you live from Miami Beach Florida 2019 brought to you by V we're back this is the cube the leader in live tech coverage we're here in Miami this is a wrap of v-mon 2019 two days of coverage I'm Dave Volante with my co-host Peterborough's our third year covering v-mon we started in New Orleans we've seen you know veeam go from what they called at this show act one to act two and we talked two years ago about you know to the our first V Mon about the ascendancy of Veeam being so tightly tied to the rise of virtualization and now we heard this year act to being cloud multi cloud and we heard a number of announcements that are in support of that we're going to talk about that but Peter there were three key announcements this week one was the the billion dollar you know milestone they actually you know they finally hit a billion dollars I've been talking about it for a while it's now official billion dollars on a trailing 12-month basis they're a profitable company veem and a focused billion dollar yeah I think that's really a very focused I mean they do some M&A but not a lot of M&A and that's because of NIH I mean you know these guys they trust themselves to write code it's also it's also sustained that simple value proposition right and that's a in a fundamental Dogma I think I think it's fair to say we we heard the announcement of the the the with Veeam a API infrastructure which which is key we're going to talk about that we I think there were two companies they announced partnerships with Nutanix with mine and exa grid both taking advantage of that there will be others can ring doll just told us you know maybe 10 to 12 it's not going to be an enormous number at least for secondary storage yeah but and but that'll knock down a large portion of the infrastructure market and then a Veeam availability Orchestrator version 2 which allows you to do if fast backups recover from from backups without having to go to a replicated you know off-site and some other capabilities they call the dynamic documentation and automating testing and some DevOps capabilities so you know the people seem pretty excited about that it wasn't a sea of announcements like you see it some of these things which I think Peter talks to the degree of focus that you were just mentioning you know they're not about your bragging rights and the number of announcements that they can make you know it's really all about extending that platform a lot of incremental announcements ratmir told us not a big roadmap company even though he did show a roadmap today but the roadmap he showed was a lot of near-term functional improvement so very function rich you know the the tagline of it just works but um let's see I think there's the first time you and I have done v-mon together I've been here your impressions look I love wandering the halls and talked into the actual attendees and seeing what they have to say so I spent about an hour hour and a half just doing some work in one of the hallways here and one of the reasons I do that is because it's an opportunity here with the attendees and the customers are talking about and what's important to them you've got a lot of these shows and everybody's buzzing about one or another product announcement you go here and everybody's talking about the problems that they're solving and I think that one of the reasons why we didn't have this frenzy of product announcements like we have in so many other places because the focus is though because a lot of companies want the focus to be on them I think what we heard here or what I heard here somewhat different was again customers trying to solve the problems and Veeam creating an opportunity for them to talk in terms of some of the new directions and some of the new products that being are being introduced but the focus stayed on the customer and the problems of trying to solve and that's that's what to my mind that's what successful companies focus on yeah and I come back to this notion of the with Veeam the whole API integration cloud hybrid cloud the edge V wants to be and they've laid they laid this vision out you know certainly last year and even started the year before of of essentially being that that that backup capability data protection capability across wherever your data lives you know on from in cloud now they really are focused on on backup and data protection they even say backups where it starts a lot of other companies like don't even use the term backup no it's not about backup it's about data management and data protection so it's interesting that veem is really focused on on backup and when you do what you did and talk to the customers what do you use the V for backup backup backup backup and so so they're not over rotating to that vision now they're many of their competitors are going hard after that and doing some great great marketing so the competitive dynamics are very interesting now you got cohesive e you got rubric doing really well with positioning as a modern architecture in veeam definitely not a legacy company their business is growing you've got you've got CommVault you've got Dell EMC Veritas IBM you know trying to hit single-digit growth trying not to decline I mean IBM in particular declined and then and really had to do a deal with CAD illogic to stop veem from eating its market share that's really what that deal was all about you saw Dell EMC kind of take its eye off the ball when it merged with with Dell EMC you know it was the leader in in purpose-built backup appliances it's made some announcements recently to try to get you know it's got some really good start back in the game right so you know you don't ever count those guys out Comicon vaults approached it differently they've got a large install base you know Veritas went through private equity and so they had some some other challenges but again they're investing and so it's a big market you know people are gonna go fight hard for it and then and then with with the outside funding that's come in it's really up the game now a lot of that funding is gonna go to promotion which again comes back to your point about focused R&D really really important to focus R&D on things that customers want that you're gonna solve a business problem so if you go back and just just to take your segmentation and we can kind of look at it in a couple of perhaps simple ways you've got you've got you've got veem and companies like beam who saw the hole virtualization and the need to do a better job of supporting and protecting and and replicating and backing up virtualized resources all hitting the market pretty hard and then you have the Delhi MCS and a lot of the other companies that you mentioned trying to sustain or keep pace with those guys and then you have the new guys the Dhruv is and what not are we talking about just cross cloud multi cloud backup on top of that you have and something we talked about with a couple of guests the security guys are looking at this and saying wait a minute you know data is data and protection and security are going to be increasingly difficult to separate because data is going to move and I have to be able to move security with the data it's going to be an inevitability it's we're talking about a cloud that allows us to more do more distribution of data because we're gonna do more distribution of work and the security is gonna have to move for the data so the security guys are gonna get in this the networking guys are gonna be asked some questions about the opportunity you got the old guard who is more focused on devices and managing and backing up devices trying to get back in you got the new guys you're saying let's let's lead the the the act to before you know the veins get there it's gonna be an extremely complex market but all of its gonna boil down to this simple fact I'm gonna distribute data in response to the work that needs to be performed and how am I going to manage the digital assets that I have to make that easy so that it doesn't explode and all of these companies at some point kind of the next phase of this is going to be on protecting data but can I turn it into a digital asset so here's what I saw I saw them talking about the idea of you know what we're gonna protect locally I'll suggest it over the course the next couple of years it's going to be we're gonna do you know data asset management with protection with where the actual act of protecting it is similar to the act of defining it as an asset so being able to you know use a a snapshot for a lot of different uses already happening now but adding services you know a consistent set of services on top of that through with veem and other resources allow them to do that and then move more of that what's today regarded as replication function into that protection side of things a lot more support for locally because that's where the services are going to become having the services are not having the services it's really going to be an essential question because we're gonna move more of this data out to where the work is going to be profound we often talk about customers having to place bets but but the the the vendors are having to place bets as well they're obviously betting on multi-cloud but but juxtapose for example what themes doing it was interesting to hear ken ring doll he answered your question about whether it was em through M&A and he answered in an M&A context but or maybe organic development around more security functions and he kind of said Never Say Never but really focused the team the engineering team is really focused on backup and data protection and what they call data management juxtapose that now with way say for instance what a daydream is doing X data domain guys built their own file system trying to bring both primary and secondary stores together yeah and which I like and I think it's really powerful themes taking a different approach they're saying and with with VM api's we're gonna partner with pure we're gonna partner with with Cisco we're gonna partner with Nutanix so different approach and they're gonna obviously you know claim the same capability hey we can do that too you know date tree I'm saying well we can do that too with just one mousetrap you know the integration points etc so it's gonna really be interesting to see how that all shakes out that that word seamless you know I said it sometimes triggers me if it really is seamless you know theme has a go to market advantage relative to you know the the Swiss Army knife approach if it's not seamless then you know ad atrium approach will have an event it's from a product standpoint you and I both know there's so much more to success than just having a great product absolutely you know and mentioned it but but here's you know it's interesting one of the thought about what will the roadmap the practical roadmap because FEMA's altered its roadmap in response to customer demand quite frankly very successfully and and and and you know you got to applaud him for doing so but one of the things we heard was it look we don't want we don't want to over promise on the engineering front because you've got a certain number of Engineers and a certain engineering capacity focus them on things that are creating value to the problems you're trying to solve the same things true within a lot of user shops you don't want to throw a whole bunch of new function to new requirements and a bunch of guys who are still themselves trying to evolve from backing up devices to now actually protecting data and and so there's a there's a natural evolution that's going to take place and I and I think veeam that's done a pretty good job of keeping their finger on what that pulse is it's it's what can be invented but also what can be innovated if we think of innovation as the customer adopting and applying it and betting it and changing their activities around it and I think themes done a pretty good job of navigating you know that what can customers really do right now not getting too far ahead so a lot of these guys that the natural tendency that you come from a product perspective and you say put more into the product and you know get the better check marks and you know have the better it's better statute is better factsheet and I think Veeam is taking a simpler approach almost an apple like approach is an enterprise sense and saying look give them what they can a candle give them what they can use give them what's going to generate value and as they master that give them a little bit more it reminds me of is you said Apple it reminds me of early EMC days when EMC brought out you know it's symmetric it was it would connect you know AIX solaris unisys obviously the IBM mainframe it had all the optionality all the connectivity and that's kind of what would be and then the features that it announced were really practical they clearly solved the problem now since then you know MCS evolved into the checkbox so we have more features than anybody that's what happens when you everybody wants right you have the customer base everybody wants and they say check we have that thin provisioning we have that too and you know we're gonna freeze the market that's the you know much more mature company in their defense it's also in response to an increasingly specialized and complex customer base they're trying to cover all the base and you know competitive guys eating that they're absolutely absolutely and the sales guys saying hey we need something and they've done a great job of doing that but but Veeam is very very focused on the optionality in four years they they wouldn't talk about bare metal and a couple of years ago would beam on the big thing was hey we said for years that were only virtualization well guess what now we do bare metal that was sort of the one the big announcement one year so they're they're very judicious about how they allocate their R&D you know capital and in you're seeing that you know translate into function that actually gets used actually give yeah I think it's a key point I think your analogy with EMC is actually really good Dave because if you go back thirty years when the EMC first started getting going what was the problem controllers on mainframes and mini-computers were getting incredibly complex it's you know the Daddy controllers and the amount of processing that was being put into that in the microcode was just overwhelming most people's ability to deal with it and so MC came along and said well if that's the problem can we fix it we put cash in that'll just make this whole system simpler and then they stayed true to that for a number of years and they turn into a beer mark and it's interesting I think it is a good analogy because what is the problem the problem is data's going to be more distributed it's going to be more central to a company's mission it's gonna be used by more functions and repurposed into more applications that have a greater diversity of RTO and RPO and as a consequence they're saying they seem to be saying we're going to do our best to pose much function to that protect side of things local as we possibly can so that people who aren't PhDs in computer science to perform a real business service by making all that stuff work and then will at the same time work very closely with third parties who can bring specialization of that secondary storage to bear as the specialization increases because it's going to increase and the other the other you know China MB a case study example that I would point to is the early days of Veritas when Jim when Jeremy Burton was running Merrick marketing it Veritas II sort of coined the language Jeremy calling the no hardware agenda a pure software a lot of function and they you know rose to a couple of billion dollar you know in revenue you know very very successful now have the big install base that everybody wants to eat it's just again reminiscent the pure software company they're not shipping boxes they're not shipping appliances they're they're not selling direct their pure channel play there's a big tamp to just continue to do virtualization like the big question is are they going to will their focus on what they're currently doing translate into focus on multi cloud and here at this conference they're claiming yes we've heard nothing that suggests that they won't be able to but there's a lot of new players out there who are looking at that space and saying you know what I can do that too and there's gonna be a lot of invention a lot of investment and you know there's good reasons to suspect it beans gonna be able to evolve successfully but there are a few areas where I think they're gonna have to focus more time in the big part of a CEOs job is Tam expansion and you know right now there are you know a billion out of fifteen let's call it so there's a long way to go but as you point out that multi-cloud appears like it's gonna be lucrative and there's a lot of different companies coming at it from from different angles you guys tell me we look at it is this big blob yeah this is gonna be incredibly specialized very fragmented I mean you got Cisco coming at it from a networking perspective RedHat coming from a past perspective Google you know partnering everybody Amazon right now ignoring it but you guarantee they're gonna be awesome and Microsoft has to be in it because of the huge estate of on-prem you know software and there's a dozen security guys are gonna be looking at this and saying oh look data in motion that's my service now is going to get its pieces so very interesting how that's all gonna shake out it's okay so wrap it up Peter you know kind of summarize your thoughts on the space v-mon so first beam on for me a lot of customers that we're talking about solving complex problems during their digital business transformation that's always good to hear got to a billion dollars that's a great milestone for any software company good reasons is the fact that beam is going to evolve into a company like Veritas like one of the big guys this is a company that's got legs and I think that the final one that I'd say not got legs but that they've got what it takes to be able to affect this transition they probably got the execution chops look we had a user on here who effectively said if you're not using if you're CIO and you're not using veem you're not competent and you know he said that that's not that's not a bad testimonial when you come down to it yeah and then the one thing that we have not talked about which is it shines through is culture yeah you know this company has a culture that is a winning culture it's a fun culture there's an accountability associated with it and and very customer orientation solutely up so that's the winning formulas have been fun sort of watching these guys grow and interacting with a number of their customers and you saw you saw a couple years ago Veeam saying okay we're going Enterprise so I ain't so easy there's just say we're going enterprise but in interestingly even though they've somewhat retrenched from that messaging they're having success in the enterprise clearly with their partnerships with guys like HPE at Cisco and NetApp and and others and so they're just gonna let it bake a little bit and go from there position of strength which is that you know kind of s in an MB do more simply with your protection environment is not a bad story a company of any size right right and okay Peter hey you spent great working with you thank you and thank you for watching guys great job awesome go to Silicon angle comm you'll see all the news the cube net is where we host all these videos and you'll see wiki bond comm has all the research Peter recently wrote a great piece on on data protection and how that markets involving check out our Twitter at the cube and at the cube 365 Twitter handles you'll see all kinds of clips coming out of this show and other shows let's see where we got a lot coming up good for you and what do you think so I think you're seeing as I said before a very practical approach to gaining foothold and in maintaining and growing in a market I like the business model this this company has been somewhat opaque you know european-based you know the Russian founders but and and most of us businesses outside of the US and and I think they're really coming into the mainstream now and Cube helps make it more transparent yeah absolutely and right because you can ask the questions of people and you know you get you get all kinds of different answers so and we're able to have you know independence on you know guys like Justin the firm's like the four five one guys that you know Gartner coming on and and it's fun to have those guys so so it's been great thank you for watching the cube go to the cube dotnet check out the events that are coming up we got a huge huge season May and June or our busiest months take a slight break in July although you know we'll be cranking this summer as well so thank you for watching everybody we're out Dave a lot day for Peterborough's we'll see you next time