Because in anti-money laundering, you want to understand the single view of your customer ultimately. So there is usually another solution that might be in the picture. We are providing the visibility of the data, as well as that single view of the entity, whether it's the customer view in this case or the product view in some of the use cases by delivering the matching capabilities and the cleansing capabilities, the duplication capabilities in addition to the accessing and integrating the data. >> When you go into a customer and, you know, recognizing that we still have tons of silos and we're realizing it's a lot harder to put everything in one repository, how do customers tell you they want to prioritize what they're bringing into the repository or even what do they want to work on that's continuously flowing in? >> So it depends on the business use case. And usually at the time that we are working with the customer, they selected that top priority use case. The risk here, and the anti-money laundering, or for insurance companies, we are seeing a trend, for example, building the data marketplace, as that tantalize data marketplace concept. So depending on the business case, many of our insurance customers in US, for example, they are creating the data marketplace and they are working with near real-time and microbatches. In Europe, Europe seems to be a bit ahead of the game in some cases, like Hadoop production was slow but certainly they went right into the streaming use cases. We are seeing more directly streaming and keeping it fresh and more utilization of the Kafka and messaging frameworks and database. >> And in that case, where they're sort of skipping the batch-oriented approach, how do they keep track of history? >> It's still, in most of the cases, microbatches, and the metadata is still associated with the data. So there is an analysis of the historical what happened to that data. The tools, like ours and the vendors coming to picture, to keep track, of that basically. >> So, in other words, by knowing what happened operationally to the data, that paints a picture of a history. >> Exactly, exactly. >> Interesting. >> And for the governance we usually also partner, for example, we partner with Collibra data platform, we partnered with ASG for creating that business rules and technical metadata and providing to the business users, not just to the IT data infrastructure, and on the Hadoop side we partner with Cloudera and Hortonworks very closely to complete that picture for the customer, because nobody is just interested in what happened to the data in Hadoop or in Mainframe or in my relational data warehouse, they are really trying to see what's happening on Premise, in the Cloud, multiple clusters, traditional environments, legacy systems, and trying to get that big picture view. >> So on that, enabling a business to have that, we'll say in marketing, 360 degree view of data, knowing that there's so much potential for data to be analyzed to drive business decisions that might open up new business models, new revenue streams, increase profit, what are you seeing as a CTO of Syncsort when you go in to meet with a customer, data silos, when you're talking to a Chief Data Officer, what's the cultural, I guess, not shift but really journey that they have to go on to start opening up other organizations of the business, to have access to data so they really have that broader, 360 degree view? What's that cultural challenge that they have to, journey that they have to go on? >> Yes, Chief Data Officers are actually very good partners for us, because usually Chief Data Officers are trying to break the silos of data and make sure that the data is liberated for the business use cases. Still most of the time the infrastructure and the cluster, whether it's the deployment in the Cloud versus on Premise, it's owned by the IT infrastructure. And the lines of business are really the consumers and the clients of that. CDO, in that sense, almost mitigates and connects to those line of businesses with the IT infrastructure with the same goals for the business, right? They have to worry about the compliance, they have to worry about creating multiple copies of data, they have to worry about the security of the data and availability of the data, so CDOs actually help. So we are actually very good partners with the CDOs in that sense, and we also usually have IT infrastructure owner in the room when we are talking with our customers because they have a big stake. They are like the gatekeepers of the data to make sure that it is accessed by the right... By the right folks in the business. >> Sounds like maybe they're in the role of like, good cop bad cop or maybe mediator. Well Tendu, I wish we had more time. Thanks so much for coming back to theCUBE and, like you said, you're speaking tomorrow at Strata Conference on International Women's Day: Get a farm-to-table view of your data. Love the title. >> Thank you. >> Good luck tomorrow, and we look forward to seeing you back on theCUBE. >> Thank you, I look forward to coming back and letting you know about more exciting both organic innovations and acquisitions. >> Alright, we look forward to that. We want to thank you for watching theCUBE, I'm Lisa Martin with my co-host George Gilbert. We are live at our event Big Data SV in San Jose. Come down and visit us, stick around, and we will be right back with our next guest after a short break. >> Tendu: Thank you. (upbeat music)

>> Narrator: Live from San Jose, it's theCUBE. Presenting big data silicon valley, brought to you be Siliconangle Media and its ecosystem partner. >> Welcome back to theCUBE we are live in San Jose, at Forger Eatery, super cool place. Our first day of our two days of coverage at our event called Big Data SV. Down the street is the Strata Data Conference, and we've got some great guests today that are going to share a lot insight and different perspectives on Big Data. This is our 10th big data event on theCUBE, our fifth in San Jose. We invite you to come on down to Forger Eatery and we also invite you to come down this evening. We've got a party going on and we've got a really cool breakfast presentation on the analysis site in the morning. Our first guest is, needs no introduction to theCUBE, he's a Cube Alumni, Murthy Mathiprakasam, did I get that right? >> Murthy: Absolutely. >> Murthy, awesome, as we're going to call him. The director of product marketing for Informatica, welcome back to theCUBE, it's great to have you back. >> Thanks for having me back, and congratulations on the 10 year anniversary. >> Yeah! So, interesting, exciting news from Informatica in the last two days, tell us about a couple of those big announcements that you guys just released. >> Absolutely, yes. So this has been very exciting year for us lots of, you know product, innovations and announcements, so just this week alone, actually there's one announcement that's probably going out right now as we speak, around API management, so one of the things, probably taking about before we started interviews you know around the trend toward cloud, lots of people doing a lot more data integration and application integration in the cloud space. But they face all the challenges that we've always seen in the data management space. Around developer productivity, and hand coding, just a lot of complexity that organizations have around maintenance. So one of the things at Informatica always brought to every domain that we cover is this ability to kind of abstract the underlying complexity, use a graphical user interface, make things at the logical level instead of the physical level. So we're bringing that entire kind of paradigm to the API management space. That's going to be very exciting, very game changing on the kind of app-to-app integration side of things. Back on the data world of course, which is what we're, you know, mainly talking about here today. We're doing a lot there as well. So we announced kind of a next generation of our data management platforms for the big data world, part of that is also a lot of cloud capabilities. 'Cause again, one of the bigger trends. >> Peter: Have you made a big bet there? >> Absolutely, and I mean this is the investment, return on investments over like 10 years, right? We were started in a kind of cloud game about 10 years ago with our platform as a service offering. So that has been continuously innovated on and we've been engineering, re-imagining that, to now include more of the big data stuff in it too, because more and more people are building data lakes in the cloud. So it's actually quite surprising, you know the rate at which the data lake kind of projects are now either migrating or just starting in the cloud environments. So given that being the trend, we were kind of innovating against that as well. So now our platform is service offerings supports the ability to connect to data sources in the cloud natively. You can do processing and gestion in the cloud. So there's a lot of really cool capabilities, again it's kind of bringing the Informatica ease of use, and kind of acceleration that comes to platform approach to the cloud environment. And there's a whole bunch of other announcements too, I mean I could spend 20 minutes, just on different innovations, but you know bringing artificial intelligence into the platform so we can talk more about that. >> Well I want to connect what you just announced with the whole notion of the data lake, 'cause it's really Informatica strength has always been in between. And it turns out that where a lot the enterprise problems have been. So the data lake has been there, but it's been big, it's been large, it was big data and the whole notion is make this as big as you can and we'll figure out what to do with it later. >> Murthy: Right. >> And now you're doing the API which is just a indication that we're seeing further segmentation and a specificity, a targeting of how we're going to use data, the value that we create out of data and apply it to business problems. But really Informatica strength is been in between. >> Murthy: Absolutely. >> It's been in, knowing where you data is, it's been in helping to build those pipelines and managing those pipelines. How have the investments that you've made over the last few years, made it possible for you to actually deliver an API orientation, that will actually work for Enterprises? >> Yeah, absolutely, and I would actually phrase it as sort of platform orientation, but you're exactly right. So what's happening is, I view this as sort of maturation of a lot of these new technologies. You know Hadoop was a very very, as you were saying kind of experimental technology four or five years ago. And we had customers too who were kind of in that experimental phase. But what's happening now is, big data isn't just a conversation with data engineers and developers, we're talking to CDO's, and Chief Data Officers, and VP's of data infrastructures about using Hadoop for Enterprise scale projects, now the minute you start having a conversation with a Chief Data Officer, you're not just talking about simple tools for ingestion and stuff like that. You're talking about security, you're talking about compliance, you're talking about GDPR if you're in Europe. So there's a whole host of sort of data management challenges, that are now relevant for the big data world, just because the big data world has become main stream. And so this is exactly to your point, where the investments that I think Informatica has been making and bringing our kind of comprehensive platform oriented approach to this space are paying off. Because for Chief Data Officer, they can't really do big data without those features. They can't not deal with security and compliance, they can't not deal with not knowing what the data is. 'Cause they're accountable for knowing what the data is, right? And so, there's a number of things that by virtue of the maturation of the industry, I think that trends are pointing toward, the enterprises kind of going more toward that platform approach. >> On that platform approach Informatica's really one of the only vendors that's talking about that, and delivering it. So that clearly is an area of differentiation. Why do you think that's nascent. This platform approach verses a kind of fit-for-purpose approach. >> Yeah, absolutely. And we should be careful with even the phrase fit-for-purpose too, 'cause I think that word gets thrown around a lot as it's one of those buzz words in the industry. Because it's sort of the positive way of saying incomplete, you know? And so, I think there are vendors who have tried to kind of address, know you one aspect of sort of one feature of the entire problem, that a Chief Data Officer would care about. They might call it fit-for-purpose, but you have to actually solve a problem at the end of the day. The Chief Data Officer's are trying to build enterprise data pipelines. You know you've got raw information from all sorts of data sources, on premise, in the cloud. You need to push that through a process, like at manufacturing process of being able to ingest it, repair it, cleanse it, govern it, secure it, master it, all the stuff has to happen in order to serve all the various communities that a Chief Data Officer has to serve. And so you're either doing all that or you're not. You know, that's the problem, that way we see the problem. And so the platform approach is a way of addressing the comprehensive set of problems that a Chief Data Officer, or these kind of of Data Executives care about, but also do it in a way, that fosters productivity and re-usability. Because the more you sort of build things in a kind of infrastructure level way, as soon as the infrastructure changes you're hosed, right? So you're seeing a lot of this in the industry now too, where somebody built something in Mapreduce three years ago, as soon as Spark came out, they're throwing all that stuff away. And it's not just, you know, major changes like that, even versions of Spark, or versions of Hadoop, can sometimes trigger a need to recode and throw away stuff. And organization can't afford this. When you're talking about 40 to 50% growth in the data overall. The last thing you want to do is make an investment that you're going to end up throwing away. And so, the platform approach to go back to your question, is the sort of most efficient pathway from an investment stand point, that an enterprise can take, to build something now that they can actually reuse and maintain and kind of scale in a very very pragmatic way. >> Well, let me push you on that a little bit. >> Murthy: Yeah. >> 'Cause what we would say is that, the fit-to-purpose is okay so long as you're true about the purpose, and you understand what it means to fit. What a lot of the open source, a lot of companies have done, is they've got a fit-to-purpose but then they do make promises that they say, oh this is fit-to-purpose, but it's really a platform. And as a consequence you get a whole bunch of, you know, duck-like solutions, (laughing) That are, you know, are they swimming, or are they flying, kind of problems. So, I think that what we see clients asking for, and this is one of my questions, what we see clients asking for is, I want to invest in technologies that allow me to sustain my investments, including perhaps some of my mistakes, if they are generating business value. >> Murthy: Right. >> So it's not a rip and replace, that's not what you're suggesting, what you're suggesting I think is, you know, use what you got, if it's creating value continue to use it, and then over time, invest the platform approach that's able to generate additional returns on top of it. Have I got that right? >> Absolutely. So it goes back to flexibility, that's the key word, I think that's kind of on the minds of a lot of Chief Data Officers. I don't want to build something today, that I know I'm going to throw away a year from now. >> Peter: I want to create options for the future. >> Create options. >> When I build them today. >> Exactly. So even the cloud, you're bringing up earlier on, right? Not everybody knows exactly what their cloud strategy is. And it's changing extremely rapidly, right? We had almost, we were seeing very few big data customers in the cloud maybe even a year or two ago? Now we're close to almost 50% of our big data business is people deploying off premise, I mean that's amazing, you know in a period of just a year or two. So Chief Data Officers are having to operate in these extreme kind of high velocity environments. The last thing you want to do is make a bet today, with the knowledge that you're going to end up having to throw away that bet in six months or a year. So the platform approach is sort of like your insurance policy because it enables you to design for today's requirements, but then very very quickly migrate or modify for new requirements that maybe be six months, a year or two down the line. >> On that front, I'd love for you to give us an example of a customer that has maybe in the last year, since you've seen so much velocity, come to you. But also had other technologies and their environment that from a cost perspective, I mean but at Peter's point there's still generating value, business value. How do you help customers that have multiple different products maybe exploring different multi-calibers, how to they come and start working with Informatica and not have to rip out other stuff, but be able to move forward and achieve ROI? >> So, it's really interesting kind of how people think about the whole rip and replace concept. So we actually had a customer dinner last night and I'm sitting next to a guy, and I was kind of asking very similar question. Tell me about your technology landscape, you know where are things going, where have things gone in the past, and he basically said there's a whole portfolio of technologies that they plan to obsolete. 'Cause they just know that, like they're probably, they don't even bother thinking about sustainability, to your point. They just want to use something just to kind of try it out. It's basically like a series of like three month trails of different technologies. And that's probably why we such proliferation of different technologies, 'cause people are just kind of trying stuff out, but it's like, I know I'm going to throw this stuff out. >> Yeah but that's, I mean, let me make sure I got that. 'Cause I want to reconcile a point. That's if they're in pilot and the pilot doesn't work. But the minute it goes into production and values being created they want to be able to sustain that stream of value. >> This is production environment. I'm glad you asked that question. So this is a customer that, and I'll tell you where I'm going to the point. So they've been using Informatica for over four years, for big data which is essentially almost the entire time big data's been around. So the reason this customers making the point is, Informatica's the only technology that is actually sustained precisely for the point that you're bringing up, because their requirements have changed wildly during this time. Even the internal politics of who needs access to data, all of that has changed radically over these four years. But the platform has enabled them to actually make those changes, and it's you know, been able to give them that flexibly. Everything else as far as, you know, developer tools, you know, visualization tools, like every year there's some kind of new thing that sort of comes out. And I don't want to be terribly harsh, there's probably one or two kind of vendors that have also persisted in those other areas. But, the point that they were trying to make to your original point is, is the point about sustainability. Like, at some point to avoid complete and utter chaos, you got to have like some foundation in the data environment. Something actually has to be something you can invest in today, knowing that as these changes internally externally are happening, you can kind of count on it and you can go to cloud you can be on Premise, you can have structured data, unstructured data, you know, for any type of data, any type of user, any type of deployment environment. I need something that I can count on, that's actually existing for four or more years. And that's where Informatica fits in. And meanwhile there's going to be a lot of other tools that, like this guy was saying, they're going to try out for three month or six months and that's great, but they're almost using it with the idea that they're going to throw it away. >> Couple questions here; What are some of the business values that you were, stating like this gentlemen, that you ere talking to last night. What's the industry that's he in and also, are there any like stats or ranges you can give us. Like, reduction in TCO, or new business models opening up. What's the business impact that Informatica is helping these customers achieve. >> Yeah, absolutely, I'll use this example, he's, I can't mention the name of the company but it's an insurance company. >> Lisa: Lot's of data. >> Lots of data, right. Not only do they have a lot of data, but there's a lot of sensitivity around the data. Because basically the only way they grow is by identifying patterns in consumers and they want to look at it if somebody's using car insurance in, maybe it for so long they're ready to get married, they need home insurance, they have these like really really sophisticated models around human behavior. So they know when to go and position new forms of insurance. There's also obviously security government types of issues that are at play as well. So the sensitivity around data is very very important. So for them, the business value is increased revenue, and you know ability to meet kind of regulatory pressure. I think that's generally, I mean every industry has some variant of that. >> Right. >> Cost production, increase revenue, you know meeting regulatory pressures. And so Informatica facilitates that, because instead of having to hire armies of people, and having to change them out maybe every three months or six months 'cause the underlying infrastructures changing, there's this one team, the Informatica team that's actually existed for this entire journey. They just keep changing, used cases, and projects, and new data sets, new deployment models, but the platform is sort of fixed and it's something that they can count on it's robust, it enables that kind of. >> Peter: It's an asset. >> It's an asset that delivers that sustainable value that you were taking about. >> Last question, we've got about a minute left, in terms of delivering value, Informatica not the only game in town, your competitors are kind of going with this MNA partnership approach. What makes Informatica stand out, why should companies consider Informatica? >> So they say like, what there's a quote about it. Imitation is the most sincere from of flattery. Yeah! (laughing) I guess we should feel as a little bit flattered, you know, by what we're seeing in the industry, but why from a customers stand point should they, you know continue to rely on Informatica. I mean we keep pushing the envelope on innovations, right? So, one the other areas that we innovated on is machine learning within the platform, because ultimately if one of the goals of the platform is to eliminate manual labor, a great way to do that is to just not have people doing it in the first place. Have machines doing it. So we can automatically understand the structure of data without any human intervention, right? We can understand if there's a file and it's got costumer names and you know, cost and skews, it must be an order. You don't actually have to say that it's an order. We can infer all this, because of the machine learning them we have. We can give recommendations to people as they're using our platform, if you're using a data set and you work with another person, we can go to you and say hey, maybe this is a data set that you would be interesting in. So those types of recommendations, predictions, discovery, totally changes the economic game for an organization. 'Cause the last thing you want is to have 40 to 50% growth in data translate into 40 to 50% of labor. Like you just can't afford it. It's not sustainable, again, to go back to your original point. The only sustainable approach to managing data for the future, is to have a machine learning based approach and so that's why, to your question, I think just gluing a bunch of stuff together still doesn't actually get to nut of sustainability. You actually have to have, the glue has to have something in it, you know? And in our case it's the machine learning approach that ties everything together that brings a data organization together, so they can actually deliver the maximum business value. >> Literally creates a network of data that delivers business value. >> You got it. >> Well Murthy, Murthy Awesome, thank you so much for coming back to theCUBE. >> Thank you! >> And sharing what's going on the Informatica and what's differentiating you guys. We wish you a great rest of the Strata Conference. >> Awesome, you as well. Thank you. >> Absolutely, we want to thank you for watching theCUBE. I'm Lisa Martin with Peter Burris, we are live in San Jose at the Forger Eatery, come down here and join us, we've got a really cool space, we've got a part-tay tonight, so come join us. And we've got a really interesting breakfast presentation tomorrow morning, stick around and we'll be right back, with our next guest for this short break. (fun upbeat music)