(Techno music) >> Live from San Francisco, celebrating ten years of high tech coverage, it's The Cube. Covering VMworld 2019. Brought to you by VMware and it's ecosystem partners. >> Well we are in Moscone Center North here in San Francisco, the city by the bay. Gorgeous day outside. Day two of our coverage here on the Cube. Vmworld 2019. I'm John Walls with John Troyer. John good to see you today. >> Great to be here with you. >> Good for day two. We have a couple of authors with us today, both from VMware. Rosa Lear who is the Director of Marketing at VeloCloud, in the business unit there. Rosa thank you for being with us. >> Thank you. >> Appreciate that. And Dave Twinam, who is the Director of Systems Engineering in that business unit at VMware. And this is the book that they have collaborate on I think with 12 others, there were 14 who came together on this project. It's called SD-WAN one on one, the what, the why, and the how. This is going to answer all those riddles, all those puzzles that you have about how to software define wide area network work, where are the pitfalls, where are the challenges, what are we going to do to solve our problems. So folks what was the genesis of this? It's a hefty thing for sure, >> (Rosa) It is, yes. And really well illustrated, we'll get into that in a little bit, but what was the genesis of this? Rosa if you would first, what drove you to put this together? >> Sure, there are a lot of books out there on the market that are focused on the SD-WAN because it's such a hot topic, but what we saw was a big deficit on how does it actually work. Getting down into that second, third layer of what people are looking for. So it's not so superficial. They really want to know how does it work, how do I integrate it into my network, what are the steps that I go through. So it's not a user manual, but it definitely gives you that deep perspective of what SD-WAN can provide and how to implement it into your network. >> So the target audience would be who? >> Network engineers, we also got stuff in here for the business owners, so CTO's. We actually have two characters that help outline a lot of the comments, or a lot of the meat of the book. One is Elvina. She's the CTO, so she really describes what her business needs are. And then there's Rodney who is her network engineer who actually implements this, the architect, so it's told from their perspective and really introducing each of the chapters, the concepts, and the takeaways. >> So Dave as you've been doing this, you're talking to customers out there, what's the state of the art here, where are we with the evolution of SD-WAN? It's kind of a noisy space from my perspective. Also from a VMware perspective, this brings VMware out of the data center into the network, and network edge, and wide area network. So can you just talk a little bit about what are the problems people are seeing, and that they're solving with SD-WAN, and why are network engineers interested in taking this as their bedtime reading. >> Absolutely, clearly what we're seeing in the marketplace is that there is a lot of noise out there, there are a lot of vendors that are in the SD-WAN space. I think it's important to note though that we are number one. It's always a good place to be. So while VMware is a newer kind of entrant into the wide area market in particular we already have a leadership position via the VeloCloud acquisition, and obviously the continued enhancements to the portfolio from there. So the reality is that SD-WAN, it's kind of funny we have the why at the beginning of the book, more and more customers aren't asking the why. They know why they need it, which is it's the natural evolution of their wide area infrastructure. They know that software is the future, that's why we are here at Vmworld cause we're all about software, and understanding how they can evolve to meet those business challenges in a software framework versus the traditional rip and replace hardware based model over the past. >> And you're on one side of the equation obviously, you're supplying this information, supplying the services, developing the solutions whatever. How much listening do you do to the other side to put together something like this? Cause I would assume you had to have a real sense of what the problems are and what the questions are. What is the what, what is the why, what is the how that's going on on the customer side of this. Tell me about that process if you will. >> Sure, so one of the unique parts of this book is that with these other authors that we brought in to put this book together, and we did this within five days which is a great project, but we really took the people out of the field. So these are the engineers that helped create this book are the ones who are shoulder to shoulder with the customer. Helping them that implementation, talking to them about how they actually implement this. So they talk to the customers, this is brought out from the field. It's not some guy sitting in an ivory tower talking about what you should do. This is actually what you should do because this is the best practice, this is what we hear from customers, this is what works best for all of the people we've implemented SD-WAN with. >> You did this in five days? >> Five days, so we hired a company. >> (John) How many of you 14? >> There was 15 of us. >> 15 in five days, we're you locked up for >> Yes. 24 hours around the clock. I read you went to Miami, I remember that, but I didn't realize it was in that compressed of a time frame. >> Oh yeah, it was great. I mean we all learned, I think, a lot because we come from different geography's. We came from different deployment models and so forth. And yeah we just all got together. >> I love the idea of the book spread. So you've captured a moment in time, of the technology, of the marketplace, but you said this isn't a dummies book, isn't an intro, nor is it a how to manual right. It's not a product manual. So I'm thinking it should be somewhat conceptual and have a life span of more then just the latest release of anything right. Is that part of the goal here? Is this going to have a lifespan? >> Absolutely. >> I mean what do you envision? Again it's interesting you're both engineering and you said the CTO, the CXO level can get some understanding of why some things are going on. >> Sure, you think about it from a CXO perspective right. What are the business challenges that that individual sees. They don't necessarily care about the bits and bites of networking underneath. They know that they need a network, but they also know that it's a really expensive part of their budget. So they need to understand how does it actually support the business and ultimately how can they do more with it, and ideally what we always hear is do more with less. So how do we get to that point and understanding then that's one need that comes from the business side. Well how do we complement that from the technical side of things. How do we solve those problems. But the reality is we're not solving technical problems just to solve technical problems. We're solving them to actually meet the needs of the business. So kind of seeing both side and how they come together is critical to it and I think that's something we tried hard to put into the book. >> When you have a collaboration like this, and you said you brought 15 people together, I'm sure there has to be some disagreement at some point or some discussion. So what were some of those points that came up where somebody thought that perhaps maybe a little more attention here, maybe a little less attention there. Maybe this is something we should bring, no that's not touch that base. How about those discussions, that back and forth, and how did you settle that with so many people in the room? >> So one of the things that we first outlined when we started this process was that this is a safe space. That nobody is really wrong, cause we're also bringing in different perspectives here. So we definitely all decided that we're going to treat each other respectfully. There was a lot of arguments here and there about certain things but we all are professional so we all figured out what the right thing was to do. >> So let's talk about the order, let's talk about how you dealt with it, the what's and the whys. You said why almost didn't make the cut but did make the dress rehearsal and the publishing. How do you put together something like this, that is not a user manual, cause that's the first thing I thought of. I thought okay, you're going to show me what SD-WANS all about and how I'm going to deploy it. VMwares services or solutions rather on my network. But that's not what this is all about. How did you parts that? How did you decide this is the direction we're going to go, and not just make it a how to for people or a dummies. >> So we already have a dummies book, so you should check that out. There's also a PDF on our website, velocloud.com, so we needed another layer, another book that would go deeper on that. We needed something that, I mean you can always write a user manual. Anybody can sit in a room and put that together, but we wanted something that was different. That was actually going to, I guess, comfort customers who were looking at the solution. Give them the right idea that this is what they need, and also what they were going to get into. That's a big question, you don't understand what the implementations going to be like until you're in it. So this gives you that view. So you can use it as a pre-customer read, or you can use it post-sales and really help define what you need to do when you're implementing. >> Nice, nice. We're here at VMworld 2019, this is my you know millionth VMworld. Very interesting, a lot of talk at the top level. Apps and kubernetes and that sort of stuff. At the bottom level, networking and a lot of other things, that maybe the traditional admin, Vsphere admin, already kind of a silo busters from old rolls is already here but sometimes when the networking folks talk with the server folks the words mean different things. They're slightly different tribes lets say. App performance is an SD-WAN context may mean something completely different then app performance in a data center, server context. So you're here at the show. You've got the network edge zone down in the show floor. You've got a booth there, you've got activities, obviously a lot of break out sessions. How have the networker's mixed with the admins? How has it been? And you all are from VeloCloud which has been with VMware for? >> (Rosa) Almost two years in December. >> Talk about both that integration, both corporately and you know here at the show. >> You want to go first? >> Sure, the event has been fantastic for us. We are getting a lot of traction. We actually did a book signing for this book yesterday with six of the authors. 96 books are gone, and I feel like the conversations are really migrating to the networking space. The wide area networking space rather then just data center. You're right there is a lot of overlap in the technology and the lingo and jargon, but I think if we know what were talking about in terms of wide area networking I think those conversations can easily be fudged or gaped. >> Just I would add, I've been at VMware about five years now so I was on the NSX team prior to moving over to the Velo team. So five years ago there was virtually no presence of networking. We were the only networking people here for the most part, And that's really changed substantially. And this year in particular is the first year where there are a lot of networking folks that are roaming the halls here. Whether its understanding the NSX side of the house or whether its SD-WAN there is a significantly greater presence then there's ever been previously. So the other piece is realizing we're a networking company now and a security company right. Those components are integral as a part of the solution and so the makeup has actually begun to change a little bit and there's more co-mingling then there's ever been before in this space. >> You touch on security in the book? >> Absolutely there's an entire chapter on it. >> So C-Cell might be interested as well? >> Absolutely. >> All right so the book I've seen is for purchase here on site. >> (Rosa) Yes. >> In case somebody's watching and they're here tell them where they can get it. >> Go the the VMware book store, it's in Moscone West, and then we also will be making it available on Amazon starting next week. >> All right so here's again a look at the book. SD-WAN one on one, the what, the why and the how. Rosa, Dave thanks for being with us. Congratulations on, I assume first book? >> For me yes. >> Third for me. >> Oh okay, a practiced hand. (laughing) >> First print though. >> Not fair. Thank you both, appreciate the time. >> (in unison) Thank you. >> Back with more continued coverage here on the cube of Vmworld 2019. (techno music)

>> theCUBE's live coverage is made possible by funding from Dell Technologies. Creating technologies that drive human progress. (ambient music) >> Lisa: Hey everyone, welcome back to Barcelona, Spain. It's theCUBE Live at MWC 23. Lisa Martin with Dave Vellante. This is day two of four days of cube coverage but you know that, because you've already been watching yesterday and today. We're going to have a great conversation next with EnterpriseWeb and Red Hat. We've had great conversations the last day and a half about the Telco industry, the challenges, the opportunities. We're going to unpack that from this lens. Please welcome Dave Duggal, founder and CEO of EnterpriseWeb and Azhar Sayeed is here, Senior Director Solution Architecture at Red Hat. >> Guys, it's great to have you on the program. >> Yes. >> Thank you Lisa, >> Great being here with you. >> Dave let's go ahead and start with you. Give the audience an overview of EnterpriseWeb. What kind of business is it? What's the business model? What do you guys do? >> Okay so, EnterpriseWeb is reinventing middleware, right? So the historic middleware was to build vertically integrated stacks, right? And those stacks are now such becoming the rate limiters for interoperability for so the end-to-end solutions that everybody's looking for, right? Red Hat's talking about the unified platform. You guys are talking about Supercloud, EnterpriseWeb addresses that we've built middleware based on serverless architecture, so lightweight, low latency, high performance middleware. And we're working with the world's biggest, we sell through channels and we work through partners like Red Hat Intel, Fortnet, Keysight, Tech Mahindra. So working with some of the biggest players that have recognized the value of our innovation, to deliver transformation to the Telecom industry. >> So what are you guys doing together? Is this, is this an OpenShift play? >> Is it? >> Yeah. >> Yeah, so we've got two projects right her on the floor at MWC throughout the various partners, where EnterpriseWeb is actually providing an application layer, sorry application middleware over Red Hat's, OpenShift and we're essentially generating operators so Red Hat operators, so that all our vendors, and, sorry vendors that we onboard into our catalog can be deployed easily through the OpenShift platform. And we allow those, those vendors to be flexibly composed into network services. So the real challenge for operators historically is that they, they have challenges onboarding the vendors. It takes a long time. Each one of them is a snowflake. They, you know, even though there's standards they don't all observe or follow the same standards. So we make it easier using models, right? For, in a model driven process to on boards or streamline that onboarding process, compose functions into services deploy those services seamlessly through Red Hat's OpenShift, and then manage the, the lifecycle, like the quality of service and the SLAs for those services. >> So Red Hat obviously has pretty prominent Telco business has for a while. Red Hat OpenStack actually is is pretty popular within the Telco business. People thought, "Oh, OpenStack, that's dead." Actually, no, it's actually doing quite well. We see it all over the place where for whatever reason people want to build their own cloud. And, and so, so what's happening in the industry because you have the traditional Telcos we heard in the keynotes that kind of typical narrative about, you know, we can't let the over the top vendors do this again. We're, we're going to be Apifi everything, we're going to monetize this time around, not just with connectivity but the, but the fact is they really don't have a developer community. >> Yes. >> Yet anyway. >> Then you have these disruptors over here that are saying "Yeah, we're going to enable ISVs." How do you see it? What's the landscape look like? Help us understand, you know, what the horses on the track are doing. >> Sure. I think what has happened, Dave, is that the conversation has moved a little bit from where they were just looking at IS infrastructure service with virtual machines and OpenStack, as you mentioned, to how do we move up the value chain and look at different applications. And therein comes the rub, right? You have applications with different requirements, IT network that have various different requirements that are there. So as you start to build those cloud platform, as you start to modernize those set of applications, you then start to look at microservices and how you build them. You need the ability to orchestrate them. So some of those problem statements have moved from not just refactoring those applications, but actually now to how do you reliably deploy, manage in a multicloud multi cluster way. So this conversation around Supercloud or this conversation around multicloud is very >> You could say Supercloud. That's okay >> (Dave Duggal and Azhar laughs) >> It's absolutely very real though. The reason why it's very real is, if you look at transformations around Telco, there are two things that are happening. One, Telco IT, they're looking at partnerships with hybrid cloud, I mean with public cloud players to build a hybrid environment. They're also building their own Telco Cloud environment for their network functions. Now, in both of those spaces, they end up operating two to three different environments themselves. Now how do you create a level of abstraction across those? How do you manage that particular infrastructure? And then how do you orchestrate all of those different workloads? Those are the type of problems that they're actually beginning to solve. So they've moved on from really just putting that virtualizing their application, putting it on OpenStack to now really seriously looking at "How do I build a service?" "How do I leverage the catalog that's available both in my private and public and build an overall service process?" >> And by the way what you just described as hybrid cloud and multicloud is, you know Supercloud is what multicloud should have been. And what, what it originally became is "I run on this cloud and I run on this cloud" and "I run on this cloud and I have a hybrid." And, and Supercloud is meant to create a common experience across those clouds. >> Dave Duggal: Right? >> Thanks to, you know, Supercloud middleware. >> Yeah. >> Right? And, and so that's what you guys do. >> Yeah, exactly. Exactly. Dave, I mean, even the name EnterpriseWeb, you know we started from looking from the application layer down. If you look at it, the last 10 years we've looked from the infrastructure up, right? And now everybody's looking northbound saying "You know what, actually, if I look from the infrastructure up the only thing I'll ever build is silos, right?" And those silos get in the way of the interoperability and the agility the businesses want. So we take the perspective as high level abstractions, common tools, so that if I'm a CXO, I can look down on my environments, right? When I'm really not, I honestly, if I'm an, if I'm a CEO I don't really care or CXO, I don't really care so much about my infrastructure to be honest. I care about my applications and their behavior. I care about my SLAs and my quality of service, right? Those are the things I care about. So I really want an EnterpriseWeb, right? Something that helps me connect all my distributed applications all across all of the environments. So I can have one place a consistency layer that speaks a common language. We know that there's a lot of heterogeneity down all those layers and a lot of complexity down those layers. But the business doesn't care. They don't want to care, right? They want to actually take their applications deploy them where they're the most performant where they're getting the best cost, right? The lowest and maybe sustainability concerns, all those. They want to address those problems, meet their SLAs meet their quality service. And you know what, if it's running on Amazon, great. If it's running on Google Cloud platform, great. If it, you know, we're doing one project right here that we're demonstrating here is with with Amazon Tech Mahindra and OpenShift, where we took a disaggregated 5G core, right? So this is like sort of latest telecom, you know net networking software, right? We're deploying pulling elements of that network across core, across Amazon EKS, OpenShift on Red Hat ROSA, as well as just OpenShift for cloud. And we, through a single pane of deployment and management, we deployed the elements of the 5G core across them and then connected them in an end-to-end process. That's Telco Supercloud. >> Dave Vellante: So that's an O-RAN deployment. >> Yeah that's >> So, the big advantage of that, pardon me, Dave but the big advantage of that is the customer really doesn't care where the components are being served from for them. It's a 5G capability. It happens to sit in different locations. And that's, it's, it's about how do you abstract and how do you manage all those different workloads in a cohesive way? And that's exactly what EnterpriseWeb is bringing to the table. And what we do is we abstract the underlying infrastructure which is the cloud layer. So if, because AWS operating environment is different then private cloud operating environment then Azure environment, you have the networking is set up is different in each one of them. If there is a way you can abstract all of that and present it in a common operating model it becomes a lot easier than for anybody to be able to consume. >> And what a lot of customers tell me is the way they deal with multicloud complexity is they go with mono cloud, right? And so they'll lose out on some of the best services >> Absolutely >> If best of, so that's not >> that's not ideal, but at the end of the day, agree, developers don't want to muck with all the plumbing >> Dave Duggal: Yep. >> They want to write code. >> Azhar: Correct. >> So like I come back to are the traditional Telcos leaning in on a way that they're going to enable ISVs and developers to write on top of those platforms? Or are there sort of new entrance and disruptors? And I know, I know the answer is both >> Dave Duggal: Yep. >> but I feel as though the Telcos still haven't, traditional Telcos haven't tuned in to that developer affinity, but you guys sell to them. >> What, what are you seeing? >> Yeah, so >> What we have seen is there are Telcos fall into several categories there. If you look at the most mature ones, you know they are very eager to move up the value chain. There are some smaller very nimble ones that have actually doing, they're actually doing something really interesting. For example, they've provided sandbox environments to developers to say "Go develop your applications to the sandbox environment." We'll use that to build an net service with you. I can give you some interesting examples across the globe that, where that is happening, right? In AsiaPac, particularly in Australia, ANZ region. There are a couple of providers who have who have done this, but in, in, in a very interesting way. But the challenges to them, why it's not completely open or public yet is primarily because they haven't figured out how to exactly monetize that. And, and that's the reason why. So in the absence of that, what will happen is they they have to rely on the ISV ecosystem to be able to build those capabilities which they can then bring it on as part of the catalog. But in Latin America, I was talking to one of the providers and they said, "Well look we have a public cloud, we have our own public cloud, right?" What we want do is use that to offer localized services not just bring everything in from the top >> But, but we heard from Ericson's CEO they're basically going to monetize it by what I call "gouge", the developers >> (Azhar laughs) >> access to the network telemetry as opposed to saying, "Hey, here's an open platform development on top of it and it will maybe create something like an app store and we'll take a piece of the action." >> So ours, >> to be is a better model. >> Yeah. So that's perfect. Our second project that we're showing here is with Intel, right? So Intel came to us cause they are a reputation for doing advanced automation solutions. They gave us carte blanche in their labs. So this is Intel Network Builders they said pick your partners. And we went with the Red Hat, Fort Net, Keysite this company KX doing AIML. But to address your DevX, here's Intel explicitly wants to get closer to the developers by exposing their APIs, open APIs over their infrastructure. Just like Red Hat has APIs, right? And so they can expose them northbound to developers so developers can leverage and tune their applications, right? But the challenge there is what Intel is doing at the low level network infrastructure, right? Is fundamentally complex, right? What you want is an abstraction layer where develop and this gets to, to your point Dave where you just said like "The developers just want to get their job done." or really they want to focus on the business logic and accelerate that service delivery, right? So the idea here is an EnterpriseWeb they can literally declaratively compose their services, express their intent. "I want this to run optimized for low latency. I want this to run optimized for energy consumption." Right? And that's all they say, right? That's a very high level statement. And then the run time translates it between all the elements that are participating in that service to realize the developer's intent, right? No hands, right? Zero touch, right? So that's now a movement in telecom. So you're right, it's taking a while because these are pretty fundamental shifts, right? But it's intent based networking, right? So it's almost two parts, right? One is you have to have the open APIs, right? So that the infrastructure has to expose its capabilities. Then you need abstractions over the top that make it simple for developers to take, you know, make use of them. >> See, one of the demonstrations we are doing is around AIOps. And I've had literally here on this floor, two conversations around what I call as network as a platform. Although it sounds like a cliche term, that's exactly what Dave was describing in terms of exposing APIs from the infrastructure and utilizing them. So once you get that data, then now you can do analytics and do machine learning to be able to build models and figure out how you can orchestrate better how you can monetize better, how can how you can utilize better, right? So all of those things become important. It's just not about internal optimization but it's also about how do you expose it to third party ecosystem to translate that into better delivery mechanisms or IOT capability and so on. >> But if they're going to charge me for every API call in the network I'm going to go broke (team laughs) >> And I'm going to get really pissed. I mean, I feel like, I'm just running down, Oracle. IBM tried it. Oracle, okay, they got Java, but they don't they don't have developer jobs. VMware, okay? They got Aria. EMC used to have a thing called code. IBM had to buy Red Hat to get to the developer community. (Lisa laughs) >> So I feel like the telcos don't today have those developer shops. So, so they have to partner. [Azhar] Yes. >> With guys like you and then be more open and and let a zillion flowers bloom or else they're going to get disrupted in a big way and they're going to it's going to be a repeat of the over, over the top in, in in a different model that I can't predict. >> Yeah. >> Absolutely true. I mean, look, they cannot be in the connectivity business. Telcos cannot be just in the connectivity business. It's, I think so, you know, >> Dave Vellante: You had a fry a frozen hand (Dave Daggul laughs) >> off that, you know. >> Well, you know, think about they almost have to go become over the top on themselves, right? That's what the cloud guys are doing, right? >> Yeah. >> They're riding over their backbone that by taking a creating a high level abstraction, they in turn abstract away the infrastructure underneath them, right? And that's really the end game >> Right? >> Dave Vellante: Yeah. >> Is because now, >> they're over the top it's their network, it's their infrastructure, right? They don't want to become bid pipes. >> Yep. >> Now you, they can take OpenShift, run that in any cloud. >> Yep. >> Right? >> You can run that in hybrid cloud, enterprise web can do the application layer configuration and management. And together we're running, you know, OSI layers one through seven, east to west, north to south. We're running across the the RAN, the core and the transport. And that is telco super cloud, my friend. >> Yeah. Well, >> (Dave Duggal laughs) >> I'm dominating the conversation cause I love talking super cloud. >> I knew you would. >> So speaking of super superpowers, when you're in customer or prospective customer conversations with providers and they've got, obviously they're they're in this transformative state right now. How, what do you describe as the superpower between Red Hat and EnterpriseWeb in terms of really helping these Telcos transforms. But at the end of the day, the connectivity's there the end user gets what they want, which is I want this to work wherever I am. >> Yeah, yeah. That's a great question, Lisa. So I think the way you could look at it is most software has, has been evolved to be specialized, right? So in Telcos' no different, right? We have this in the enterprise, right? All these specialized stacks, all these components that they wire together in the, in you think of Telco as a sort of a super set of enterprise problems, right? They have all those problems like magnified manyfold, right? And so you have specialized, let's say orchestrators and other tools for every Telco domain for every Telco layer. Now you have a zoo of orchestrators, right? None of them were designed to work together, right? They all speak a specific language, let's say quote unquote for doing a specific purpose. But everything that's interesting in the 21st century is across layers and across domains, right? If a siloed static application, those are dead, right? Nobody's doing those anymore. Even developers don't do those developers are doing composition today. They're not doing, nobody wants to hear about a 6 million lines of code, right? They want to hear, "How did you take these five things and bring 'em together for productive use?" >> Lisa: Right. How did you deliver faster for my enterprise? How did you save me money? How did you create business value? And that's what we're doing together. >> I mean, just to add on to Dave, I was talking to one of the providers, they have more than 30,000 nodes in their infrastructure. When I say no to your servers running, you know, Kubernetes,running open stack, running different components. If try managing that in one single entity, if you will. Not possible. You got to fragment, you got to segment in some way. Now the question is, if you are not exposing that particular infrastructure and the appropriate KPIs and appropriate things, you will not be able to efficiently utilize that across the board. So you need almost a construct that creates like a manager of managers, a hierarchical structure, which would allow you to be more intelligent in terms of how you place those, how you manage that. And so when you ask the question about what's the secret sauce between the two, well this is exactly where EnterpriseWeb brings in that capability to analyze information, be more intelligent about it. And what we do is provide an abstraction of the cloud layer so that they can, you know, then do the right job in terms of making sure that it's appropriate and it's consistent. >> Consistency is key. Guys, thank you so much. It's been a pleasure really digging through EnterpriseWeb. >> Thank you. >> What you're doing >> with Red Hat. How you're helping the organization transform and Supercloud, we can't forget Supercloud. (Dave Vellante laughs) >> Fight Supercloud. Guys, thank you so much for your time. >> Thank you so much Lisa. >> Thank you. >> Thank you guys. >> Very nice. >> Lisa: We really appreciate it. >> For our guests and for Dave Vellante, I'm Lisa Martin. You're watching theCUBE, the leader in live tech coverage coming to you live from MWC 23. We'll be back after a short break.

(bright music) >> Hello everyone. Welcome to theCUBE's coverage of AWS re:Invent 22. I'm John Furrier, host of theCUBE. Got some great coverage here talking about software supply chain and sustainability in the cloud. We've got a great conversation. Gunnar Hellekson, vice president and general manager at Red Hat Enterprise Linux and Business Unit of Red Hat. Thanks for coming on. And Adnan Ijaz, director of product management of commercial software services, AWS. Gentlemen, thanks for joining me today. >> It's a pleasure. (Adnan speaks indistinctly) >> You know, the hottest topic coming out of Cloud Native developer communities is slide chain software sustainability. This is a huge issue. As open source continues to power away and fund and grow this next generation modern development environment, you know, supply chain, you know, sustainability is a huge discussion because you got to check things out, what's in the code. Okay, open source is great, but now we got to commercialize it. This is the topic, Gunnar, let's get in with you. What are you seeing here and what's some of the things that you're seeing around the sustainability piece of it? Because, you know, containers, Kubernetes, we're seeing that that run time really dominate this new abstraction layer, cloud scale. What's your thoughts? >> Yeah, so I, it's interesting that the, you know, so Red Hat's been doing this for 20 years, right? Making open source safe to consume in the enterprise. And there was a time when in order to do that you needed to have a long term life cycle and you needed to be very good at remediating security vulnerabilities. And that was kind of, that was the bar that you had to climb over. Nowadays with the number of vulnerabilities coming through, what people are most worried about is, kind of, the providence of the software and making sure that it has been vetted and it's been safe, and that things that you get from your vendor should be more secure than things that you've just downloaded off of GitHub, for example. Right? And that's a place where Red Hat's very comfortable living, right? Because we've been doing it for 20 years. I think there's another aspect to this supply chain question as well, especially with the pandemic. You know, we've got these supply chains have been jammed up. The actual physical supply chains have been jammed up. And the two of these issues actually come together, right? Because as we go through the pandemic, we've got these digital transformation efforts, which are in large part, people creating software in order to manage better their physical supply chain problems. And so as part of that digital transformation, you have another supply chain problem, which is the software supply chain problem, right? And so these two things kind of merge on these as people are trying to improve the performance of transportation systems, logistics, et cetera. Ultimately, it all boils down to, both supply chain problems actually boil down to a software problem. It's very interesting. >> Well, that is interesting. I want to just follow up on that real quick if you don't mind. Because if you think about the convergence of the software and physical world, you know, that's, you know, IOT and also hybridcloud kind of plays into that at scale, this opens up more surface area for attacks, especially when you're under a lot of pressure. This is where, you know, you have a service area on the physical side and you have constraints there. And obviously the pandemic causes problems. But now you've got the software side. How are you guys handling that? Can you just share a little bit more of how you guys looking at that with Red Hat? What's the customer challenge? Obviously, you know, skills gaps is one, but, like, that's a convergence at the same time more security problems. >> Yeah, yeah, that's right. And certainly the volume of, if we just look at security vulnerabilities themselves, just the volume of security vulnerabilities has gone up considerably as more people begin using the software. And as the software becomes more important to, kind of, critical infrastructure. More eyeballs around it and so we're uncovering more problems, which is kind of, that's okay, that's how the world works. And so certainly the number of remediations required every year has gone up. But also the customer expectations, as I mentioned before, the customer expectations have changed, right? People want to be able to show to their auditors and to their regulators that no, in fact, I can show the providence of the software that I'm using. I didn't just download something random off the internet. I actually have like, you know, adults paying attention to how the software gets put together. And it's still, honestly, it's still very early days. I think as an industry, I think we're very good at managing, identifying remediating vulnerabilities in the aggregate. We're pretty good at that. I think things are less clear when we talk about, kind of, the management of that supply chain, proving the providence, and creating a resilient supply chain for software. We have lots of tools, but we don't really have lots of shared expectations. And so it's going to be interesting over the next few years, I think we're going to have more rules are going to come out. I see NIST has already published some of them. And as these new rules come out, the whole industry is going to have to kind of pull together and really rally around some of this shared understanding so we can all have shared expectations and we can all speak the same language when we're talking about this problem. >> That's awesome. Adnan, Amazon web service is obviously the largest cloud platform out there. You know, the pandemic, even post pandemic, some of these supply chain issues, whether it's physical or software, you're also an outlet for that. So if someone can't buy hardware or something physical, they can always get to the cloud. You guys have great network compute and whatnot and you got thousands of ISVs across the globe. How are you helping customers with this supply chain problem? Because whether it's, you know, I need to get in my networking gears and delay, I'm going to go to the cloud and get help there. Or whether it's knowing the workloads and what's going on inside them with respect to open source. 'Cause you've got open source, which is kind of an external forcing function. You've got AWS and you got, you know, physical compute stores, networking, et cetera. How are you guys helping customers with the supply chain challenge, which could be an opportunity? >> Yeah, thanks John. I think there are multiple layers to that. At the most basic level, we are helping customers by abstracting away all these data center constructs that they would have to worry about if they were running their own data centers. They would have to figure out how the networking gear, you talk about, you know, having the right compute, right physical hardware. So by moving to the cloud, at least they're delegating that problem to AWS and letting us manage and making sure that we have an instance available for them whenever they want it. And if they want to scale it, the capacity is there for them to use. Now then, so we kind of give them space to work on the second part of the problem, which is building their own supply chain solutions. And we work with all kinds of customers here at AWS from all different industry segments, automotive, retail, manufacturing. And you know, you see the complexity of the supply chain with all those moving pieces, like hundreds and thousands of moving pieces, it's very daunting. And then on the other hand, customers need more better services. So you need to move fast. So you need to build your agility in the supply chain itself. And that is where, you know, Red Hat and AWS come together. Where we can enable customers to build their supply chain solutions on platforms like Red Hat Enterprise Linux RHEL or Red Hat OpenShift on AWS, we call it ROSA. And the benefit there is that you can actually use the services that are relevant for the supply chain solutions like Amazon managed blockchain, you know, SageMaker. So you can actually build predictive analytics, you can improve forecasting, you can make sure that you have solutions that help you identify where you can cut costs. And so those are some of the ways we're helping customers, you know, figure out how they actually want to deal with the supply chain challenges that we're running into in today's world. >> Yeah, and you know, you mentioned sustainability outside of software sustainability, you know, as people move to the cloud, we've reported on SiliconANGLE here in theCUBE, that it's better to have the sustainability with the cloud because then the data centers aren't using all that energy too. So there's also all kinds of sustainability advantages. Gunnar, because this is kind of how your relationship with Amazon's expanded. You mentioned ROSA, which is Red Hat, you know, on OpenShift, on AWS. This is interesting because one of the biggest discussions is skills gap, but we were also talking about the fact that the humans are a huge part of the talent value. In other words, the humans still need to be involved. And having that relationship with managed services and Red Hat, this piece becomes one of those things that's not talked about much, which is the talent is increasing in value, the humans, and now you got managed services on the cloud. So we'll look at scale and human interaction. Can you share, you know, how you guys are working together on this piece? 'Cause this is interesting, 'cause this kind of brings up the relationship of that operator or developer. >> Yeah, yeah. So I think there's, so I think about this in a few dimensions. First is that it's difficult to find a customer who is not talking about automation at some level right now. And obviously you can automate the processes and the physical infrastructure that you already have, that's using tools like Ansible, right? But I think that combining it with the elasticity of a solution like AWS, so you combine the automation with kind of elastic and converting a lot of the capital expenses into operating expenses, that's a great way actually to save labor, right? So instead of like racking hard drives, you can have somebody do something a little more like, you know, more valuable work, right? And so, okay, but that gives you a platform. And then what do you do with that platform? You know, if you've got your systems automated and you've got this kind of elastic infrastructure underneath you, what you do on top of it is really interesting. So a great example of this is the collaboration that we had with running the RHEL workstation on AWS. So you might think, like, well why would anybody want to run a workstation on a cloud? That doesn't make a whole lot of sense. Unless you consider how complex it is to set up, if you have, the use case here is like industrial workstations, right? So it's animators, people doing computational fluid dynamics, things like this. So these are industries that are extremely data heavy. Workstations have very large hardware requirements, often with accelerated GPUs and things like this. That is an extremely expensive thing to install on-premise anywhere. And if the pandemic taught us anything, it's if you have a bunch of very expensive talent and they all have to work from home, it is very difficult to go provide them with, you know, several tens of thousands of dollars worth of workstation equipment. And so combine the RHEL workstation with the AWS infrastructure and now all that workstation computational infrastructure is available on demand and available right next to the considerable amount of data that they're analyzing or animating or working on. So it's a really interesting, it was actually, this is an idea that was actually born with the pandemic. >> Yeah. >> And it's kind of a combination of everything that we're talking about, right? It's the supply chain challenges of the customer, it's the lack of talent, making sure that people are being put to their best and highest use. And it's also having this kind of elastic, I think, OpEx heavy infrastructure as opposed to a CapEx heavy infrastructure. >> That's a great example. I think that illustrates to me what I love about cloud right now is that you can put stuff in the cloud and then flex what you need, when you need it, in the cloud rather than either ingress or egress of data. You just get more versatility around the workload needs, whether it's more compute or more storage or other high level services. This is kind of where this next gen cloud is going. This is where customers want to go once their workloads are up and running. How do you simplify all this and how do you guys look at this from a joint customer perspective? Because that example I think will be something that all companies will be working on, which is put it in the cloud and flex to whatever the workload needs and put it closer to the compute. I want to put it there. If I want to leverage more storage and networking, well, I'll do that too. It's not one thing, it's got to flex around. How are you guys simplifying this? >> Yeah, I think, so, I'll give my point of view and then I'm very curious to hear what Adnan has to say about it. But I think about it in a few dimensions, right? So there is a technically, like, any solution that Adnan's team and my team want to put together needs to be kind of technically coherent, right? Things need to work well together. But that's not even most of the job. Most of the job is actually ensuring an operational consistency and operational simplicity, so that everything is, the day-to-day operations of these things kind of work well together. And then also, all the way to things like support and even acquisition, right? Making sure that all the contracts work together, right? It's a really... So when Adnan and I think about places of working together, it's very rare that we're just looking at a technical collaboration. It's actually a holistic collaboration across support, acquisition, as well as all the engineering that we have to do. >> Adnan, your view on how you're simplifying it with Red Hat for your joint customers making collaborations? >> Yeah, Gunnar covered it well. I think the benefit here is that Red Hat has been the leading Linux distribution provider. So they have a lot of experience. AWS has been the leading cloud provider. So we have both our own points of view, our own learning from our respective set of customers. So the way we try to simplify and bring these things together is working closely. In fact, I sometimes joke internally that if you see Gunnar and my team talking to each other on a call, you cannot really tell who belongs to which team. Because we're always figuring out, okay, how do we simplify discount experience? How do we simplify programs? How do we simplify go to market? How do we simplify the product pieces? So it's really bringing our learning and share our perspective to the table and then really figure out how do we actually help customers make progress. ROSA that we talked about is a great example of that, you know, together we figured out, hey, there is a need for customers to have this capability in AWS and we went out and built it. So those are just some of the examples in how both teams are working together to simplify the experience, make it complete, make it more coherent. >> Great, that's awesome. Next question is really around how you help organizations with the sustainability piece, how to support them simplifying it. But first, before we get into that, what is the core problem around this sustainability discussion we're talking about here, supply chain sustainability, what is the core challenge? Can you both share your thoughts on what that problem is and what the solution looks like and then we can get into advice? >> Yeah. Well from my point of view, it's, I think, you know, one of the lessons of the last three years is every organization is kind of taking a careful look at how resilient it is, or I should say, every organization learned exactly how resilient it was, right? And that comes from both the physical challenges and the logistics challenges that everyone had, the talent challenges you mentioned earlier. And of course the software challenges, you know, as everyone kind of embarks on this digital transformation journey that we've all been talking about. And I think, so I really frame it as resilience, right? And resilience at bottom is really about ensuring that you have options and that you have choices. The more choices you have, the more options you have, the more resilient you and your organization is going to be. And so I know that's how I approach the market. I'm pretty sure that's how Adnan is approaching the market, is ensuring that we are providing as many options as possible to customers so that they can assemble the right pieces to create a solution that works for their particular set of challenges or their unique set of challenges and unique context. Adnan, does that sound about right to you? >> Yeah, I think you covered it well. I can speak to another aspect of sustainability, which is becoming increasingly top of mind for our customers. Like, how do they build products and services and solutions and whether it's supply chain or anything else which is sustainable, which is for the long term good of the planet. And I think that is where we have also been very intentional and focused in how we design our data center, how we actually build our cooling system so that those are energy efficient. You know, we are on track to power all our operations with renewable energy by 2025, which is five years ahead of our initial commitment. And perhaps the most obvious example of all of this is our work with ARM processors, Graviton3, where, you know, we are building our own chip to make sure that we are designing energy efficiency into the process. And you know, the ARM Graviton3 processor chips, they are about 60% more energy efficient compared to some of the CD6 comparable. So all those things that also we are working on in making sure that whatever our customers build on our platform is long term sustainable. So that's another dimension of how we are working that into our platform. >> That's awesome. This is a great conversation. You know, the supply chain is on both sides, physical and software. You're starting to see them come together in great conversations. And certainly moving workloads to the cloud and running them more efficiently will help on the sustainability side, in my opinion. Of course, you guys talked about that and we've covered it. But now you start getting into how to refactor, and this is a big conversation we've been having lately is as you not just lift and shift, but replatform it and refactor, customers are seeing great advantages on this. So I have to ask you guys, how are you helping customers and organizations support sustainability and simplify the complex environment that has a lot of potential integrations? Obviously API's help of course, but that's the kind of baseline. What's the advice that you give customers? 'Cause you know, it can look complex and it becomes complex, but there's an answer here. What's your thoughts? >> Yeah, I think, so whenever I get questions like this from customers, the first thing I guide them to is, we talked earlier about this notion of consistency and how important that is. One way to solve the problem is to create an entirely new operational model, an entirely new acquisition model, and an entirely new stack of technologies in order to be more sustainable. That is probably not in the cards for most folks. What they want to do is have their existing estate and they're trying to introduce sustainability into the work that they are already doing. They don't need to build another silo in order to create sustainability, right? And so there has to be some common threads, there has to be some common platforms across the existing estate and your more sustainable estate, right? And so things like Red Hat Enterprise Linux, which can provide this kind of common, not just a technical substrate, but a common operational substrate on which you can build these solutions. If you have a common platform on which you are building solutions, whether it's RHEL or whether it's OpenShift or any of our other platforms, that creates options for you underneath. So that in some cases maybe you need to run things on-premises, some things you need to run in the cloud, but you don't have to profoundly change how you work when you're moving from one place to another. >> Adnan, what's your thoughts on the simplification? >> Yeah, I mean, when you talk about replatforming and refactoring, it is a daunting undertaking, you know, especially in today's fast paced world. But the good news is you don't have to do it by yourself. Customers don't have to do it on their own. You know, together AWS and Red Hat, we have our rich partner ecosystem, you know, AWS has over 100,000 partners that can help you take that journey, the transformation journey. And within AWS and working with our partners like Red Hat, we make sure that we have- In my mind, there are really three big pillars that you have to have to make sure that customers can successfully re-platform, refactor their applications to the modern cloud architecture. You need to have the rich set of services and tools that meet their different scenarios, different use cases. Because no one size fits all. You have to have the right programs because sometimes customers need those incentives, they need those, you know, that help in the first step. And last but not least, they need training. So all of that, we try to cover that as we work with our customers, work with our partners. And that is where, you know, together we try to help customers take that step, which is a challenging step to take. >> Yeah, you know, it's great to talk to you guys, both leaders in your field. Obviously Red Hats, I remember the days back when I was provisioning and loading OSs on hardware with CDs, if you remember those days, Gunnar. But now with the high level services, if you look at this year's reinvent, and this is kind of my final question for the segment is, that we'll get your reaction to, last year we talked about higher level service. I sat down with Adam Saleski, we talked about that. If you look at what's happened this year, you're starting to see people talk about their environment as their cloud. So Amazon has the gift of the CapEx, all that investment and people can operate on top of it. They're calling that environment their cloud. Okay? For the first time we're seeing this new dynamic where it's like they have a cloud, but Amazon's the CapEx, they're operating. So, you're starting to see the operational visibility, Gunnar, around how to operate this environment. And it's not hybrid, this, that, it's just, it's cloud. This is kind of an inflection point. Do you guys agree with that or have a reaction to that statement? Because I think this is, kind of, the next gen supercloud-like capability. We're going, we're building the cloud. It's now an environment. It's not talking about private cloud, this cloud, it's all cloud. What's your reaction? >> Yeah, I think, well, I think it's very natural. I mean, we use words like hybridcloud, multicloud, I guess supercloud is what the kids are saying now, right? It's all describing the same phenomena, right? Which is being able to take advantage of lots of different infrastructure options, but still having something that creates some commonality among them so that you can manage them effectively, right? So that you can have, kind of, uniform compliance across your estate. So that you can have, kind of, you can make the best use of your talent across the estate. I mean this is, it's a very natural thing. >> John: They're calling it cloud, the estate is the cloud. >> Yeah. So yeah, so fine, if it means that we no longer have to argue about what's multicloud and what's hybridcloud, I think that's great. Let's just call it cloud. >> Adnan, what's your reaction, 'cause this is kind of the next gen benefits of higher level services combined with amazing, you know, compute and resource at the infrastructure level. What's your view on that? >> Yeah, I think the construct of a unified environment makes sense for customers who have all these use cases which require, like for instance, if you are doing some edge computing and you're running WS outpost or you know, wavelength and these things. So, and it is fair for customer to think that, hey, this is one environment, same set of tooling that they want to build that works across all their different environments. That is why we work with partners like Red Hat so that customers who are running Red Hat Enterprise Linux on-premises and who are running in AWS get the same level of support, get the same level of security features, all of that. So from that sense, it actually makes sense for us to build these capabilities in a way that customers don't have to worry about, okay, now I'm actually in the AWS data center versus I'm running outpost on-premises. It is all one. They just use the same set of CLI, command line APIs and all of that. So in that sense it actually helps customers have that unification so that consistency of experience helps their workforce and be more productive versus figuring out, okay, what do I do, which tool I use where? >> Adnan, you just nailed it. This is about supply chain sustainability, moving the workloads into a cloud environment. You mentioned wavelength, this conversation's going to continue. We haven't even talked about the edge yet. This is something that's going to be all about operating these workloads at scale and all with the cloud services. So thanks for sharing that and we'll pick up that edge piece later. But for re:Invent right now, this is really the key conversation. How to make the sustained supply chain work in a complex environment, making it simpler. And so thanks you for sharing your insights here on theCUBE. >> Thanks, thanks for having us. >> Okay, this is theCUBE's coverage of AWS re:Invent 22. I'm John Furrier, your host. Thanks for watching. (bright music)

>>Hey everyone, it's Vegas. Welcome back. We know you've been watching all day. We appreciate that. We always love being able to bring you some great content on the Cube Live from AWS Reinvented 22. Lisa Martin here with Paul Gill. And Paul, we've had such a great event. We've, I think we've done nearly 70 interviews since we started on the Cube on >>Monday night. I believe we just hit 70. Yeah, we just hit 70. You must feel like you've done half of >>Them. I really do. But we've been having great conversations. There's so much innovation going on at aws. Nothing slowed them down during the pandemic. We love also talking about the innovation, the flywheel that is their partner ecosystem. We're gonna have a great conversation about that >>Next. And as we've said, going back to day one, the energy of the show is remarkable. And here we are, we're getting late in the afternoon on day two, and there's just as much activity, just as much energy out there as, as the beginning of the first day. I have no doubt day three will be the >>Same. I agree. There's been no slowdown. We've got two guests here. We're gonna have a great conversation. Chuck Kubota joins us, senior Director of Cloud Services, GTM at Red Hat. Great to have you on the program. And Ted Stanton, global head of Sales, red Hat at IBM at aws. Welcome. >>Thanks for having us. >>How's the show going so far for you guys? >>It's a blur. Is it? Oh my gosh. >>Don't they all >>Blur? Well, yes, yes. I actually like last year a bit better. It was half the size. Yeah. And a lot easier to get around, but this is back to normal, so >>It is back to normal. Yeah. And and Ted, we're hearing north of 50,000 in-person attendees. I heard a, something I think was published. I heard the second hand over like 300,000 online attendees. This is maybe the biggest one we ever had. >>Yeah, yeah, I would agree. And frankly, it's my first time here, so I am massively impressed with the overall show, the meeting with partners, the meeting with customers, the announcements that were made, just fantastic. And >>If you remember back to two years ago, there were a lot of questions about whether in-person conferences would ever return and the volume that we used to see them. And that appears to be >>The case. I think we, I think we've answered, I think AWS has answered that for us, which I'm very pleased to see. Talk about some of those announcements. Ted. There's been so much that that's always one of the things we know and love about re men is there's slew of announcements. You were saying this morning, Paul, and then keynote, you lost, you stopped counting after I >>Lost 15, I lost count for 15. I think it was over 30 announcements this morning alone >>Where IBM and Red Hat are concern. What are some of the things that you are excited about in terms of some of the news, the innovation, and where the partnership is going? >>Well, definitely where the partnership is going, and I think even as we're speaking right now, is a keynote going on with Aruba, talking about some of the partners and the way in which we support partners and the new technologies and the new abilities for partners to take advantage of these technologies to frankly delight our customers is really what most excites me. >>Chuck, what about you? What's going on with Red Hat? You've been there a long time. Sales, everything, picking up customers, massively transforming. What are some of the things that you're seeing and that you're excited >>About? Yeah, I mean, first of all, you know, as customers have, you know, years ago discovered it's not competitively advantageous to manage their own data centers in most cases. So they would like to, you know, give that responsibility to Amazon. We're seeing them move further up the stack, right? So that would be more beyond the operating system, the application platforms like OpenShift. And now we have a managed application platform built on OpenShift called Red Out OpenShift service on AWS or Rosa. And then we're even further going up the stack with that with, we just announced this week that red out OpenShift data science is available in the AWS marketplace, runs on Rosa, helps break the land speed record to getting those data models out there that are so important to make, you know, help organizations become more, much more data driven to remain competitive themselves. >>So talk about Rosa and how it differs from previous iterations of, of OpenShift. I mean, you had, you had an online version of OpenShift several years ago. What's different about Rosa? >>Yeah, so the old OpenShift online that was several years old, right? For one thing, wasn't a joint partnership between Amazon and Red Hat. So we work together, right? Very closely on this, which is great. Also, the awesome thing about Rosa, you know, if you think about like OpenShift for, for, as a matter of fact, Amazon is the number one cloud that OpenShift runs on, right? So a lot of those customers want to take advantage of their committed spins, their EDPs, they want one bill. And so Rosa comes through the one bill comes through the marketplace, right? Which is, which is totally awesome. Not only that or financially backing OpenShift with a 99.95% financially backed sla, right? We didn't have that before either, right? >>When you say financially backed sla, >>What do you mean? That means that if we drop below 99.95% of availability, we're gonna give you some money back, right? So we're really, you know, for lack of better words, putting our money where our mouth is. Absolutely right. >>And, and some of the key reasons that we even work together to build Rosa was frankly we've had a mirror of customers and virtually every single region, every single industry been using OpenShift on AWS for years, right? And we listened to them, they wanted a more managed version of it and we worked very closely together. And what's really great about Rosa too is we built some really fantastic integrations with some of the AWS native services like API gateway, Amazon rds, private link, right? To make it very simple and easy for customers to get started. We talked a little bit about the marketplace, but it's also available just on the AWS console, right? So customers can get started in a pay as you go fashion start to use it. And if they wanna move into a more commitment, more of a set schedule of payments, they can move into a marketplace private offer. >>Chuck, talk about, how about Rosen? How is unlocking the power of technology like containers Kubernetes for customers while dialing down some of the complexity that's >>There? Yeah, I mean if you think about, you know, kind of what we did, you know, earlier on, right? If you think about like virtualization, how it dialed down the complexity of having to get something rack, get a blade rack, stack cable and cooled every time you wanted to deploy new application, right? So what we do is we, our message is this, we want developers to focus on what matters most. And that's build, deploy, and running applications. Most of our customers are not in the business of building app platforms. They're not in the business of building platforms like banks, I, you know, financials, right? Government, et cetera. Right? So what we do is we allow those developers that are, enable those developers that know Java and Node and springing and what have you, just to keep writing what they know. And then, you know, I don't wanna get too technical here, but get pushed through way and, and OpenShift takes care of the rest, builds it for them, runs it through a pipeline, a CICD pipeline, goes through all the testing and quality gates and things like that, deploys it, auto wires it up, you know, to monitoring which is what you need. >>And we have all kinds of other, you know, higher order services and an ecosystem around that. And oh, by the way, also plugging into and taking advantage of the services like rds, right? If you're gonna write an application, a tradition, a cloud native application on Amazon, you're probably going to wanna run it in Rosa and consuming one of those databases, right? Like RDS or Aurora, what have you. >>And I, and I would say it's not even just the customers. We have a variety of ecosystem partners, both of our partners leveraging it as well. We have solos built their executive management system that they go ahead and turn and sell to their customers, streamlines data and collects data from a variety of different sources. They decided, you know, it's better to run that on top of Rosa than manage OpenShift themselves. We've seen IBM restack a lot of their software, you know, to run on top of Rose, take advantage of that capabilities. So lots of partners as well as customers are taking advantage of fully managed stack of that OpenShift that that turnkey capabilities that it provides >>For, for OpenShift customers who wanna move to Rose, is that gonna be a one button migration? Is that gonna be, can they run both environments simultaneously and migrate over time? What kind of tools are you giving them? >>We have quite, we have quite a few migration tools such as conveyor, right? That's one of our projects, part of our migration application toolkit, right? And you know, with those, there's also partners like Trilio, right? Who can help move, you know, applications back 'em up. In fact, we're working on a pretty cool joint go to market with that right now. But generally speaking, the OpenShift experience that the customers that we have know and love and those who have never used OpenShift either are coming to it as well via Rosa, right? The experience is primarily the same. You don't have to really retrain your people, right? If anything, there's a reduction in operational cost. We increase developer productivity cuz we manage so much of the stack for you. We have SRE site reliability engineers that are backing the platform that proactively get ahead of anything that may go wrong. So maybe you don't even notice if something went wrong, wrong. And then also reactively fixing it if it comes to that, right? So, you know, all those kind of things that your customers are having to do on their own or hire a contractor, a consultant, what have to do Now we benefit from a managed offering in the cloud, right? In Amazon, right? And your developers still have that great experience too, like to say, you know, again, break the land speed record to prod. >>I >>Like that. And, and I would actually say migrations from OpenShift are on premise. OpenShift to Rosa maybe only represents about a third of the customers we have. About another third of the customers is frankly existing AWS customers. Maybe they're doing Kubernetes, do it, the, you know, do it themselves. We're struggling with some of the management of that. And so actually started to lean on top of using Rosa as a better platform to actually build upon their applications. And another third, we have quite a few customers that were frankly new OpenShift customers, new Red Hat customers and new AWS customers that were looking to build that next cloud native application. Lots of in the startup space that I've actually chosen to go with Rosa. >>It's funny you mention that because the largest Rosa consumer is new to OpenShift. Oh wow. Right. That's pretty, that's pretty powerful, right? It's not just for existing OpenShift customers, existing OpenShift. If you're running OpenShift, you know, on EC two, right. Self-managed, there's really no better way to run it than Rosa. You know, I think about whether this is the 10th year, 10 year anniversary of re right? Right. Yep. This is also the 10 year anniversary of OpenShift. Yeah, right. I think it one oh came out about sometime around a week, 10 years ago, right? When I came over to Red Hat in 2015. You know, if you, if you know your Kubernetes history was at July 25th, I think was when Kubernetes ga, July 25th, 2015 is when it g you have >>A good >>Memory. Well I remember those days back then, right? Those were fun, right? The, we had a, a large customer roll out on OpenShift three, which is our OpenShift RE based on Kubernetes. And where do you think they ran Amazon, right? Naturally. So, you know, as you move forward and, and, and OpenShift V four came out, the, reduces the operational complexity and becomes even more powerful through our operator framework and things like that. Now they revolved up to Rosa, right? And again, to help those customers focus on what matters most. And that's the applications, not the containers, not those underlying implementation and technical details while critically important, are not necessarily core to the business to most of our customers. >>Tremendous amount of innovation in OpenShift in a decade, >>Pardon me? >>Tremendous amount of innovation in OpenShift in the >>Last decade. Oh absolutely. And, and and tons more to come like every day. Right. I think what you're gonna see more of is, you know, as Kubernetes becomes more, more and more of the plumbing, you know, I call 'em productive abstractions on top of it, as you mentioned earlier, unlocking the power of these technologies while minimizing, even hiding the complexity of them so that you can just move fast Yeah. And safely move fast. >>I wanna be sure we get to, to marketplaces because you have been, red Hat has made, has really stepped up as commitment to the AWS marketplace. Why are you doing that now and how are, how are the marketplaces evolving as a channel for you? >>Well, cuz our customers want us to be there, right? I mean we, we, we are customer centric, customer first approach. Our customers want to buy through the marketplace. If you're an Amazon, if you're an Amazon customer, it's really easy for you to go procure software through the marketplace and have, instead of having to call up Red Hat and get on paper and write a second check, right? One stop shop one bill. Right? That is very, very attractive to our customers. Not only that, it opens up other ways to buy, you know, Ted mentioned earlier, you know, pay as you go buy the drink pricing using exactly what you need right now. Right? You know, AWS pioneered that, right? That provides that elasticity, you know, one of the core tenants at aws, AWS cloud, right? And we weren't able to get that with the traditional self-managed on Red Hat paper subscriptions. >>Talk a little bit about the go to market, what's, you talked about Ted, the kind of the three tenants of, of customer types. But talk a little bit about the gtm, the joint go to market, the joint engineering, so we get an understanding of how customers engage multiple options. >>Yeah, I mean, so if you think about go to market, you know, and the way I think of it is it's the intersection of a few areas, right? So the product and the product experience that we work together has to be so good that a customer or user, actually many start talk, talking about users now cuz it's self-service has a more than likely chance of getting their application to prod without ever talking to a person. Which is historically not what a lot of enterprise software companies are able to do, right? So that's one of those biggest things we do. We want customers to just be successful, turn it on, get going, be productive, right? At the same time we wanna to position the product in such a way that's differentiating that you can't get that experience anywhere else. And then part of that is ensuring that the education and enablement of our customers and our partners as such that they use the platform the right way to get as much value out of as possible. >>All backed by, you know, a very smart field that ensures that the customer get is making the right decision. A customer success org, this is attached to my org now that we can go on site and team with our customers to make sure that they get their first workloads up as quickly as possible, by the way, on our date, our, our dime. And then SRE and CEA backing that up with support and operational integrity to ensure that the service is always up and available so you can sleep, sleep, sleep well at night. Right? Right. One of our PMs of, of of Rosa, he says, what does he say? He says, Rosa allows organizations, enables organizations to go from 24 7 operations to nine to five innovation. Right? And that's powerful. That's how our customers remain more competitive running on Rosa with aws, >>When you're in customer conversations and you have 30 seconds, what are the key differentiators of the solution that you go boom, boom, boom, and they just go, I get it. >>Well, I mean, my 32nd elevator pitch, I think I've already said, I'll say it again. And that is OpenShift allows you to focus on your applications, build, deploy, and run applications while unlocking the power of the technologies like containers and Kubernetes and hiding or minimizing those complexities. So you can do as fast as possible. >>Mic drop Ted, question for you? Sure. Here we are at the, this is the, I leave the 11th reinvent, 10th anniversary, 11th event. You've been in the industry a long time. What is your biggest takeaway from what's been announced and discussed so far at Reinvent 22, where the AWS and and its partner ecosystem is concerned? If you had 30 seconds or if you had a bumper sticker to put on your DeLorean, what would you say? >>I would say we're continuing to innovate on behalf of our customers, but making sure we bring all of our partners and ecosystems along in that innovation. >>Yeah. I love the customer obsession on both sides there. Great work guides. Congrats on the 10th anniversary of OpenShift and so much evolution, the customer obsession is really clear for both of you guys. We appreciate your time. You're gonna have to come back now. Absolutely. Absolutely. Thank you. All right. Thank you so much for joining us. For our guests and for Paul Gillin. I'm Lisa Martin. You're watching The Cube, the leader in live enterprise and emerging tech coverage.

>>Hello, brilliant humans and welcome back to Las Vegas, Nevada, where we are live from the AWS Reinvent Show floor here with the cube. My name is Savannah Peterson, joined with Dave Valante, and we have a very exciting conversation with you. Two, two companies you may have heard of. We've got AWS and Red Hat in the house. Manu and Joel, thank you so much for being here. Love this little fist bump. Started off, that's right. Before we even got rolling, Manu, you said that you wanted this to be the best segment of, of the cubes airing. We we're doing over a hundred segments, so you're gonna have to bring the heat. >>We're ready. We're did go. Are we ready? Yeah, go. We're ready. Let's bring it on. >>We're ready. All right. I'm, I'm ready. Dave's ready. Let's do it. How's the show going for you guys real quick before we dig in? >>Yeah, I think after Covid, it's really nice to see that we're back into the 2019 level and, you know, people just want to get out, meet people, have that human touch with each other, and I think a lot of trust gets built as a functional that, so it's super amazing to see our partners and customers here at Reedman. Yeah, >>And you've got a few in the house. That's true. Just a few maybe, maybe a couple >>Very few shows can say that, by the way. Yeah, it's maybe a handful. >>I think one of the things we were saying, it's almost like the entire Silicon Valley descended in the expo hall area, so >>Yeah, it's >>For a few different reasons. There's a few different silicon defined. Yeah, yeah, yeah. Don't have strong on for you. So far >>It's, it's, it is amazing. It's the 10th year, right? It's decade, I think I've been to five and it's, it grows every single year. It's the, you have to be here. It's as simple as that. And customers from every single industry are here too. You don't get, a lot of shows have every single industry and almost every single location around the globe. So it's, it's a must, must be >>Here. Well, and the personas evolved, right? I was at reinvent number two. That was my first, and it was all developers, not all, but a lot of developers. And today it's a business mix, really is >>Totally, is a business mix. And I just, I've talked about it a little bit down the show, but the diversity on the show floor, it's the first time I've had to wait in line for the ladies' room at a tech conference. Almost a two decade career. It is, yeah. And it was really refreshing. I'm so impressed. So clearly there's a commitment to community, but also a commitment to diversity. Yeah. And, and it's brilliant to see on the show floor. This is a partnership that is robust and has been around for a little while. Money. Why don't you tell us a little bit about the partnership here? >>Yes. So Red Hand and AWS are best friends, you know, forever together. >>Aw, no wonder we got the fist bumps and all the good vibes coming out. I know, it's great. I love that >>We have a decade of working together. I think the relationship in the first phase was around running rail bundled with E two. Sure. We have about 70,000 customers that are running rail, which are running mission critical workloads such as sap, Oracle databases, bespoke applications across the state of verticals. Now, as more and more enterprise customers are finally, you know, endorsing and adopting public cloud, I think that business is just gonna continue to grow. So a, a lot of progress there. The second titration has been around, you know, developers tearing Red Hat and aws, Hey, listen, we wanna, it's getting competitive. We wanna deliver new features faster, quicker, we want scale and we want resilience. So just entire push towards devs containers. So that's the second chapter with, you know, red Hat OpenShift on aws, which launched as a, a joint manage service in 2021 last year. And I think the third phase, which you're super excited about, is just bringing the ease of consumption, one click deployment, and then having our customers, you know, benefit from the joint committed spend programs together. So, you know, making sure that re and Ansible and JBoss, the entire portfolio of Red Hat products are available on AWS marketplace. So that's the 1, 2, 3, it of our relationship. It's a decade of working together and, you know, best friends are super committed to making sure our customers and partners continue successful. >>Yeah, that he said it, he said it perfectly. 2008, I know you don't like that, but we started with Rel on demand just in 2008 before E two even had a console. So the partnership has been there, like Manu says, for a long time, we got the partnership, we got the products up there now, and we just gotta finalize that, go to market and get that gas on the fire. >>Yeah. So Graviton Outpost, local zones, you lead it into all the new stuff. So that portends, I mean, 2008, we're talking two years after the launch of s3. >>That's right. >>Right. So, and now look, so is this a harbinger of things to come with these new innovations? >>Yeah, I, I would say, you know, the innovation is a key tenant of our partnership, our relationship. So if you look at from a product standpoint, red Hat or Rel was one of the first platforms that made a support for graviton, which is basically 40% better price performance than any other distribution. Then that translated into making sure that Rel is available on all of our regions globally. So this year we launched Switzerland, Spain, India, and Red Hat was available on launch there, support for Nitro support for Outpost Rosa support on Outpost as well. So I think that relationship, that innovation on the product side, that's pretty visible. I think that innovation again then translates into what we are doing on marketplace with one click deployments we spoke about. I think the third aspect of the know innovation is around making sure that we are making our partners and our customers successful. So one of the things that we've done so far is Joe leads a, you know, a black belt team that really goes into each customer opportunity, making sure how can we help you be successful. We launched and you know, we should be able to share that on a link. After this, we launched like a big playlist, which talks about every single use case on how do you get successful and running OpenShift on aws. So that innovation on behalf of our customers partners to make them successful, that's been a key tenant for us together as >>Well. That's right. And that team that Manu is talking about, we're gonna, gonna 10 x that team this year going into January. Our fiscal yield starts in January. Love that. So yeah, we're gonna have a lot of no hiring freeze over here. Nope. No ma'am. No. Yeah, that's right. Yeah. And you know what I love about working with aws and, and, and Manu just said it very, all of that's customer driven. Every single event that we, that he just talked about in that timeline, it's customer driven, right? Customers wanted rail on demand, customers want JBoss up in the cloud, Ansible this week, you know, everything's up there now. So it's just getting that go to market tight and we're gonna, we're gonna get that done. >>So what's the algorithm for customer driven in terms of taking the input? Because if every customers saying, Hey, I this a >>Really similar >>Question right up, right? I, that's what I want. And if you know, 95% of the customers say it, Jay, maybe that's a good idea. >>Yeah, that's right. Trends. But >>Yeah. You know, 30% you might be like, mm, you know, 20%, you know, how do you guys decide when to put gas on the fire? >>No, that, I think, as I mentioned, there are about 70,000 large customers that are running rail on Easy Two, many of these customers are informing our product strategy. So we have, you know, close to about couple of thousand power users. We have customer advisory booths, and these are the, you know, customers are informing us, Hey, let's get all of the Red Hat portfolio and marketplace support for graviton, support for Outpost. Why don't we, why are we not able to dip into the consumption committed spend programs for both Red Hat and aws? That's right. So it's these power users both at the developer level as well as the guys who are actually doing large commercial consumption. They are the ones who are informing the roadmap for both Red Hat and aws. >>But do, do you codify the the feedback? >>Yeah, I'm like, I wanna see the database, >>The, I think it was, I don't know, it was maybe Chasy, maybe it was Besos, that that data beats intuition. So do you take that information and somehow, I mean, it's global, 70,000 customers, right? And they have different weights, different spending patterns, different levels of maturity. Yeah. Do you, how do you codify that and then ultimately make the decision? Yeah, I >>If, I mean, well you, you've got the strategic advisory boards, which are made up of customers and partners and you know, you get, you get a good, you gotta get a good slice of your customer base to get, and you gotta take their feedback and you gotta do something with it, right? That's the, that's the way we do it and codify it at the product level, I'm sure open source. That's, that's basically how we work at the product level, right? The most elegant solution in open source wins. And that's, that's pretty much how we do that at the, >>I would just add, I think it's also just the implicit trust that the two companies had built with each other, working in the trenches, making our customers and partners successful over the last decade. And Alex, give an example. So that manifests itself in context of like, you know, Amazon and Red Hat just published the entire roadmap for OpenShift. What are the new features that are becoming over the next six to nine to 12 months? It's open source available on GitHub. Customers can see, and then they can basically come back and give feedback like, Hey, you know, we want hip compliance. We just launched. That was a big request that was coming from our >>Customers. That is not any process >>Also for Graviton or Nvidia instances. So I I I think it's a, >>Here's the thing, the reason I'm pounding on this is because you guys have a pretty high hit rate, and I think as a >>Customer, mildly successful company >>As, as a customer advocate, the better, you know, if, if you guys make bets that pay off, it's gonna pay off for customers. Right. And because there's a lot of failures in it. Yeah. I mean, let's face it. That's >>Right. And I think, I think you said the key word bets. You place a lot of small bets. Do you have the, the innovation engine to do that? AWS is the perfect place to place those small bets. And then you, you know, pour gas on the fire when, when they take off. >>Yeah, it's a good point. I mean, it's not expensive to experiment. Yeah. >>Especially in the managed service world. Right? >>And I know you love taking things to market and you're a go to market guy. Let's talk gtm, what's got your snow pumped about GTM for 2023? >>We, we are gonna, you know, 10 x the teams that's gonna be focused on these products, right? So we're gonna also come out with a hybrid committed spend program for our customers that meet them where they want to go. So they're coming outta the data center going into a cloud. We're gonna have a nice financial model for them to do that. And that's gonna take a lot of the friction out. >>Yeah. I mean, you've nailed it. I, I think the, the fact that now entire Red Hat portfolio is available on marketplace, you can do it on one click deployment. It's deeply integrated with Amazon services and the most important part that Joel was making now customers can double dip. They can drive benefit from the consumption committed spend programs, both from Red Hat and from aws, which is amazing. Which is a game changer That's right. For many of our large >>Customers. That's right. And that, so we're gonna, we're gonna really go to town on that next year. That's, and all the, all the resources that I have, which are the technology sellers and the sas, you know, the engineers we're growing this team the most out that team. So it's, >>When you say 10 x, how many are you at now? I'm >>Curious to see where you're headed. Tell you, okay. There's not right? Oh no, there's not one. It's triple digit. Yeah, yeah. >>Today. Oh, sweet. Awesome. >>So, and it's a very sizable team. They're actually making sure that each of our customers are successful and then really making sure that, you know, no customer left behind policy. >>And it's a great point that customers love when Amazonians and Red Hats show up, they love it and it's, they want to get more of it, and we're gonna, we're gonna give it to 'em. >>Must feel great to be loved like that. >>Yeah, that's right. Yeah. Yeah. I would say yes. >>Seems like it's safe to say that there's another decade of partnership between your two companies. >>Hope so. That's right. That's the plan. >>Yeah. And I would say also, you know, just the IBM coming into the mix here. Yeah. I, you know, red Hat has informed the way we have turned around our partnership with ibm, essentially we, we signed the strategic collaboration agreement with the company. All of IBM software now runs on Rosa. So that is now also providing a lot of tailwinds both to our rail customers and as well as Rosa customers. And I think it's a very net creative, very positive for our partnership. >>That's right. It's been very positive. Yep. Yeah. >>You see the >>Billboards positive. Yeah, right. Also that, that's great. Great point, Dave. Yep. We have a, we have a new challenge, a new tradition on the cube here at Reinvent where we're, well, it's actually kind of a glamor moment for you, depending on how you leverage it. We're looking for your 32nd hot take your Instagram reel, your sizzle thought leadership, biggest takeaway, most important theme from this year's show. I know you want, right, Joel? I mean, you TM boy, I feel like you can spit the time. >>Yeah. It is all about Rosa for us. It is all in on that, that's the native OpenShift offering on aws and that's, that's the soundbite we're going go to town with. Now, I don't wanna forget all the other products that are in there, but Rosa is a, is a very key push for us this year. >>Fantastic. All right. Manu. >>I think our customers, it's getting super competitive. Our customers want to innovate just a >>Little bit. >>The enterprise customers see the cloud native companies. I wanna do what these guys are doing. I wanna develop features at a fast clip. I wanna scale, I wanna be resilient. And I think that's really the spirit that's coming out. So to Joel's point, you know, move to worlds containers, serverless, DevOps, which was like, you know, aha, something that's happening on the side of an enterprise is not becoming mainstream. The business is demanding it. The, it is becoming the centerpiece in the business strategy. So that's been really like the aha. Big thing that's happening here. >>Yeah. And those architectures are coming together, aren't they? That's correct. Right. You know, VMs and containers, it used to be one architecture and then at the other end of the spectrum is serverless. People thought of those as different things and now it's a single architecture and, and it's kind of right approach for the right job. >>And, and a compliments say to Red Hat, they do an incredible job of hiding that complexity. Yeah. Yes. And making sure that, you know, for example, just like, make it easier for the developers to create value and then, and you know, >>Yeah, that's right. Those, they were previously siloed architectures and >>That's right. OpenShift wanna be place where you wanna run containers or virtual machines. We want that to be this Yeah. Single place. Not, not go bolt on another piece of architecture to just do one or the other. Yeah. >>And hey, the hybrid cloud vision is working for ibm. No question. You know, and it's achievable. Yeah. I mean, I just, I've said unlike, you know, some of the previous, you know, visions on fixing the world with ai, hybrid cloud is actually a real problem that you're attacking and it's showing the results. Agreed. Oh yeah. >>Great. Alright. Last question for you guys. Cause it might be kind of fun, 10 years from now, oh, we're at another, we're sitting here, we all look the same. Time has passed, but we are not aging, which is a part of the new technology that's come out in skincare. That's my, I'm just throwing that out there. Why not? What do you guys hope that you can say about the partnership and, and your continued commitment to community? >>Oh, that's a good question. You go first this time. Yeah. >>I think, you know, the, you know, for looking into the future, you need to look into the past. And Amazon has always been driven by working back from our customers. That's like our key tenant, principle number 1 0 1. >>Couple people have said that on this stage this week. Yeah. >>Yeah. And I think our partnership, I hope over the next decade continues to keep that tenant as a centerpiece. And then whatever comes out of that, I think we, we are gonna be, you know, working through that. >>Yeah. I, I would say this, I think you said that, well, the customer innovation is gonna lead us to wherever that is. And it's, it's, it's gonna be in the cloud for sure. I think we can say that in 10 years. But yeah, anything from, from AI to the quant quantum computing that IBM's really pushing behind that, you know, those are, those are gonna be things that hopefully we show up on a, on a partnership with Manu in 10 years, maybe sooner. >>Well, whatever happens next, we'll certainly be covering it here on the cube. That's right. Thank you both for being here. Joel Manu, fantastic interview. Thanks to see you guys. Yeah, good to see you brought the energy. I think you're definitely ranking high on the top interviews. We >>Love that for >>The day. >>Thank >>My pleasure >>Job, guys. Now that you're competitive at all, and thank you all for tuning in to our live coverage here from AWS Reinvent in Las Vegas, Nevada, with Dave Valante. I'm Savannah Peterson. You're watching The Cube, the leading source for high tech coverage.

>>Hello everyone. Welcome to the Cube's coverage of AWS Reinvent 22. I'm John Ferer, host of the Cube. Got some great coverage here talking about software supply chain and sustainability in the cloud. We've got a great conversation. Gunner Helickson, Vice President and general manager at Red Hat Enterprise Linux and Business Unit of Red Hat. Thanks for coming on. And Edon Eja Director, Product Management of commercial software services aws. Gentlemen, thanks for joining me today. >>Oh, it's a pleasure. >>You know, the hottest topic coming out of Cloudnative developer communities is slide chain software sustainability. This is a huge issue. As open source continues to power away and fund and grow this next generation modern development environment, you know, supply chain, you know, sustainability is a huge discussion because you gotta check things out where, what's in the code. Okay, open source is great, but now we gotta commercialize it. This is the topic, Gunner, let's get in, get with you. What, what are you seeing here and what's some of the things that you're seeing around the sustainability piece of it? Because, you know, containers, Kubernetes, we're seeing that that run time really dominate this new abstraction layer, cloud scale. What's your thoughts? >>Yeah, so I, it's interesting that the, you know, so Red Hat's been doing this for 20 years, right? Making open source safe to consume in the enterprise. And there was a time when in order to do that you needed to have a, a long term life cycle and you needed to be very good at remediating security vulnerabilities. And that was kind of, that was the bar that you had that you had to climb over. Nowadays with the number of vulnerabilities coming through, what people are most worried about is, is kind of the providence of the software and making sure that it has been vetted and it's been safe, and that that things that you get from your vendor should be more secure than things that you've just downloaded off of GitHub, for example. Right? And that's, that's a, that's a place where Red Hat's very comfortable living, right? >>Because we've been doing it for, for 20 years. I think there, there's another, there's another aspect to this, to this supply chain question as well, especially with the pandemic. You know, we've got these, these supply chains have been jammed up. The actual physical supply chains have been jammed up. And, and the two of these issues actually come together, right? Because as we've been go, as we go through the pandemic, we've had these digital transformation efforts, which are in large part people creating software in order to manage better their physical supply chain problems. And so as part of that digital transformation, you have another supply chain problem, which is the software supply chain problem, right? And so these two things kind of merge on these as people are trying to improve the performance of transportation systems, logistics, et cetera. Ultimately it all boils down to it all. Both supply chain problems actually boil down to a software problem. It's very >>Interesting that, Well, that is interesting. I wanna just follow up on that real quick if you don't mind. Because if you think about the convergence of the software and physical world, you know, that's, you know, IOT and also hybrid cloud kind of plays into that at scale, this opens up more surface area for attacks, especially when you're under a lot of pressure. This is where, you know, you can, you have a service area in the physical side and you have constraints there. And obviously the pandemic causes problems, but now you've got the software side. Can you, how are you guys handling that? Can you just share a little bit more of how you guys are looking at that with Red Hat? What's, what's the customer challenge? Obviously, you know, skills gaps is one, but like that's a convergence at the same time. More security problems. >>Yeah, yeah, that's right. And certainly the volume of, if we just look at security vulnerabilities themselves, just the volume of security vulnerabilities has gone up considerably as more people begin using the software. And as the software becomes more important to kind of critical infrastructure, more eyeballs are on it. And so we're uncovering more problems, which is kind of, that's, that's okay. That's how the world works. And so certainly the, the number of remediations required every year has gone up. But also the customer expectations, as I've mentioned before, the customer expectations have changed, right? People want to be able to show to their auditors and to their regulators that no, we, we, in fact, I can show the providence of the software that I'm using. I didn't just download something random off the internet. I actually have, like you, you know, adults paying attention to the, how the software gets put together. >>And it's still, honestly, it's still very early days. We can, I think the, in as an industry, I think we're very good at managing, identifying remediating vulnerabilities in the aggregate. We're pretty good at that. I think things are less clear when we talk about kind of the management of that supply chain, proving the provenance, proving the, and creating a resilient supply chain for software. We have lots of tools, but we don't really have lots of shared expectations. Yeah. And so it's gonna be interesting over the next few years, I think we're gonna have more rules are gonna come out. I see NIST has already, has already published some of them. And as these new rules come out, the whole industry is gonna have to kind of pull together and, and really and really rally around some of this shared understanding so we can all have shared expectations and we can all speak the same language when we're talking about this >>Problem. That's awesome. A and Amazon web service is obviously the largest cloud platform out there, you know, the pandemic, even post pandemic, some of these supply chain issues, whether it's physical or software, you're also an outlet for that. So if someone can't buy hardware or, or something physical, they can always get the cloud. You guys have great network compute and whatnot and you got thousands of ISVs across the globe. How are you helping customers with this supply chain problem? Because whether it's, you know, I need to get in my networking gears delayed, I'm gonna go to the cloud and get help there. Or whether it's knowing the workloads and, and what's going on inside them with respect open source. Cause you've got open source, which is kind of an external forcing function. You got AWS and you got, you know, physical compute stores, networking, et cetera. How are you guys helping customers with the supply chain challenge, which could be an opportunity? >>Yeah, thanks John. I think there, there are multiple layers to that. At, at the most basic level we are helping customers buy abstracting away all these data central constructs that they would have to worry about if they were running their own data centers. They would have to figure out how the networking gear, you talk about, you know, having the right compute, right physical hardware. So by moving to the cloud, at least they're delegating that problem to AWS and letting us manage and making sure that we have an instance available for them whenever they want it. And if they wanna scale it, the, the, the capacity is there for them to use now then that, so we kind of give them space to work on the second part of the problem, which is building their own supply chain solutions. And we work with all kinds of customers here at AWS from all different industry segments, automotive, retail, manufacturing. >>And you know, you see that the complexity of the supply chain with all those moving pieces, like hundreds and thousands of moving pieces, it's very daunting. So cus and then on the other hand, customers need more better services. So you need to move fast. So you need to build, build your agility in the supply chain itself. And that is where, you know, Red Hat and AWS come together where we can build, we can enable customers to build their supply chain solutions on platform like Red Hat Enterprise, Linux Rail or Red Hat OpenShift on, on aws. We call it Rosa. And the benefit there is that you can actually use the services that we, that are relevant for the supply chain solutions like Amazon managed blockchain, you know, SageMaker. So you can actually build predictive and s you can improve forecasting, you can make sure that you have solutions that help you identify where you can cut costs. And so those are some of the ways we are helping customers, you know, figure out how they actually wanna deal with the supply chain challenges that we're running into in today's world. >>Yeah, and you know, you mentioned sustainability outside of software su sustainability, you know, as people move to the cloud, we've reported on silicon angle here in the cube that it's better to have the sustainability with the cloud because then the data centers aren't using all that energy too. So there's also all kinds of sustainability advantages, Gunner, because this is, this is kind of how your relationship with Amazon's expanded. You mentioned Rosa, which is Red Hat on, you know, on OpenShift, on aws. This is interesting because one of the biggest discussions is skills gap, but we were also talking about the fact that the humans are huge part of the talent value. In other words, the, the humans still need to be involved and having that relationship with managed services and Red Hat, this piece becomes one of those things that's not talked about much, which is the talent is increasing in value the humans, and now you got managed services on the cloud, has got scale and human interactions. Can you share, you know, how you guys are working together on this piece? Cuz this is interesting cuz this kind of brings up the relationship of that operator or developer. >>Yeah, Yeah. So I think there's, so I think about this in a few dimensions. First is that the kind of the, I it's difficult to find a customer who is not talking about automation at some level right now. And obviously you can automate the processes and, and the physical infrastructure that you already have that's using tools like Ansible, right? But I think that the, combining it with the, the elasticity of a solution like aws, so you combine the automation with kind of elastic and, and converting a lot of the capital expenses into operating expenses, that's a great way actually to save labor, right? So instead of like racking hard drives, you can have somebody who's somebody do something a little more like, you know, more valuable work, right? And so, so okay, but that gives you a platform and then what do you do with that platform? >>And if you've got your systems automated and you've got this kind of elastic infrastructure underneath you, what you do on top of it is really interesting. So a great example of this is the collaboration that, that we had with running the rel workstation on aws. So you might think like, well why would anybody wanna run a workstation on, on a cloud? That doesn't make a whole lot of sense unless you consider how complex it is to set up, if you have the, the use case here is like industrial workstations, right? So it's animators, people doing computational fluid dynamics, things like this. So these are industries that are extremely data heavy. They have workstations have very large hardware requirements, often with accelerated GPUs and things like this. That is an extremely expensive thing to install on premise anywhere. And if the pandemic taught us anything, it's, if you have a bunch of very expensive talent and they all have to work from a home, it is very difficult to go provide them with, you know, several tens of thousands of dollars worth of worth of worth of workstation equipment. >>And so combine the rail workstation with the AWS infrastructure and now all that workstation computational infrastructure is available on demand and on and available right next to the considerable amount of data that they're analyzing or animating or, or, or working on. So it's a really interesting, it's, it was actually, this is an idea that I was actually born with the pandemic. Yeah. And, and it's kind of a combination of everything that we're talking about, right? It's the supply chain challenges of the customer, It's the lack of lack of talent, making sure that people are being put their best and highest use. And it's also having this kind of elastic, I think, opex heavy infrastructure as opposed to a CapEx heavy infrastructure. >>That's a great example. I think that's illustrates to me what I love about cloud right now is that you can put stuff in, in the cloud and then flex what you need when you need it at in the cloud rather than either ingress or egress data. You, you just more, you get more versatility around the workload needs, whether it's more compute or more storage or other high level services. This is kind of where this NextGen cloud is going. This is where, where, where customers want to go once their workloads are up and running. How do you simplify all this and how do you guys look at this from a joint customer perspective? Because that example I think will be something that all companies will be working on, which is put it in the cloud and flex to the, whatever the workload needs and put it closer to the work compute. I wanna put it there. If I wanna leverage more storage and networking, Well, I'll do that too. It's not one thing. It's gotta flex around what's, how are you guys simplifying this? >>Yeah, I think so for, I'll, I'll just give my point of view and then I'm, I'm very curious to hear what a not has to say about it, but the, I think and think about it in a few dimensions, right? So there's, there is a, technically like any solution that aan a nun's team and my team wanna put together needs to be kind of technically coherent, right? The things need to work well together, but that's not the, that's not even most of the job. Most of the job is actually the ensuring and operational consistency and operational simplicity so that everything is the day-to-day operations of these things kind of work well together. And then also all the way to things like support and even acquisition, right? Making sure that all the contracts work together, right? It's a really in what, So when Aon and I think about places of working together, it's very rare that we're just looking at a technical collaboration. It's actually a holistic collaboration across support acquisition as well as all the engineering that we have to do. >>And on your, your view on how you're simplifying it with Red Hat for your joint customers making Collabo >>Yeah. Gun, Yeah. Gunner covered it. Well I think the, the benefit here is that Red Hat has been the leading Linux distribution provider. So they have a lot of experience. AWS has been the leading cloud provider. So we have both our own point of views, our own learning from our respective set of customers. So the way we try to simplify and bring these things together is working closely. In fact, I sometimes joke internally that if you see Ghana and my team talking to each other on a call, you cannot really tell who who belongs to which team. Because we're always figuring out, okay, how do we simplify discount experience? How do we simplify programs? How do we simplify go to market? How do we simplify the product pieces? So it's really bringing our, our learning and share our perspective to the table and then really figure out how do we actually help customers make progress. Rosa that we talked about is a great example of that, you know, you know, we, together we figured out, hey, there is a need for customers to have this capability in AWS and we went out and built it. So those are just some of the examples in how both teams are working together to simplify the experience, make it complete, make it more coherent. >>Great. That's awesome. That next question is really around how you help organizations with the sustainability piece, how to support them, simplifying it. But first, before we get into that, what is the core problem around this sustainability discussion we're talking about here, supply chain sustainability, What is the core challenge? Can you both share your thoughts on what that problem is and what the solution looks like and then we can get into advice? >>Yeah. Well from my point of view, it's, I think, you know, one of the lessons of the last three years is every organization is kind of taking a careful look at how resilient it is. Or ever I should say, every organization learned exactly how resilient it was, right? And that comes from both the, the physical challenges and the logistics challenges that everyone had. The talent challenges you mentioned earlier. And of course the, the software challenges, you know, as everyone kind of embarks on this, this digital transformation journey that, that we've all been talking about. And I think, so I really frame it as, as resilience, right? And and resilience is at bottom is really about ensuring that you have options and that you have choices. The more choices you have, the more options you have, the more resilient you, you and your organization is going to be. And so I know that that's how, that's how I approach the market. I'm pretty sure that's exact, that's how AON is, has approaching the market, is ensuring that we are providing as many options as possible to customers so that they can assemble the right, assemble the right pieces to create a, a solution that works for their particular set of challenges or their unique set of challenges and and unique context. Aon, is that, does that sound about right to you? Yeah, >>I think you covered it well. I, I can speak to another aspect of sustainability, which is becoming increasingly top of mind for our customer is like how do they build products and services and solutions and whether it's supply chain or anything else which is sustainable, which is for the long term good of the, the planet. And I think that is where we have been also being very intentional and focused in how we design our data center. How we actually build our cooling system so that we, those are energy efficient. You know, we, we are on track to power all our operations with renewable energy by 2025, which is five years ahead of our initial commitment. And perhaps the most obvious example of all of this is our work with arm processors Graviton three, where, you know, we are building our own chip to make sure that we are designing energy efficiency into the process. And you know, we, there's the arm graviton, three arm processor chips, there are about 60% more energy efficient compared to some of the CD six comparable. So all those things that are also we are working on in making sure that whatever our customers build on our platform is long term sustainable. So that's another dimension of how we are working that into our >>Platform. That's awesome. This is a great conversation. You know, the supply chain is on both sides, physical and software. You're starting to see them come together in great conversations and certainly moving workloads to the cloud running in more efficiently will help on the sustainability side, in my opinion. Of course, you guys talked about that and we've covered it, but now you start getting into how to refactor, and this is a big conversation we've been having lately, is as you not just lift and ship but re-platform and refactor, customers are seeing great advantages on this. So I have to ask you guys, how are you helping customers and organizations support sustainability and, and simplify the complex environment that has a lot of potential integrations? Obviously API's help of course, but that's the kind of baseline, what's the, what's the advice that you give customers? Cause you know, it can look complex and it becomes complex, but there's an answer here. What's your thoughts? >>Yeah, I think so. Whenever, when, when I get questions like this from from customers, the, the first thing I guide them to is, we talked earlier about this notion of consistency and how important that is. It's one thing, it it, it is one way to solve the problem is to create an entirely new operational model, an entirely new acquisition model and an entirely new stack of technologies in order to be more sustainable. That is probably not in the cards for most folks. What they want to do is have their existing estate and they're trying to introduce sustainability into the work that they are already doing. They don't need to build another silo in order to create sustainability, right? And so there have to be, there has to be some common threads, there has to be some common platforms across the existing estate and your more sustainable estate, right? >>And, and so things like Red Hat enterprise Linux, which can provide this kind of common, not just a technical substrate, but a common operational substrate on which you can build these solutions if you have a common platform on which you are building solutions, whether it's RHEL or whether it's OpenShift or any of our other platforms that creates options for you underneath. So that in some cases maybe you need to run things on premise, some things you need to run in the cloud, but you don't have to profoundly change how you work when you're moving from one place to another. >>And that, what's your thoughts on, on the simplification? >>Yeah, I mean think that when you talk about replatforming and refactoring, it is a daunting undertaking, you know, in today's, in the, especially in today's fast paced work. So, but the good news is you don't have to do it by yourself. Customers don't have to do it on their own. You know, together AWS and Red Hat, we have our rich partner ecosystem, you know AWS over AWS has over a hundred thousand partners that can help you take that journey, the transformation journey. And within AWS and working with our partners like Red Hat, we make sure that we have all in, in my mind there are really three big pillars that you have to have to make sure that customers can successfully re-platform refactor their applications to the modern cloud architecture. You need to have the rich set of services and tools that meet their different scenarios, different use cases. Because no one size fits all. You have to have the right programs because sometimes customers need those incentives, they need those, you know, that help in the first step and last but no needs, they need training. So all of that, we try to cover that as we work with our customers, work with our partners and that is where, you know, together we try to help customers take that step, which is, which is a challenging step to take. >>Yeah. You know, it's great to talk to you guys, both leaders in your field. Obviously Red hats, well story history. I remember the days back when I was provisioning, loading OSS on hardware with, with CDs, if you remember, that was days gunner. But now with high level services, if you look at this year's reinvent, and this is like kind of my final question for the segment is then we'll get your reaction to is last year we talked about higher level services. I sat down with Adam Celski, we talked about that. If you look at what's happened this year, you're starting to see people talk about their environment as their cloud. So Amazon has the gift of the CapEx, the all that, all that investment and people can operate on top of it. They're calling that environment their cloud. Okay, For the first time we're seeing this new dynamic where it's like they have a cloud, but they're Amazon's the CapEx, they're operating. So you're starting to see the operational visibility gun around how to operate this environment. And it's not hybrid this, that it's just, it's cloud. This is kind of an inflection point. Do you guys agree with that or, or having a reaction to that statement? Because I, I think this is kind of the next gen super cloud-like capability. It's, it's, we're going, we're building the cloud. It's now an environment. It's not talking about private cloud, this cloud, it's, it's all cloud. What's your reaction? >>Yeah, I think, well I think it's a very natural, I mean we used words like hybrid cloud, multi-cloud, if, I guess super cloud is what the kids are saying now, right? It's, it's all, it's all describing the same phenomena, right? Which is, which is being able to take advantage of lots of different infrastructure options, but still having something that creates some commonality among them so that you can, so that you can manage them effectively, right? So that you can have kind of uniform compliance across your estate so that you can have kind of, you can make the best use of your talent across the estate. I mean this is a, this is, it's a very natural thing. >>They're calling it cloud, the estate is the cloud. >>Yeah. So yeah, so, so fine if it, if it means that we no longer have to argue about what's multi-cloud and what's hybrid cloud, I think that's great. Let's just call it cloud. >>And what's your reaction, cuz this is kind of the next gen benefits of, of higher level services combined with amazing, you know, compute and, and resource at the infrastructure level. What's your, what's your view on that? >>Yeah, I think the construct of a unified environment makes sense for customers who have all these use cases which require, like for instance, if you are doing some edge computing and you're running it WS outpost or you know, wave lent and these things. So, and, and it is, it is fear for customer to say, think that hey, this is one environment, same set of tooling that they wanna build that works across all their different environments. That is why we work with partners like Red Hat so that customers who are running Red Hat Enterprise Linux on premises and who are running in AWS get the same level of support, get the same level of security features, all of that. So from that sense, it actually makes sense for us to build these capabilities in a way that customers don't have to worry about, Okay, now I'm actually in the AWS data center versus I'm running outpost on premises. It is all one. They, they just use the same set of cli command line APIs and all of that. So in that sense, it's actually helps customers have that unification so that that consistency of experience helps their workforce and be more productive versus figuring out, okay, what do I do, which tool I use? Where >>And on you just nailed it. This is about supply chain sustainability, moving the workloads into a cloud environment. You mentioned wavelength, this conversation's gonna continue. We haven't even talked about the edge yet. This is something that's gonna be all about operating these workloads at scale and all the, with the cloud services. So thanks for sharing that and we'll pick up that edge piece later. But for reinvent right now, this is really the key conversation. How to bake the sustained supply chain work in a complex environment, making it simpler. And so thanks for sharing your insights here on the cube. >>Thanks. Thanks for having >>Us. Okay, this is the cube's coverage of ados Reinvent 22. I'm John Fur, your host. Thanks for watching.

(upbeat music) >> Hey everyone, welcome back to Chicago theCUBE is live on the floor at AnsibleFest 2022, the first in-person Ansible event that we've covered since 2019. Lisa Martin here with John Furrier. John, great to be here. There's about 1400 to 1500 people here in person, the partner ecosystem is growing and evolving, and that's going to be one of the themes of our next conversation. >> CloudScale is continuing to change the ecosystem, and this segment with AWS is going to be awesome. >> Exactly, we've got one of our alumni back with us, Stefanie Chiras joins us again, senior vice president, partner ecosystem success at Red Hat. and Manasi Jagannatha is also here Global Alliance Manager at AWS. Ladies, welcome to the program. >> Both: Thank you. >> Manasi: Nice to be here. >> Stefanie: Yeah. >> So some exciting news that came out. First of all was great to see you on stage. >> Thank you. >> In front of a live audience. The community is, you talked about this before we went live. The Ansible is nothing, if not the community. So I can only imagine how great that felt to be on stage in front of live bodies announcing the next step with Ansible and AWS. Tell us about that. >> I mean, you can't compete with the energy that comes from a live event. And I remember the first AnsibleFest I came to, it's just this electric feeling born out of the community, born out of collaboration and getting together feeds that collaboration in a way that like nothing else. >> Lisa: Can't do it by video alone. >> You cannot. And so it was so fun cuz today was big news. We announced that Ansible will be available through the AWS marketplace, the next step in our partnership journey. And we've been hearing like most of our announcements, we do these because customers ask for them. And that's really what is key. And the combination of what Red Hat brings to the table and what AWS brings to the table. That's what underpins this announcement this morning. >> Talk about it from a customer demand perspective and how you are not only meeting customers where they are, but you're speaking their language. >> Manasi: Yeah. >> Yeah, there's a couple of aspects and then I want to pass it to Manasi because nothing speaks better than a customer experience. But the specifics I think of what come together is this is where technology, procurement, experience, accessibility all come together. And it took both of us in order to do that. But we actually talked about a great example today, the TransUnion. >> So we have TransUnion, they are a credit reporting company and they're a giant customer. They use RHEL, they use AWS services. So while they were transitioning to the cloud, the first thing they wanted to know was compliance, right? Like, how do we have guardrails around compliance? That was a key feature for them. And then the other piece was how do we scale without increasing the complexity? And then the critical piece was being able to integrate with the depth of AWS services without having to do it over and over again. So what TransUnion did was they basically integrated Ansible automation platform with the AWS Cloud Control API that gave them the flexibility To basically integrate with what, 200 plus services? And it's amazing to see them grow over time. >> What's interesting is that Amazon, obviously cloud has been awesome. We've been covering it since the beginning. DevOps infrastructures code was the dream. Now it's app says code, you have configuration code before that. As cloud goes next level here, we're starting to see a lot more higher level services on AWS being adopted by customers. And so I want to get into how the marketplace deal works. So what's in it for the customer? Because as they bring Ansible across the enterprise and edge, now we're seeing that develop. If I'm the customer, am I buying it through the marketplace? What's the mechanics of the deal? Can I just tap into the bill, explain the marketplace workflow or how it works? >> Yeah, I'd love to do that. So customers come to the marketplace for three key benefits, right? Like one is the consumption based model, pay as you go, you can get hourly, annual, and spot instances. For some services you even get per second billing, right? Like, that's amazing, that's one. And then the other piece is John and Stefanie, as you know, customers would love to draw down on their EDPs, right? Like they want a single- >> EDPs, explain that with acronym. >> It's enterprise discount program. So they want a single bill where they can use third party services and AWS services and they don't have to go through the hustle of saying, "Hey, let me combine all these different pieces." So combining that, and of course the power of Ansible, right? Like customers love Ansible, they've built playbooks. The beauty of it is whatever you want to build on AWS, there is most likely a playbook or a module that already exists. So they can just tap into that and build into- >> Operationally it's a purchasing through marketplace. >> And you know, I mean, being an engineer myself, we always often get caught up in the technology aspect. Like what's the greatest technology? And everyone, as Manasi said, everyone loves the technology of Ansible, but the procurement aspect is also so important. And this is where I think this partnership really comes together. It is natively, Ansible is now, natively integrated into AWS billing. So one bill, you go and you log in. Now you have a Red Hat subscription, you get all the benefits from Red Hat that comes along with that subscription. But the like Ansible is all about simplicity. This brings simplicity to that procurement model and it allows you to scale within your AWS cloud environment that you have set up. And as Manasi mentioned, pull in those other native services from AWS. It's Great. >> It's interesting one of the things that buzzword Lisa and I were just talking as in the industry is the word multiplayer. I've heard people say that's multiplayer software, kind of a gaming analogy. But what you guys are doing is setting up, once they go with Ansible in the marketplace, they're just buying as things get more collaborative off the marketplace. So it kind of streamlines, if I get this right. >> Stefanie: Yep. >> The purchasing process. So they're already in, they just use it's on the bill. Is that kind of how it works? >> Yep. >> Absolutely done, yeah. >> So it the customer has a partnership with us more on the technology side and this particular case and with AWS and the procurement side, it brings that together. >> So multiplayer software, is it multiplayer software? >> We like to talk about multi-partner solutions and I think this provides a new grounding for other partners to come in and build upon that with their services capabilities, with their other technology capabilities. So well clearly in my world, we talk about multi-partner. (both laughs) >> Well, what you're doing is empowering the developers. I know that Red Hat is one of its goals is let's make things much more seamless, much smoother for the developers as the buyer's journey has changed. And John, you've talked about that quite a bit. You're empowering those buyers to actually have a much simpler, streamlined process and to be able to start seeing automation become democratized across organizations. >> Yeah, and one of the things I love about the announcement as well is it pulls in the other values of Ansible automation platform in that simplicity model that you mentioned with like things like certified collections, certified collections that have been built by partners. We have built certified collections, to go along with this offering as well as part of the AWS offering that pulls in these other partner engagements together. And as you said, democratizes not only what we've done together, but what we've done with other partners together. >> Lisa: Right. >> Yeah. >> Can you kind of talk kind of about the depths of the partnership, the co-engineering, and sort of the evolution and the customer involvement in the expansion of the partnership? >> Yeah, I'd love to walk you through that. So we've had a longstanding partnership coming up on 15 years now Stefanie, can you believe it? >> Stefanie: Yeah. (laughs) >> 15 years we've been building, to give you some historical context, right? In back in 2008 we launched RHEL and in 2015 we supported SAP workloads on RHEL. And then the list goes on, right? Like we've been launching Graviton instances, Arm instances, Nitro. The key to be noted here is that every new instance Launch, RHEL has always been supported on day one, right? Like that's been our motto. So that's one. And then in 2021, as you know, we launched Rosa Red Hat OpenShift service on AWS. And that's helped customers with their modernization journey to AWS. So that's been context historically around where we were and where we are today. And now with Ansible, it just gives customer another tool in their arsenal, right? And then the goal is to make sure we meet customers where they are, give them all the Red Hat products that they love using on their hybrid workloads. >> Sounds like a lot is coming maybe at re:Invent too, coming up. >> Yeah. >> What's next? >> This is the beginning, right? We'll continue to grow and based upon not only laying the building blocks for what customers can build with, and you mentioned Lisa, right? We follow this journey that Manasi talked about because of what customers ask for. So it's always a new adventure to determine what'll come next based upon what we hear from our joint customers. >> On that front though, Stefanie, talk about the impact of the broader ecosystem that this is just scratching the surface. >> One of the things, and we've been going through a whole transformation at Red Hat about how we engage with the ecosystem. We've done organizational shifts, we've done a complete revamp of how we engage with the ecosystem. One of our biggest focus is to make sure that the partnerships that we have with one partner bring value to the rest of our partners. No better example than something like this when we work with AWS to create accessibility and capability through a procurement model that we know is important to customers. But that then serves as a launch point for other partners to build certified collections around or now around validated content, which we talked about today at AnsibleFest, that allows other partners to engage. And we're seeing a huge amount in services partners, right? Automation is so pervasive now as customers want to go out and scale. We're seeing services partners really come in and help customers go from, it's always challenging when you have a broad set of IT. You have cloud native over here, you have bare metal over here, you have virtual, it's complex. >> John: Yeah. >> There's sometimes an energy activation barrier to get over that initial automation. We're seeing partners come in with really skilled services capabilities to help customers get over that hump to consolidate with an automation plan. It gets them better equipped to do day one automation and day two automation. And that's where Ansible automation platform is going. It's not just about configuration management, it's about day two management as well. >> Talk about those barriers a little bit more and how Ansible and AWS together are helping customers really knock those out of the park. Another baseball reference for you. We see that a lot of organizations, the skills gap, which we've talked about already on the conversation today, but Ansible as being a facilitator of helping organizations to attract talent, to retain talent, but also customers that maybe don't know where to start or don't know how to determine the ROI that automating processes will bring. How can this partnership help customers nock those out of the park? >> So I'll start and then I'll pass it to Manasi here. But I think one of the key things in this particular partnership is just plain old accessibility. Accessibility, which public cloud has taught the world a new way to get fast access that consumption based pricing. Right you can get your hands on it, you can test it out, you can have a team go in and test it out, and then you can see it's built for scale. So then you can scale it as far as you want to go forward. We clearly have an ecosystem of services partners, so does AWS to help people then sort of take it to the next level as they want to build upon it. But to me the first step is about accessibility, getting your hands dirty. You can build it into those committed spend programs that you may have with AWS as well to try new things. But it's a great test bed. >> Absolutely. And then to add to what Stefanie said, together Red Hat and AWS, we have about a hundred thousand partners combined, right? Like resellers, sis, GSI, distributors. So the reach the combined partnership has just amplifies. >> Yeah, it's huge news. I think it's a big deal because you operationalize the heavy lifting of procurement for all your joint customers and the scale piece is huge. So congratulations. I think it's going to make a lot of money for Ansible. So good call there. My question is, as we hear here, the next level's edge. So AWS has been doing a ton of hybrids since outpost announcement years ago. Now you got all kinds of regional expansions, you've got local zones, you've got all kinds of new edge activity. So are there dots connecting here with the edge with Red Hat Ansible? >> Do you want- >> Yeah, so I think we see two trends with our customers, right? Like mainly I'm specifically talking about our RHEL customer base on AWS. We have almost hundreds to thousands of customers using RHEL on AWS. These are 90% of fortune 500 companies use RHEL, right? So with that customer base, they are looking to expand your point into the edge. There's outposts, there are so many hybrid environments that they're trying to expand in. So just adding Ansible, RHEL, Rosa, OpenShift, that entire makes, just gives customers that the plethora of products they need to run their workloads everywhere, right? Like we have certifications outpost, we have certifications with OpenShift, right? So it just completes the puzzle, if you- >> So it's a nice fit. >> Yeah. >> It is a really nice fit. And I love Edge and Edge once you start going distributed, this automation aspect is key for all the reasons, for security reasons to make sure you do it the same way every single time. It's just pervasive in it. But things like the Cloud Control API allow it to bridge into things like Outpost. It allows a simple way, one clean way to do API and then you can expand it out and get the value. >> So this is why you are on stage and you said that Ansible's going to expand the scope to be more enterprise architecture. >> Stefanie: That's right. >> That's essentially what you're getting at. This is now a distributed computing fabric at cloud scale on AWS. >> Stefanie: That's right. >> Did I get that right? >> Yep, and it touches all the different deployments you may have, on-prem, virtual, cloud native, you name it. >> So how do the people turn into architects? Cuz this is, again, we had this earlier conversation with Tom, multi-tool players, a baseball analogy I used. It's like signifies the best player, your customers are becoming multiple tool players or operators. The new operator is now the top talent. They got to run Ansible, they got to automate, they got to provide services to the cloud native developers. So this new role is emerging, it's not a cloud architect but it's, if it's going to be system architecture wide, what's this new person look like that's going to run all this? >> I think it's an interesting question. We were talking yesterday, actually, Tom and I were talking with the partners. We had Partner Day, the first ever at AnsibleFest yesterday, which was great. We got a lot of insight. They talked a lot about this platform focus, right? Customers are looking to create that platform so that the developers can come in and build upon it without compromising what they want to do. So I do think there's a move in that direction to say how do you create these platforms at a company that no compromises, but it provides that consistency. I would say one thing in partnerships like this, I think customer expectations on the partner ecosystem to have it be trusted is increasing. They expect us as we've done to have our engineers roll up their sleeves together to come to the table together. That's going to show up in our curated content. It's going to show up in our validated content. Those are the places I think where we come up from the bottom through our partnership and we help bridge that gap. >> John: Awesome. >> And trust was brought up a number of times this morning during the keynote. We're almost out of time here, but I think it's one of those words that a lot of companies use. But I think what you're showing is really the value in it from Ansible's perspective from AWS's perspective and ultimately the value in it for the customer. >> Stefanie: Yes. >> So I got to ask you one final question. >> Stefanie: Absolutely. >> And maybe as as reinvent is around the corner, what's next for the partnership? Obviously big news today, Manasi, looking down down the pipe- >> Stefanie: Big news today. >> What are some of the things that you think are going to become next that you can share? >> I mean at this point, and I'll pass it to Manasi to close us out, but we are continuing to follow, to meet our customers where they want to be. We are looking across our portfolio for different ways that customers want to consume within AWS. We'll continue to look at the procurement models through the partner programs that Manasi and the team have had. And to me the next step is really bringing in the rest of the ecosystem. How do we use this as a grounding step? >> Yeah, absolutely. So we are always listening to customer feedback and they want more Red Hat products in the marketplace. So that's where we'll be. >> In the marketplace. >> Congratulations great deal. >> Yes great work there guys. And customers always want more. That's the thing. But that's what keeps us going. So we love it. >> Absolutely. >> Thank you so much for joining John and me on the program today. It's been great to have you. And congratulations again. >> It's a pleasure. >> Thank you. >> For our guests and for John Furrier, I'm Lisa Martin. You're watching theCUBE Live from Chicago at AnsibleFest 2022. This is only day one of our coverage. We'll be back after a short break for more. (upbeat music)

(upbeat music) >> Welcome back to the Seaport in Boston. This is day two of theCUBES's coverage of Red Hat Summit 2022 different format this year for Red Hat Summit. You know we are used to the eight to 9,000 people big conferences, but this is definitely and a lot of developers this is definitely a smaller, more intimate, more abbreviated keynotes which I love that new style they've really catering to the virtual audience as well as the physical audience, a lot of good stuff going on last night in the Seaport, which a lot of fun Stephanie Chiras is here is the Senior Vice President of Partner Ecosystem Success at Red Hat. >> Yeah. >> On the move again, Stephanie love to see you. >> yeah. Thank you. It's great to be here with you and now in a little different bit of a role. >> Yeah, I'm happy that we're actually in Boston and we can meet face to face. >> Yes. >> We don't have to get in a plane, but you know we'll be on a lot of planes in the next few months. >> Yeah. >> But look, a new role for you in ecosystems. You are interviewing all the partners, which is very cool. So you get a big observation space as my friend Jeff Jonas would like to say. And so, but I'd like to observe the partner ecosystem in this new era is different. >> It's very different. >> I mean just press release is going back it's really deep engineering and really interesting flywheel approaches. How is the cloud and the hybrid cloud ecosystem and partner ecosystem different today? >> I think there's a couple of things, I think first of all cloud accelerating all the innovation, the whole cloud motion pulls in a cloud partner in addition to many of the other partners that you need to deploy a solution. So this makes almost every deployment a multi-partner deployment. So that creates the need not just for one on one partnerships between companies and vendors but really for a multi-partner experience. Right, how does an ISV work with a distributor work with a cloud vendor? How do you pull all of that together and I think at Red Hat, our view of being a platform company, we want to be able to span that and bring all of those folks together. So I see this transition going from a world of partnerships into a world of a networked ecosystem. And the real benefit is when you can pull together one ecosystem with another ecosystem, build that up and it really becomes an ecosystem of ecosystems. >> Well and I'm a fan, you're a multi tool star, so it may kind of makes you dangerous because you can talk tech in your technical roles. You've been a GM so you understand the business and that's really what it takes in the part of ecosystem. It can't be just technology and just engineering integration, it's got to be a business model associated with that. Talk about those two dimensions. >> And I think what we're seeing in the ecosystem is there are partners that you build with there are partners you service with, there are partners you sell with some do all three, some do two out of three. How do you work those relationships at the end of the day every partner in the ecosystem wants to bring their value to the customer. And their real goal is how do you merge those values together and I think as you know, right, I come from the technology and the product space. I love moving into this space where you look for those value and that synergy of value to bring better technology, a better procurement experience is often really important and simplicity of deployment to customers, but partners span everything we do. We develop with them, we build with them, we deploy with them, we service with them and all has to come together. >> So how do you make this simple for customers? I mean you're describing an increasingly complex environment. How do you simplify this? >> So a couple of things one, spot onto your point Paul, I think customer expectations now are more aggressive than they've ever been that the ecosystem has done pre-work before they show up. The customer doesn't want to be the one who's pulling together this from one vendor, this from another vendor and stitching it together themselves. So there's a number of things I think we've stepped in to try and do digital engagement for certification and deployment, the creation of operators on OpenShift is one way that technology from partners can be done and enabled more easily and quickly with Red Hat platforms. I think in addition, you've seen. >> Can you go a little deeper on that? >> Sure. >> Explain that a little bit more what does that mean? Yeah, First off, we have a digital experience where partners can come in, they can certify and test their applications to run it on Red Hat platforms themselves. So it's a bit of a come one, come all. We also have an engineering team and a developer team to work side by side with them to build those into solutions. We've done things again to supplement that with capabilities of what we call validated patterns things we've done in the market with customers, with partners, we pull together a validated pattern, we put it onto GitHub so anyone can get access to it. It becomes kind of a recipe for deployment that's available for partners to come in and augment on top of that or customers can come in and pull it up GitHub and build off of it. So I feel like there's different layers in the sort of build model that we work with partners and you want to be able to on-ramp any partner wherever they want to influence their value. It could be at the base certification level, it could be even with RHEL 9 was a good one, right. RHEL 9 was the first version of RHEL that we deployed based upon the CentOS Stream model. CentOS Stream is an upstream version of RHEL very tightly tied into the development model but it allowed partners to engage with that code prior to deployment everything from hardware partners to ISV partners, it becomes a much more open way for them to collaborate with us, so there's so much we can do. >> What's the pitch to partners. I mean I know hybrid cloud is fundamental to your value proposition. I mean most people want hybrid cloud even though the cloud guys might not admit it, right, but so what's the pitch, how do you approach partners there's got to be a common theme there pitch me. >> I think one of the things when it comes to the Red Hat ecosystem is the ecosystem itself has to bring value. Yes, we at Red Hat want to bring value, we want to come in and make it easy and simple for you to access our technology when want to make it easy and simple to engage side by side in front of a customer. But at the end of the day the value of the Red Hat ecosystem is not only Red Hat, it's our partnerships with others. It's our partnerships with the hyperscalers, it's our partnerships with ISVs, it's our work in open source communities. So it's not about Red Hat being this sort of epicenter of the ecosystem. The value comes from the collective ecosystem as it stands, and I think we've made a number of changes here at the beginning of the year in order to create a end to end team within Red Hat that does everything from the build to the sell with all the way from end to end. And I think that's bringing a new layer of simplicity for our engagement with their partners, and it's allowing us to stitch together and introduce partners to partners. >> But you are a dot connector in a sense. >> Absolutely. >> And you can't do it all, I mean nobody can. >> Yeah. But especially Red Hat your strategy is not to do it all by design, so where's the big white spaces where you feel as though your strengths need to be complimented by the partners? >> Oh, I think you caught it spot on. We don't think we can do it all, we're a platform company, we know the value of hybrid cloud is all about bringing a flexibility of an ecosystem together. I think the places where we're really doubling down on is simplicity. So the Ansible announcement that we did right with Ansible automation platform on Azure. With that announcement, it brings in certified collections of ecosystem partners on that deployment. We do the work with Azure in order to do that deployment of Ansible automation platform, and then it comes with a set of certified collections that have been done with other partners. And I think those are the pieces where we can really double down on bringing simplicity. Right, so if I look at areas of focus, that's a great space, and I think it is all about connecting the dots, right, it's about connecting our work with Azure with our work with other ISV partners to pull that together and show up to a customer with something that's fast time to value. >> With so many partners to manage, how do you make sure you're not playing favorites. I guess how do you treat all partners equally or do you even try? >> We absolutely try. I think any partnership is a relationship, right, so it is what Red Hat brings to the table, it's also what the partner brings to the table. Our goal is to understand what the value is the partner wants to deliver to the customer. We focus on that and bringing that to the forefront of what we deploy. We absolutely in a hybrid world it's about choice and flexibility. Certainly there are partners and we made some announcements of course, this week, right yesterday and today with some we're continued to deepen our partnerships with those folks who are doubling down with us where their strategy is very well aligned with us. But our goal is to bring a broad ecosystem that offers customers choice. That's what hybrid cloud's all about. >> I remember years ago, your colleague Bob Pitino, I went down and met him in his office and he schooled me, he was awesome and we did a white board on alternative processors. >> Yeah. >> You guys were doing combat duty in the power division at the time. But basically he helped me understand the trend that is absolutely come true which is alternative processors. It's not just about the CPU anymore, it's about all the CPU and GPU and NPU and accelerators and all these other connected parts. You guys obviously are in the middle of that, you've got relationships with ARM, NVIDIA, Intel, we saw on stage today. Explain the importance and the trends that you see of these alternative processors and accelerators and what that means for customers in terms of the applications that they're now going to be able to tap. >> Yeah, so you know I love this topic when it comes. So one of the spaces is edge, right, we talked about edge today. Edge to me is the epitome of kind of a white space and an opportunity where ecosystem is essential. Edge is pulling together unique hardware capabilities from an accelerator all the way out to new network capabilities and then to AI applications. I mean the number of ISVs building AI applications is just expanding. So it's really that top to bottom ecosystem story, and our work with the telco comes in, our work with the ARM partners, the NVIDIA of the world, the accelerators of the world comes in edge. And then you pull it up to the applications as well. And then to touch in, we're seeing edge be deployed a lot in industries and industry verticals, right. A lot of edge deployments are tailored for a retail market or for a financial services sector. Again, for us, we rely very much on the ecosystem to go into industry verticals where platform companies. So our goal is to find those key partners in those industry verticals who speak the speak, talk the language, and we partner with them in order to support them and so this whole edge space pulls all of that together I think even out to the go to market with industry alignment. >> It's interesting to partner, so we're talking about Silicon, we could talk about that all day long. >> Yes. >> And then it spans and that we had Accenture on we had Raj yesterday. And it was interesting 'cause you think Accenture's like deep vertical industry expertise which it is but Raj's role is really cross industry, and then to tap into that industry expertise you guys had an announcement yesterday with those guys and obviously the GSIs are a key player. >> Absolutely. >> We saw a bunch of 'em last night out and about. >> Yeah. >> So talk about the importance of those relationships. >> I think we are in the announcement with Accenture is a great one, right. We're really doubling down because customers are looking to them, they're looking to the Accentures of the world to help them move into this hybrid world. It's not simple, it's not simple to deploy and get that value of the flexibility. So Accenture has built a number of tools in order to help customers on that journey which we talked about yesterday it really is a continuum of how customers adopt for their cloud space. And so us partnering with them offers a platform underneath, give them technology capabilities and Accenture is able to help customers and guide them along that journey and add a new layer of simplicity. So I think the GSI are critical in this space. >> Yeah. >> You talked about the number of companies developing AI, new AI tools right now. And it seems like there's just the pace of innovation is amazing, the number of startups is unprecedented. How do you decide who makes it into your partner system? What bars do they have to jump over to become a Red Hat partner? >> I think our whole partner structure is layered out quite honestly a bit in tiering, depending upon how much the partner is moving forward with Red Hat, how strategically we aligned our et cetera. But there is definitely a tier that is a come one come all, get your technology to work with Red Hat. We do that digitally now in the world of digital it's much easier to do that to give accessibility but there is definitely a tier that is a come one come all and participate. And then above that, it comes into tierings. How deeply do we go to do joint building to do co-creation and how do we sort of partner even on things like we have ARO and ROSA as you know which is OpenShift built with AWS with Azure those provide very deep technical engagements to bring that level of simplicity, but I would say it spans all the layers, right. We do have a dedicated engineering team to work with the ecosystem partners. We have a dedicated digital team to reach out and proactively right, invite folks to participate and encourage them through the thing and through the whole path. And we've done some things on enablement, we just made early March, we made enablement free for all our partners in order to learn more and get more skilled in Red Hat. Skills and skill creation is just critical for partners, and we want to start there right. >> So we started this conversation with how cloud ecosystems are different. And I think AWS as the mother of all ecosystems, so does Microsoft too but they've had it for a while. And I got felt like last decade partners were kind of afraid, all right, we're going to partner with a cloud vendor, but they're going to eat our lunch. I noticed last year at Reinvent that whole dynamic is changing and I think the industry's realizing this is not a zero sum game. That there's just so much opportunity especially when you start thinking about the edge. So you guys use the term hybrid, right, and John and I wrote a piece prior to Reinvent last year, we said there's something new brewing, we've got on-prem connecting to the clouds, it's going across clouds. People call that multi-cloud, but multi-cloud has been like multi-vendor. It really hasn't been a sort of strategy or a technical layer. And now you're talking the edge and we see the hyperscaler spending a hundred billion dollars a year on infrastructure. And now we see companies like yours and your ecosystem building on top of that. They're not afraid of it anymore, they're actually looking at it as a gift and so we coined this term called Supercloud which is a abstraction layer, and it rises above highs all the complexity of the underlying primitives and APIs and people kind of wince at the term Ashesh called it Metacloud which I like it's kind of fun. But do you feel like that's happening in the ecosystem? Is that a real trend or is that just my imagination? >> I think it's definitely a real trend and it's coming from customers, right, that's what customers want. So customers want the ability to choose are they going to self-manage their applications within a public cloud. There's much more than just technology in the public cloud too right. There's a procurement experience that they provide a simplicity of our relationship. They may choose one of the hyperscalers. They pick a procurement experience, they deepen that relationship, they leverage the services. And I think now what you're seeing is customers are demanding it. They want to be a part of that, they want to run on multiple clouds. And now we're looking at cloud services you've seen our strategy double down on cloud services. I think that kind of comes back together to a customer wants simplicity. They expect the ecosystem to work together behind the scenes. That's what capabilities like ARO are or OpenShift on Azure and OpenShift on AWS. That's what we can provide. We have an SRV team, we jointly support it with those partners behind the scenes but as you said, it's no longer that fear, right. We've rolled up our sleeves together specifically because we wanted to show up to the customer as one. >> Yeah, and by the way, it's not just traditional technology vendors, it's insurance companies, it's banks, it's manufacturers who are building out these so-called super clouds. And to have a super cloud, you got to have a super PaaS and OpenShift is the supers of all PaaS So Stephanie cheers, thanks so much for coming back to theCUBE, >> Oh it's my pleasure. it great to see you again. >> Thank you for the time. >> All right, and thank you for watching keep it right there this is day two of Red Hat Summit 2022 from the Seaport in Boston. You're watching theCUBE. (upbeat music)

(upbeat music) >> We're back at AWS re:Invent 2021. It's the biggest hybrid event of the year. One of the few physical events and we're psyched to be here. My name is Dave Vellante, and I'm really pleased to bring back the host emeritus, Stu Miniman, somebody I worked with side-by-side, Stu, for 10 years in a setting much like this, many like this. So, good to have you back. >> Dave, it's great to be here with theCUBE team, family here and re:Invent, Dave. I mean, this show, I remember back, Dave, going to you after the first re:Invent we talked, we were like, "We got to be there." Dave, remember the first year we came, the second year of re:Invent, this is the 10th year now, little card tables, gaming companies, all this stuff. You had Jerry Chen on yesterday and Jerry was comparing like, this is going to be like the next Microsoft. And we bet heavy on this ecosystem. And yeah, we all think this cloud thing, it might be real. 20,000 people here, it's not the 50 or 75,000 that we had in like 2018, 2019, but this ecosystem, what's happening in the cloud, multiple versions of hybrid going on with the event and the services, but yeah, phenomenal stuff. And yeah, it's so nice to see people. >> That's for sure. It's something that we've talked about a lot over the years is, and you remember the early days of re:Invent and to this day, just very a strong developer affinity that AWS has done a tremendous job of building that up and it's their raison d'etre, it's how they approach the market. But now you've been at Red Hat for a bit, obviously as well, developer affinity, what have you learned? Specifically as it relates to the cloud, Kubernetes, hottest thing going, you don't want to do an OpenShift commercial, but it's there, you're in the middle of that mix. What have you learned generally? >> Well, Dave, to the comment that you made about developers here, it's developers and the enterprise. We used to have a joke and say, enterprise developer is an oxymoron, but that line between developers doing stuff, early as a cloud, it was stealth computing. It's they're often doing this stuff and central IT is not managing it. So how do the pieces come together? How do apps and infrastructure, how do those pieces come together? And it's something that Red Hat has been doing a long time. Think about the Linux developer. They might've not have been the app developers, the people building Linux and everything, but they had a decent close tie to it. I'm on the OpenShift team. What we do is cloud, Dave, and we've got a partnership here with Amazon. We GAed our native cloud service earlier this year. Andy Jassy helped name it. It is the beautifully named Red Hat OpenShift Service on AWS or ROSA. But we've done OpenShift on AWS for more than five years, basically since we were doing Kubernetes, it's been here because of course customers doing cloud, where are they? A lot of them are here in Amazon. So I've been loving talking to a lot of customers, understanding how enterprise adoption is increasing, how we can enable developers and help them move faster. And yeah, I mean the quick plug on OpenShift is our service. We've got an SRE team that is going to manage all of that. A friend of the program, Corey Quinn, says, "Hey, an SRE team like that, because you don't want to manage as an enterprise." You don't want to manage Kubernetes. Yeah, you need to understand some of the pieces, but what is important to your business is the applications, your data and all those things and managing the undifferentiated heavy lifting. That's one of the reasons you went to the cloud. So therefore changing your model as to how you consume services in the cloud. And what are we seeing with Amazon, Dave? They're trying to build more solutions, simplify deployments, and offer more solutions including with their ecosystem. >> So I want to ask you. You said enterprise developer is kind of an oxymoron, and I remember, years ago I used to hang around with a lot of heads of application development and insurance companies and financial services, pharmaceutical, and they didn't wear hoodies, but they didn't wear suits either. And then when I talked to guys like Jeff Clark, for instance. He talks about we're building an abstraction layer across clouds, blah, blah, blah, which by the way, I think it is the right strategy. I'm like, "Okay, I'll drink some of that Kool-Aid." And then when I come here, we talked to Adam Selipsky. John flew out and I was on the chime. He goes, "Yeah, that's not hybrid. No, this is nothing like, it's not AWS, AWS is cloud." So, square that circle for me, 'cause you're in both worlds and certainly your strategy is to connect those words. Is that cloud? >> Yeah, right. I mean, Dave, we spent years talking about like is private cloud really a cloud? And when we started coming to the show, there is only one cloud. It is the public cloud and Amazon is the paragon of, I don't know what it was. >> Dave: Fake clouds, cloud washing. >> So today, Amazon's putting lots of things into your data center and extending the cloud out to that environment. >> So that's cloud. >> That's cloud. >> What do we call that cloud? What about the reverse? >> What's happening at the edge is that cloud is that extension of what we said from Amazon. If you look at not only Outpost, but Wavelengths and Local Zones and everything else like that. >> Let's say, yes, that's cloud. The APIs, primitives, check. >> Dave, I've always thought cloud is an operating model, not a location. And the hybrid definition is not the old, I did an ebook on this, Dave earlier this year. It's not the decade old NIS definition of an application that spans because I don't get up in the morning as an enterprise and say, "Oh, let me look at the table of how much Google is charging me or Microsoft or Amazon," or wake up one morning and move from one cloud to the other. Portability, follow the sun type stuff, does it ever happen? Yes, but it is rare thing. Applications oftentimes get pulled apart. So we've seen if you talk about AI, training the cloud, then transact and do things at the edge. If I'm in an autonomous vehicle or in a geosynchronous satellite, I can't be going back to the cloud to process stuff. So I get what I need and I process there. The same thing hybrid, oftentimes I will do my transactional activity in the public cloud because I've got unlimited compute capability, but I might have my repository of data for many different reasons, governance or security, all these things in my own data center. So parts of an application might live there, but I don't just span to go between the public cloud in my data center or the edge, it's specific architectural decisions as to how we do this. And by the way the developer, they don't want to have to think about location. I mean, my background, servers, storage, virtualization, all that stuff, that was very much an infrastructure up look of things. Developers want to worry about their code and make sure that it works in production. >> Okay, let me test that. If it's in the AWS cloud and I think it's true for the other hyperscale clouds too, they don't have to think about location, but they still have to think about location on-prem, don't they? >> Well, Dave, even in a public cloud, you do need to worry about sometimes it's like, "Okay, do I split it between availability zones? How do I build that? How do I do that?" So there are things that we build on top of it. So we've seen Amazon. >> I think that's fair, data sovereignty, you have to think about okay. >> Absolutely, a lot of those things. >> Okay, but the experience in Germany is going to be the same as it is in DC, is it not? >> More or less? There are some differences we'll see off and Amazon will roll things out over time and what's available, you've got cloud. >> For sure, though that's definitely true. That's a maturity thing, right? You've talked a bit, but ultimately they all sort of catch up. I guess my question would be is the delta between, let's say, Fed adoption and East Coast, is that delta narrower, significantly narrow than what you might see on-prem? >> The services are the same, sometimes for financial or political things, there might be some slight differences, but yes, the cloud experience should be the same everywhere from Amazon. >> Is it from a standpoint of hybrid, on-prem to cloud, across cloud? >> Many of the things when they go outside of the Amazon data centers are limited or a little bit different or you might have latency considerations that you have to consider. >> Now it's a tug of war. >> So it's not totally seamless because, David Foyer would tell us there, "You're not going to fight physics." There are certain things that we need to have and we've changed the way we architect things because it's no longer the bottleneck of the local scuzzy connection that you have there, it is now (indistinct). >> But the point I'm making is that gets into a tug of war of "Our way is better than your way." And the answer is depends in terms of your workload and the use case. >> You've looked at some of these new databases that span globes and do things of the like. >> Another question, I don't know if you saw the Goldman Sachs deal this morning, Goldman Sachs is basically turning its business into a SaaS and pointing it to their hedge funds and allowing people to access their data, their tools, their software that they built for their own purposes. And now they're outselling it. Similar to what NASDAQ has done. I can't imagine doing that without containers. >> Yeah, so interesting point, I think. At least six years ago now, Amazon launched serverless and serverless was going to take over the world. I dug into the space for a couple of years. And you had the serverless with camp and you had the container camp. Last year at re:Invent, I really felt a shift from Amazon's positioning that many of the abstraction layers and the tools that help you support those environments will now span between Lambda and containers. The container world has been adding serverless functionality. So Amazon does Fargate. The open-source community uses something called Knative, and just breaking this week. Knative was a project that Google started and it looks like that is going to move over to the CNCF. So be part of the whole Kubernetes ecosystem and everything like that. Oracle, VMware, IBM, Red Hat, all heavily involved in Knative, and we're all excited to see that go into the CNCF. So the reason I say that, I've seen from Amazon, I actually, John and I, when we interviewed Andy Jassy back in 2017, I asked him a follow-up question because he said if he was to build AWS in 2017, "I would start with everything underneath it serverless." I would wonder if following up with Adam or Andy today, I'd said, "Would it be all serverless or would containers be a piece of it?" Because sometimes underneath it doesn't matter or sometimes it can be containers and serverless. It's a single unit in Amazon and when they position things, it's now that spectrum of unit, everything from the serverless through the containers, through... James Hamilton wrote a blog post today about running Xen-on-Nitro and they have a migration service for a mainframe. So what do we know? That one of the only things about IT is almost nothing ever goes away. I mean, it sounded like Amazon declared coming soon the end of life of mainframe. My friends over at IBM might not be quite ready to call that era over but we shall see. All these things take time. Everything in IT is additive. I'm happy to see. It is very much usually an end world when I look at the container and Kubernetes space. That is something that you can have a broad spectrum of applications. So some of my more monolithic applications can move over, my cool new data, AI things, I can build on it, microservices in between. And so, it's a broad platform that spans the cloud, the edge, the data center. So that cloud operating model is easier to have consistency all the places that I go. >> Mainframe is in the cloud. Well, we'll see. Big banks by the next site unseen. So I think Amazon will be able to eat away at the edges of that, but I don't think there's going to be a major migration. They claim it. Their big thing is that you can't get COBOL programmers. So I'm like, "Yeah, call DXC, you'll get plenty." Let's talk about something more interesting. (Stu laughs softly) So the last 10 years was a lot of, a lot about IT transformation and there was a lot more room to grow there. I mean, the four big hyperscalers are going to do 120 billion this year. They're growing at 35%. Maybe it's not a trillion, but there's a $500 billion market that they're going after, maybe more. It looks like there's a real move. You saw that with NASDAQ, the Goldman deal, to really drive into business, deeper business integration in addition to IT transformation. So how do you see the next decade of cloud? What should we be watching? >> So, one of the interesting trends, I mean, Dave, for years we covered big data and big data felt very horizontal in it's approach thing. Hadoop take over the world. When I look at AI solutions, when I look at the edge computing technologies that happen, they're very vertically driven. So, our early customers in edge adoption tend to be like telco with the 5G rollout manufacturing in some of their environments. AI, every single industry has a whole set of use cases that they're using that go very deep. So I think cloud computing goes from, we talked about infrastructure as a service to it needs to be more, it is solution, some of these pieces go together. When Adam got up on stage and talked about how many instance types they have on Amazon, Dave, it's got to be 2X or 4X more different instant types than if I went to go to HPE or Dell and buy a physical server for my environment. So we need to have areas and guidance and blueprints and heck, use some of that ML and AI to help drive people to the right solutions because we definitely have the paradox of choice today. So I think you will find some gravity moving towards some of these environments. Gravatar has been really interesting to watch. Obviously that Annapurna acquisition should be down as one of the biggest ones in the cloud era. >> No lack of optionality to your point. So I guess to the point of deeper business integration, that's the big question, will Amazon provide more solution abstractions? They certainly do with Connect. We didn't hear a ton of that this show. >> Interestingly. (Dave speaking indistinctly) So the article that you and John Furrier wrote after meeting with Adam, the thing that caught my eye is discussion of community and ecosystems. And one of the things coming after, some, big communities out there like, you and I lived through the VMware ecosystem in that very tight community. There are forming little areas of community here in this group, but it's not a single cloud community. There are those focus areas that they have. And I do love to see, I mean, obviously working for Red Hat, talking about the ecosystem support. I was very happy to hear Adam mention Red Hat in the keynote as one of the key hybrid partners there. So, for Amazon to get from the 60 million, the 60 billion to the trillion dollar mark down the road, it's going to take a village and we're happy to be a part of it. >> Hey, great to have you back, enjoy the rest of the show. This is, let's see, day three, we're wrapping up. We're here again tomorrow so check it out. Special thanks to obviously AWS is our anchor sponsor and of course, AMD for sponsoring the editorial segments of our event. You're watching theCUBE, the leader in tech coverage. See you tomorrow. (bright upbeat music)

(upbeat music) >> Hey, welcome back everyone to theCube's coverage of AWS re:Invent 2021. I'm John Furrier, host of theCube, wall-to-wall coverage in-person and hybrid. The two great guests here, Manu Parbhakar, worldwide Leader, Linux and IBM Software Partnership at AWS, and Mike Evans, Vice President of Technical Business Development at Red Hat. Gentlemen, thanks for coming on theCube. Love this conversation, bringing Red Hat and AWS together. Two great companies, great technologies. It really is about software in the cloud, Cloud-Scale. Thanks for coming on. >> Thanks John. >> So get us into the partnership. Okay. This is super important. Red Hat, well known open source as cloud needs to become clear, doing an amazing work. Amazon, Cloud-Scale, Data is a big part of it. Modern software. Tell us about the partnership. >> Thanks John. Super excited to share about our partnership. As we have been partnering for almost 14 years together. We started in the very early days of AWS. And now we have tens of thousands of customers that are running RHEL on EC2. If you look at over the last three years, the pace of innovation for our joint partnership has only increased. It has manifested in three key formats. The first one is the pace at which RHEL supports new EC2 instances like Arm, Graviton. You know, think a lot of features like Nitro. The second is just the portfolio of new RHEL offerings that we have launched over the last three years. We started with RHEL for sequel, RHEL high availability, RHEL for SAP, and then only last month, we've launched the support for knowledge base for RHEL customers. Mike, you want to talk about what you're doing with OpenShift and Ansible as well? >> Yeah, it's good to be here. It's fascinating to me cause I've been at Red Hat for 21 years now. And vividly remember the start of working with AWS back in 2008, when the cloud was kind of a wild idea with a whole bunch of doubters. And it's been an interesting time, but I feel the next 14 years are going to be exciting in a different way. We now have a very large customer base from almost every industry in the world built on RHEL, and running on AWS. And our goal now is to continue to add additional elements to our offerings, to build upon that and extend it. The largest addition which we're going to be talking a lot about here at the re:Invent show was the partnership in April this year when we launched the Red Hat OpenShift service on AWS as a managed version of OpenShift for containers based workloads. And we're seeing a lot of the customers that have standardized on RHEL on EC2, or ones that are using OpenShift on-premise deployments, as the early adopters of ROSA, but we're also seeing a huge number of new customers who never purchased anything from Red Hat. So, in addition to the customers, we're getting great feedback from systems integrators and ISV partners who are looking to have a software application run both on-premise and in AWS, and with OpenShift being one of the pioneers in enabling both container and harnessing Kubernetes where ROSA is just a really exciting area for us to track and continue to advance together with AWS. >> It's very interesting. Before I get to ROSA, I want to just get the update on Red Hat and IBM, obviously the acquisition part of IBM, how is that impacting the partnership? You can just quickly touch on that. >> Sure. I'll start off and, I mean, Red Hat went from a company that was about 15,000 employees competing with a lot of really large technology companies and we added more than 100,000 field oriented people when IBM acquired Red Hat to help magnify the Red Hat solutions, and the global scale and coverage of IBM is incredible. I like to give two simple examples of people. One is, I remember our salesforce in EMEA telling me they got a $4 million order from a country in Africa theydidn't even know existed. And IBM had 100 people in it, or AT&T is one of Red Hat's largest accounts, and I think at one point we had seven full-time people on it and AT&T is one of IBM's largest accounts and they had two seven storey buildings full of people working with AT&T. So RHELative to AWS, we now also see IBM embracing AWS more with both software, and services, in the magnification of Red Hat based solutions, combined with that embrace should be, create some great growth. And I think IBM is pretty excited about being able to sell Red Hat software as well. >> Yeah, go ahead. >> And Manu I think you have, yeah. >> Yeah. I think there's also, it is definitely very positive John. >> Yeah. >> You know, just the joint work that Red Hat and AWS have done for the last 14 years, working in the trenches supporting our end customers is now also providing lot of Tailwinds for the IBM software partnership. We have done some incredible work over the last 12 months around three broad categories. The first one is around product, what we're doing around customer success, and then what we're doing around sales and marketing. So on the product side, we have listed about 15 products on Marketplace over the course of the last 12 to 15 months. And our goal is to launch all of the IBM Cloud Paks. These are containerized versions of IBM software on Marketplace by the first half of next year. The other feedback that we are getting from our customers is that, hey, we love IBM software running at Amazon, but we like to have a cloud native SaaS version of the software. So there's a lot of work that's going on right now, to make sure that many of these offerings are available in a cloud-native manner. And you're not talking with Db2 Cognos, Maximo, (indistinct), on EC2. The second thing that we're doing is making sure that many of these large enterprise customers are running IBM software, are successful. So our technical teams are attached to the hip, working on the ground floor in making customers like Delta successful in running IBM software on them. I think the third piece around sales and marketing just filing up a vibrant ecosystem, rather how do we modernize and migrate this IBM software on Cloud Paks on AWS? So there's a huge push going on here. So (indistinct), you know, the Red Hat partnership is providing a lot of Tailwinds to accelerate our partnership with IBM software. >> You know, I always, I've been saying all this year in Red Hat summit, as well as Ansible Fest that, distributed computing is coming to large scale. And that's really the, what's happening. I mean, you looking at what you guys are doing cause it's amazing. ROSA Red Hat OpenShift on AWS, very notable to use the term on AWS, which actually means something in the partnership as we learned over the years. How is that going Mike because you launched on theCube in April, ROSA, it had great traction going in. It's in the Marketplace. You've got some integration. It's really a hand in glove situation with Cloud-Scale. Take us through what's the update? >> Yeah, let me, let me let Manu speak first to his AWS view and then I'll add the Red Hat picture. >> Thanks Mike. John for ROSA is part of an entire container portfolio. So if you look at it, so we have ECS, EKS, the managed Kubernetes service. We have the serverless containers with Fargate. We launched ECS case anywhere. And then ROSA is part of an entire portfolio of container services. As you know, two thirds of all container workloads run on AWS. And a big function of that is because we (indistinct) from our customer and then sold them what the requirements are. There are two sets of key customers that are driving the demand and the early adoption of ROSA. The first set of customers that have standardized on OpenShift on-premises. They love the fact that everything that comes out of the box and they would love to use it on Arm. So that's the first (indistinct). The second set of customers are, you know, the large RHEL users on EC2. The tens of thousands of customers that we've talked about that want to move from VM to containers, and want to do DevOps. So it's this set of two customers that are informing our roadmap, as well as our investments around ROSA. We are seeing solid adoption, both in terms of adoption by a customer, as well as the partners and helping, and how our partners are helping our customers in modernizing from VMs to containers. So it's a, it's a huge, it's a huge priority for our container service. And over the next few years, we continue to see, to increase our investment on the product road map here. >> Yeah, from my perspective, first off at the high level in mind, my one of the most interesting parts of ROSA is being integrated in the AWS console and not just for the, you know, where it shows up on the screen, but also all the work behind what that took to get there and why we did it. And we did it because customers were asking both of us, we're saying, look, OpenShift is a platform. We're going to be building and deploying serious applications at incredible scale on it. And it's really got to have joint high-quality support, joint high-quality engineering. It's got to be rock solid. And so we came to agreement with AWS. That was the best way to do that, was to build it in the console, you know, integrated in, into the core of an AWS engineering team with Red Hat engineers, Arm and Arms. So that's, that's a very unique service and it's not like a high level SaaS application that runs above everything, it's down in the bowels and, and really is, needs to be rock solid. So we're seeing, we're seeing great interest, both from end users, as I mentioned, existing customers, new customers, the partner base, you know, how the systems integrators are coming on board. There's lots of business and money to be made in modernizing applications as well as building new cloud native applications. People can, you know, between Red Hat and AWS, we've got some, some models around supporting POCs and customer migrations. We've got some joint investments. it's a really ripe area. >> Yeah. That's good stuff. Real quick. what do you think of ROSA versus EKS and ECS? What's, how should people think about that Mike? (indistinct) >> You got to go for it Manu. Your job is to position all these (indistinct). (indistinct) >> John, ROSA is part of our container portfolio services along with EKS, ECS, Fargate, and any (indistinct) services that we just launched earlier this year. There are, you know, set of customers both that are running OpenShift on-premises that are standardized on ROSA. And then there are large set of RHEL customers that are running RHEL on EC2, that want to use the ROSA service. So, you know, both AWS and Red Hat are now continuing to invest in accelerating the roadmap of the service on our platform. You know, we are working on improving the console experience. Also one of the things we just launched recently is the Amazon controller to Kubernetes, or what , you know, service operators for S3. So over the next few years you will see, you know, significant investment from both Red Hat and AWS in this joint service. And this is an integral part of our overall container portfolio. >> And great stuff to get in the console. That's great, great integration. That's the future. I got to ask about the graviton instances. It's been one of the most biggest success stories, I think we believe in Amazon history in the acquisition of Annapurna, has really created great differentiation. And anyone who's in the software knows if you have good chips powering apps, they go faster. And if the chips are good, they're less expensive. And that's the innovation. We saw that RHEL now supports graviton instances. Tell us more about the Red Hat strategy with graviton and Arms specifically, has that impact your (indistinct) development, and what does it mean for customers? >> Sure. Yeah, it's pretty, it's a pretty fascinating area for me. As I said, I've been a Red Hat for 21 years and my job is actually looking at new markets and new technologies now for Red Hat and work with our largest partners. So, I've been tracking the Arm dynamics for awhile, and we've been working with AWS for over two years, supporting graviton. And it's, I'm seeing more enthusiasm now in terms of developers and, especially for very horizontal, large scale applications. And we're excited to be working with AWS directly on it. And I think it's going to be a fascinating next two years on Arm, personally. >> Many of the specialized processors for training and instances, all that stuff, can be applied to web services and automation like cloud native services, right? Is that, it sounds like a good direction. Take us through that. >> John, on our partnership with Red Hat, we are continuing to iterate, as Mike mentioned, the stuff that we've done around graviton, both the last two years is pretty incredible. And the pace at which we are innovating is improving. Around the (indistinct) and the inferential instances, we are continuing to work with Red Hat and, you know, the support for RHEL should come shortly, very soon. >> Well, my prediction is that the graviton success was going to be applied to every single category. You can get that kind of innovation with this on the software side, just really kind of just, that's the magical, that's the, that's the proven form of software, right? We've been there. Good software powering with some great performance. Manu, Mike, thank you for coming on and sharing the, the news and the partnership update. Congratulations on the partnership. Really good. Thank you. >> Excellent John. Incredible (indistinct). >> Yeah, this is the future software as we see, it's all coming together. Here on theCube, we're bringing all the action, software being powered by chips, is theCube coverage of AWS re:invent 2021. I'm John Furrier, your host. Thanks for watching. (upbeat music)

welcome back to the cube coverage of aws re invent 2021 i'm john furrier your host of the cube this segment we're going to talk about red hat and the aws evolving partnership a great segment really talking about how hybrid and the enterprise are evolving certainly multi-cloud on the horizon but a lot of benefits in the cloud we've been covering on the cube and on siliconangle with red hat for the past year very relevant we've got gunner helixon gm of red hat enterprise linux and joe fernandez vp of and gm of the hybrid platforms both of red hat gentlemen thanks for coming on the cube yeah thanks for having us thanks for having us john so you know you know me i'm a fanboy of red hat so i always say you know you guys made all the right investments openshift all these things that you guys made decisions years ago playing out beautifully and i think you know with amazon's reinvent you're seeing the themes all play out modern application stack you're starting to see things at the top of the stack evolving you've got 5g in the edge workloads being redefined and expanded on the cloud with cloud scale so everything has been going down to hybrid and enterprise grade level discussions this is on the wheelhouse of red hat so one congratulations but what's your reaction what do you guys see this year at re invent what's the top story i can start first yeah sure i mean i mean clearly you know aws itself is huge but as you mentioned the world is hybrid right so customers are running uh still in their data center in the amazon public cloud across multiple public clouds and out to the edge and bringing more and more workloads right so it's not just the applications it's analytics it's ai it's machine learning and so yeah we just can expect to see more discussion around that more great examples of customer use cases and as you mentioned red hat's been right in the middle of this for some time john you guys also had some success with with the fully managed open shift service called rosa rosa which is red hat open shift service on advanced another acronym but really this is about the what the customers are looking for can you take us through an update on openshift on aws because the combination of managed services in the cloud refactoring applications but working on premises is a big deal take us through that why that's so important yeah so we've had customers running uh openshift on aws for a long time right so whether it's our software uh offerings where customers deploy openshift themselves or you know our fully managed cloud service we've had cloud services on aws for over five years uh what rosa brings a red hat open shift on aws is a jointly managed service right so we're working in partnership with uh with amazon with aws to make openshift available as a jointly managed service offering it's a native aws service offering you can get it right through the aws console you can leverage your aws committed spend but most importantly you know it's something that we're working on together bringing new customers to the table for both red hat and aws and we're really excited about it because it's really helping customers accelerate their move to the public cloud and and really helping them uh you know drive that hybrid strategy that we talked about gun early you know i want to get your thoughts on this because one of the things that i love about this market right now is open source continues to be amazing continues to drive more value and this new migration of talent coming in the numbers are just continuing to to grow and grow but the importance of red hat's history with aws is pretty significant i mean red hat pioneered open source uh and has been involved with aws from the early days can you take us through a little bit of the history for the folks that may not know red hat's partnership with aws yeah i mean we've been collaborating with aws since uh 2008 so for over a decade we've been working together and what's made the partnership work is uh that we have a common interest in making sure that uh customers have a consistent approachable experience whether they're going on-premise or in the cloud nobody wants to have to go through an entire retraining and retooling exercise just to take advantage of all the great all the great advantages of the cloud and so being able to use something like red hat enterprise linux as a consistent substrate on which you can build your application platforms is really attractive so that's where the partnership started and since then we've had the ability to better integrate with the native aws services and one thing i want to point out is that you know a lot of these a lot of these integrations are kind of technical well but these are also uh it's not just about technical consistency um across these platforms it's also about operational consistency and business concerns and when you're moving into an open hybrid cloud kind of a situation that's what becomes important right you don't want to have two completely different tool sets on two completely different platforms you want as much consistency as possible as you move from one to the other and i think you and i think a lot of customers see value in that both for the retta enterprise linux side of the business and also on the openshift side of the business well that's interesting i'd love to get your both perspective on this whole enterprise focus because you know the enterprises as you know guys you've been there from the beginning they have requirements and they're sometimes they're different by enterprise so as you see cloud i mean i remember the early days of amazon it's the 15th year of aws 10th year of reinvent as a conference i mean that seems like a lifetime ago but that's not not too far ago where you know there's like well amazon might not make it it's only for developers enterprises do their own thing now it's like it's all about the enterprise how are enterprise customers evolving with you guys because they're all seeing the benefit of re-platforming but as they refactor how has red hat evolved with that with that trend how have you helped amazon yeah so as we mentioned you know enterprises you know really across the globe are adopting a hybrid cloud strategy but hybrid actually isn't just about the infrastructure so certainly the infrastructure where these enterprises are running this application is increasingly becoming hybrid as you move from data center to multiple public clouds and out to the edge but the enterprises application portfolios are also hybrid right it's a hybrid mix of very traditional monolithic anterior type applications but also new cloud native services that have either been filled built from scratch or as you mentioned you know existing applications have been refactored and then they're moving beyond the applications as i mentioned to make better use of data also evolving their processes right for how they you know build deploy and manage you know leveraging ci cd and git ops and so forth so really for us it's how do you help enterprises bring all that together right manage this hybrid infrastructure that's supporting this you know hybrid portfolio of applications and really help them evolve their processes we've been uh you know working with enterprises on these types of challenges for a long time and and we're you know now partnering with amazon to do the same in terms of our joint product and service offerings talk about the rel evolution i mean because that's the bread and butter for red hat's been there for a long time open shift again making earlier i mentioned the bets you guys made with kubernetes for instance and has all been made all the right moves so i love rosa you got me sold on that rail though has been the the tr the tried and true steady uh workhorse how has that evolved uh with workloads yeah you know it's interesting it's uh uh i think when when customers were at the stage when they were wondering if uh well can i use aws for to solve my problem or where should i use aws to solve my problem our focus was largely on kind of technical enablement can we keep up with the pace of new hardware that amazon is rolling up you know can we can we ensure that consistency with on-premise and off-premise and i think now we're starting to shift focus into uh really differentiating rel on the aws platform again integrating natively with aws services making it easier to operate in aws um and a good example of this is using tools like red hat insights which we announced i guess about a year ago which is now included in every red hat enterprise linux subscription using tools like insights in order to give customers advice on maybe potential problems that are coming up helping customers solve them kelvin customers identify problems before they before they happen helping them with performance problems um and uh again having uh additional tools like that additional cloud-based tools um makes rel uh as easy to use on the on the cloud despite all the complexity of all the you know the redeploying refactoring microservices there's now a proliferation of infrastructure options um and to the extent that rail can be the thing that is consistent solid reliable secure uh just as customers are customers getting in um then then we can make customers successful you know joe we talked about this last time we were chatting i think red hat summit or ansible fest i forget which event it was but we were talking about how modern application developers at the top of the stack just want to code they want to write some code and now they want the infrastructure's code aka devops devsecops but as this trend of moving up the stack continues to be a big theme at reinvent um there requires automation that requires a lot of stuff to happen under the covers red hat's at the center of all this action from from historical perspective pre-existing enterprises before cloud now during cloud and soon to be cloud scale how do you see that evolving because how are customers shaping their architecture because i mean this is distributed computing in the cloud it's it's essentially we've seen this movie before but now at such a scale where data security these are all new elements how do you how do you talk about that yeah well first of all as as gunner linux is a given right linux is going to be available in every environment data center public cloud edge linux combined with linux containers and kubernetes that's the abstraction like separating abstracting the applications away from the infrastructure and now it's all about how do you build on top of that to bring that automation that you mentioned right so you know we're very focused on helping customers really build you know fully automated end-to-end deployment pipelines so they can build their applications more efficiently they can automate the the continuous integration and deployment of those applications into whatever cloud or edge footprint they choose and then they can promote across environments because again it's not just about developing the applications it's about moving them all the way through to production you know where you know work their customers are relying on you know on those services to do their work and so forth and so that's that's what we're doing is you know obviously uh i think linux is a given linux containers kubernetes you know those decisions you know have been made and now it's a matter of how can we put that together uh with the automation that allows them to accelerate those deployments out to production so customers can take advantage of them you know gunner we were always joking on the cube you know i was old enough remember when we used to install linux on a server back in the day you know now a lot of these young developers never actually act to install the software and do some of those configurations because it's all automated now again the commoditization and automation trend abstraction layers some say is a good thing um so how do you see the evolution of this devops movement with the partnership of aws going forward what types of things are you working on with amazon web services and what kind of offerings can customers look forward to yeah sure so i mean it used to be that uh as you say you know linux was something that you managed with a mouse and a keyboard and uh and i think it's been quite a few years since uh since any significant amount of linux has been managed for the mouse and keyboard a lot of it is uh whatever scripts automation tools configuration management tools things like this and the investments we've made both in rel and then specifically uh rel on aws is around enabling rail to be more manageable um and so including things like something we call system roles so these are ansible modules that kind of automate routine systems administration tasks um we've made investments in something called image builder and so this is a tool that allows customers to kind of compose the operating system that they need create a blueprint for it and then kind of stamp out uh the same image whether it's uh an iso image you know so you can install it on premise or in it or in mi so we can deploy it in aws so again helping customers it's the problem used to be helping customers package and manage dependencies and and that kind of old world three and a half inch floppy disk kind of linux problems um and now we've evolved towards making uh making linux easier to deploy and manage at a grand scale um both whether you're in aws or whether you're on premise joe take us through the hybrid story i know obviously success with openshift's managed service on aws uh what's the update there for you what what are customers expecting this re invent and what's the story for uh for you guys yeah so you know the openshift managed services business is the fastest growing segment of our business we're seeing uh lots of new customers and again you know bringing new customers i think for both uh red hat and and aws through this service um so we expect to to hear from from customers uh at re invent about what they're doing again and not not only with uh with openshift and our uh our red hat solutions but really with with what they're building on top of those uh service offerings of those solutions to to sort of bring more value to their customers so that to me that's always the best part of re invent is is really hearing from customers and you know when we all start going there in person again to actually be able to meet with them one-on-one uh whether it's in person or virtual so far so looking forward to that well great to have you guys on thecube congratulations on all the success the enterprise continues to adopt more and more cloud which benefits all the work you guys have done both on the rail side and as you guys modernized with all these great services and managed services continues to be the center of all the action thanks for coming on appreciate it thanks john okay red hat's partnership with aws evolving as cloud scale edge all happening all distributed computing all happening at large scale it's thecube with cube coverage of aws re invent 2021 i'm john furrier thanks for watching [Music] you

(upbeat music) >> Welcome back to theCUBE coverage of AWS re:Invent 2021. I'm John Furrier, your host for theCUBE. In this segment, we're going to be talking about Red Hat and the AWS evolving partnership. A great segment, really talking about how Hybrid and the Enterprise are evolving, certainly multicloud and the horizon. But a lot of benefits in the cloud, we've been covering on theCUBE and on SiliconANGLE with Red Hat for the past year. Very relevant. We've got Gunnar Hellekson, GM of Red Hat Enterprise Linux, And Joe Fernandes, VP and GM of the Hybrid Platforms, both of Red Hat. Gentlemen, thanks for coming on theCUBE. >> Yeah, thanks for having us. >> Thanks for having us John. >> So, you know, me, I'm a fan boy of Red Hat. So I always say, you guys made all the right investments, OpenShift, all these things that you guys made decisions years ago playing out beautifully. And I think, you know, with Amazon's re:Invent, you're seeing the themes all play out. Modern application stack, you're starting to see things at the top of the stack evolve, you've got 5G in the Edge, workloads being redefined and expanded on the cloud with Cloud Scale. So everything has been going down to Hybrid and Enterprise grade level discussions. This is in the Wheelhouse of Red Hat. So I want to congratulate you. But what's your reaction? What do you guys see this year at re:Invent? What's the top story? >> I can start. >> Who wants to start with first? >> Sure, I mean, clearly, AWS itself is huge. But as you mentioned, the world is Hybrid, right, so customers are running still in their data center, in the Amazon Public Cloud across multiple Public Clouds and out to the Edge and bring in more and more workloads. So it's not just the applications, analytics. It's AI, it's machine learning. And so, yeah, we can expect to see more discussion around that, more great examples of customer use cases. And as you mentioned, Red Hat has been right in the middle of this for some time John. >> You guys also had some success with the fully managed OpenShift service called ROSA, R-O-S-A, which is Red Hat OpenShift Service on AWS, another acronym, but really this is about what the customers are looking for. Can you take us through an update on OpenShift on AWS, because the combination of managed services in the cloud, refactoring applications, but working on-premises is a big deal. Take us through why that's so important. >> Yeah, so, we've had customers running OpenShift on AWS for a long time, right? So whether it's our software-based offerings where customers deploy OpenShift themselves, or our fully managed cloud service. We've had cloud services on AWS for over five years. What ROSA brings or Red Hat OpenShift on AWS is a jointly managed service, right? So we're working in partnership with Amazon, with AWS to make OpenShift available as a jointly-managed service offering. It's a native AWS service offering. You can get it right through the AWS console. You can leverage your AWS committed spend. But, most importantly, you know, it's something that we're working on together. Bringing new customers to the table for both Red Hat and AWS. And we're really excited about it because it's really helping customers accelerate their move to the public cloud and really helping them drive that Hybrid strategy that we talked about. >> Gunnar, you know what I want to get your thoughts on this, because one of the things that I love about this market right now is open-source continues to be amazing, continues to drive more value, and there's new migration of talent coming in. The numbers are just continuing to grow and grow. But the importance of Red Hat's history with AWS is pretty significant. I mean, Red Hat pioneered Open-source and it's been involved with AWS from the early days. Can you take us through a little bit of history for the folks that may not know Red Hat's partnership with AWS? >> Yeah. I mean, we've been collaborating with AWS since 2008. So for over a decade we've been working together, and what's made the partnership work is that we have a common interest in making sure that customers have a consistent approachable experience. Whether they're going on-premise or in the cloud. Nobody wants to have to go through an entire retraining and retooling exercise just to take advantage of all the great advantages of the cloud. And, so being able to use something like Red Hat Enterprise Linux as a consistent substrate on which you can build your application platforms is really attractive. So, that's where the partnership started. And since then we've had the ability to better integrate with native AWS services. And one thing I want to point out is that, a lot of these integrations are kind of technical. It's not just about technical consistency across these platforms, it's also about operational consistency and business concerns. And when you're moving into an Open Hybrid Cloud kind of a situation, that's what becomes important, right? You don't want to have two completely different tool sets on two completely different platforms. You want as much consistency as possible as you move from one to the other. And I think a lot of customers see value in that, both for the Red Hat Enterprise Linux side of the business, and also on the OpenShift side of the business. >> Well that's interesting. I'd love to get your both perspective on this whole Enterprise focus, because the Enterprise is, as you know, guys you've been there from the beginning, they have requirements. And there're sometimes, they're different by Enterprise. So as you see cloud, and I remember early days of Amazon, it's the 15th year of AWS, 10th year of re:Invent as a conference. I mean, that seems like a lifetime ago. But that's not, not too far ago where, you know, it was like, well, Amazon might not make it, its only for developers. Enterprisers do their own thing. Now it's like, it's all about the Enterprise. How are Enterprise customers evolving with you guys? Because they're all seeing the benefit of replatforming. But as they refactor, how has Red Hat evolved with that trend and how have you helped Amazon? >> Yeah, so as we mentioned, Enterprisers really across the globe are adopting a Hybrid Cloud Strategy. But, Hybrid actually isn't just about the infrastructure. So, its certainly the infrastructure where these Enterprisers are running these applications is increasingly becoming Hybrid as you move from data center to multiple public clouds and out to the Edge. But the Enterprisers application portfolios are also Hybrid, right? It's a Hybrid mix of very traditional monolithic and tier type applications. But also new cloud native services that have either been built from scratch, or as you mentioned, existing applications have been refactored. And then they're moving beyond the applications, as I mentioned to make better use of data. Also evolving their processes for how they build, deploy, and manage, leveraging, CI/CD and GitOps and so forth. So really for us it's, how do you help Enterprises bring all that together, right? Manage this Hybrid infrastructure that's supporting this Hybrid portfolio of applications that really help them evolve their processes. We've been working with Enterprises on these types of challenges for a long time. And we're now partnering with Amazon to do the same in terms of our joint product and service offerings. >> Talking about the RHEL evolution. I mean, because that's the bread and butter for Red Hat. It has been there for a long time. OpenShift again, making argument earlier, I mentioned the bets you guys made with Kubernetes, for instance, and it's all been made with all the right moves. So I love ROSA. You got me sold on that. RHEL though has been the tried and true steady workhorse. How has that evolved with workloads? >> Yeah, you know, it's interesting. I think when customers were at the stage, when they were wondering, if well, can I use AWS to solve my problem, or should I use AWS to solve my problem? Our focus was largely on kind of technical enablement. Can we keep up with the pace of new hardware that Amazon is rolling up? Can we ensure that consistency with the on-premise and off-premise? And I think now we're starting to shift focus into really differentiating RHEL on the AWS platform. Again, integrating natively with AWS services, making it easier to operate in AWS. And a good example of this is using tools like Red Hat Insights, which we announced, I guess, about a year ago. Which is now included in every Red Hat Enterprise Linux subscription. Using tools like Insights in order to give customers advice on maybe potential problems that are coming up, helping customer solve them. Can the customers identify problems before they happen? Helping them with performance problems. And again, having additional tools like that, additional cloud-based tools, makes RHEL as easy to use on the Cloud despite all the complexity of all the redeploying, refactoring, microservices, there is now a proliferation of infrastructure options, and to the extent that RHEL can be the thing that is consistent, solid, reliable, secure, just as customers are getting in, then we can make customer successful. >> You know, Joe, we talked about this last time we were chatting, I think Red Hat Summit or Ansible Fest, I forget which event it was, but we were talking about how modern application developers at the top of the stack just want to code. They want to write some code, and now they want the infrastructure's code, AKA DevOps, DevSecOps, but as this trend of moving up the stack continues to be a big theme at re:Invent, that requires automation. That requires a lot of stuff that happened under the covers. Red Hat is at the center of all this action from historical perspective, pre-existing Enterprises before Cloud now, during Cloud, and soon to be Cloud Scale, how do you see that evolving? Because how are customers shaping their architecture? Cause this is distributed computing in the cloud. It's essentially, we've seen this moving before, but now at such a scale where data, security, these are all new elements. How do you talk about that? >> Yeah, well, first of all, got to mention, Linux is a given right. Linux is going to be available in every environment, data center, Public Cloud, Edge. Linux combined with Linux containers and Kubernetes, that's the abstraction like abstracting the applications away from the infrastructure. And now it's all about how do you build on top of that to bring that automation that you mentioned. So, we're very focused on helping customers really build fully automated end to end deployment pipelines, so they can build their applications more efficiently. They can automate the continuous integration and deployment of those applications into whatever Cloud or Edge footprint they choose. And that they can promote across environments. Because again, it's not just about developing the applications, it's about moving them all the way through to production where their customers are relying on those services to do their work and so forth. And so that's what we're doing is, you know, obviously I think, Linux is a given, Linux, Containers, Kubernetes. Those decisions have been made and now it's a matter of how can we put that together with the automation that allows them to accelerate those deployments out to production so customers can take advantage of them? >> You know, Gunnar, we were joking in theCUBE. I was old enough to remember we used to install Linux on a server back in the day. Now a lot of these young developers never actually have to install the software and do some of those configurations 'cause it's all automated now. Again, the commoditization and automation trend, abstraction layers, some say, is a good thing. So how do you see the evolution of this DevOps movement with the partnership with AWS going forward? What types of things are you working on with Amazon Web Services and what kind of offerings can customers look forward to? >> Yeah, sure. So, I mean, it used to be that as you say, Linux was something that you managed with a mouse and keyboard. And I think it's been quite a few years since any significant amount of Linux has been managed with a mouse and a keyboard. A lot of it is scripts, automation tools, configuration management tools, things like this. And the investments we've made both in RHEL and in specifically RHEL on AWS is around enabling RHEL to be more manageable. And so, including things like something we call System Roles. So these are Ansible modules that kind of automate routine system's administration tasks. We've made investments in something called Image Builder. And so this is a tool that allows customers to kind of compose the operating system that they need, create a blueprint for it, and then kind of stamp out the same image, whether it's an ISO image, so you can install it on-premise or an AMI so we can deploy it in AWS. So again, the problem used to be helping customers package and manage dependencies and that kind of old world, three and a half-inch floppy disc kind of Linux problems. And now we've evolved towards making Linux easier to deploy and manage at a grand scale whether you're in AWS or whether you're On premise. >> Joe, take us through the Hybrid story. I know obviously success with OpenShifts Managed Service on AWS. What's the update there for you? What are customers expecting this re:Invent and what's the story for you guys? >> Yeah, so, you know, the OpenShift Managed Services business this is the fastest growing segment of our business. We're seeing lots of new customers. And again, bringing new customers, I think for both Red Hat and AWS through this service. So, we expected to hear from customers at re:Invent about what they're doing. Again, not only with OpenShift and our Red Hat solutions, but really with what they're building on top of those service offerings, of those solutions to sort of bring more value to their customers. To me, that's always the best part of re:Invent is really hearing from customers. And when we all start going there in person again, to actually be able to meet with them one-on-one, whether it's in person or virtual and so forth. So, looking forward to that. >> Well, great to have you guys on theCUBE. Congratulations on all success. The Enterprise continues to adopt more and more Cloud which benefits all the work you guys have done both on the RHEL side, and as you guys modernize with all these great services and managed services continues to be the center of all the action. Thanks for coming on. Appreciate it. >> Thanks John. >> Thank you. >> Okay, Red Hat's partnership with AWS evolving as Cloud scale Edge, all distributed computing, all happening at large scale. This is theCUBE with CUBE coverage of AWS re:Invent 2021. I'm John Furrier. Thanks for watching. (upbeat music)

>> Narrator: From around the globe, it's the CUBE with digital coverage of IBM Think 2021. Brought to you by IBM. >> Welcome to the CUBE's digital coverage of IBM Think 2021. I'm Lisa Martin. Next Joining me is Leo LaBranche, director of Global Strategic Initiative at AWS. Leo, welcome to the CUBE. >> Thank you, happy to be here. So talk to me about AWS and IBM, what's going on there with the relationship? What are some of the things that are significant for both partners? >> Yeah, absolutely. You know, IBM's relationship really started with us around 2016, I would say it was a little bit more opportunistic at the time. We knew there was an opportunity to go to market together, we knew there were some great things we could do for our customers, but we hadn't quite cracked crack the code, so to speak, on, on when and where and why we are going to partner at that point. We fast forward into this sort of 2017 to 2019 timeframe. And we became, I'd say a lot more intentional about how we're going to go to market, where we are going to invest areas such as SAP, etc, we're an early one to be identified. And I'd say the ball really started rolling sort of in the 2018 timeframe, combination of a number of different things occurred, you know, the acquisition of Red Hat, obviously, you know, Red Hat is a very significant was a very significant partner with AWS prior to the acquisition. And so, post acquisition, you combine that with ramping up a workforce focused on AWS, combined with a number of different competencies that AWS or IBM really invested in, around migration as an example or SAP. And, you know, the ball really starting to roll quickly. After that, you know, I'd say the last 18 months or so, we both invested significant in the relationship, expansion around the world really, and joint resources and capability to make sure that we're going to market sort of partnered intentional way rather than sort of an opportunistic. >> Oh, go ahead. >> You know, as I was saying, so far, that's absolutely been paying off. In that we are seeing a number of wins all around the world across a broad set of industries, as well as a broad set of technologies. And so, you know, the strength of IBM consulting services in particular, but also their software, combined with the strength of our platform is really proven to be successful for our customers. >> So you said started in 2016, really started taking shape in the last couple of years, that Red Hat acquisition, talk to me about what's in this for customers, I imagine customers that are that are expanding or needing to move workloads into the cloud, or maybe more of a hybrid cloud approach. What are some of the big benefits that customers are going to gain from this partnership? >> Yeah, absolutely. In reality is, IBM has a long history and relationship with their customers, right? They run and manage many of the workloads. They really know the customer's business incredibly well. They have domain expertise and industry, and then the technology expertise from a professional services perspective to really help navigate the waters and determine what the right strategy is around moving to the cloud, right? You combine that with the the depth and breadth of the skills and capabilities and services that AWS provides. And the fact that IBM has invested significantly in making sure that their professional services are deeply steeped in our technology and capabilities. It's a great combination of really understanding the customer's needs plus the art of the possible, honestly, when it comes to technology that we provide, really can accelerate both and mitigate risk when it comes to moving to the cloud. >> That risk mitigation is key. So you guys recently AWS recently launched, I'm going to get this right Red Hat OpenShift service on AWS or ROSA, can you talk to me a little bit about ROSA? >> Yeah, so Red Hat, obviously, very well known and ultimately adopted within the enterprise. We have built a fully managed service around Red Hat on AWS. What that means is, you'll have access to essentially the capabilities that Red Hat would normally provide, but all containerized within a solution that allows you to have access to AWS services, right. The other benefit here is normally you would get sort of a multi vendor for invoicing and cost model, right. Where you get billed from Red Hat, get billed from Amazon, you get billed from IBM. In this case, it's essentially a holistic service in which there's a single sort of invoicing in vendor relationship, right. So the combination of capabilities that normally would be provided via Red Hat combined with access to cloud and all the interfaces and capabilities around OpenShift, etc, that you could do there. Plus a more interesting and beneficial commercial model. >> So streamline pricing models streamlined operating model for customers, talk to me about some of the customers that have adopted it. Give me a look into some of the industries where you've seen good adoption and some of the results that they're gaining so far. >> Yeah, absolutely. So no big surprise, right? The existing customer base that currently uses Red Hat Linux, and some of the options and OpenShift etc, that are out today are then the right customers to potentially look at this when it comes to moving forward. You know, industry wise, certainly their areas in financial services, banking, insurance, et cetera. We're also seeing some around manufacturing. A little so but some in media and Telco as well. So it's a broad swath, I mean, the applicability of Red Hat and OpenShift is somewhat universal, but the early customer basis has largely been sort of in those three areas. >> What I'm curious what the key target audiences are these Red Hat customers, are these AWS customers, IBM, all three? >> If there are existing customers that are currently using Linux or using Red Hat, if there are someone who a customer who currently has a relationship with either AWS or IBM, there's an opportunity to essentially look at it from any of the angles, if you're already on cloud, or you've already experienced AWS in some shape or form. There's an opportunity to potentially to leverage ROSA to further expand that capability and also have some more flexibility so to speak. If you're already using IBM as a professional services provider and advisory firm, then they absolutely have the expertise and understanding of this product set to help you understand how can you best leverage, right, so you can kind of look at it from either of the dimensions. If it's a customer, that's completely new to all of us, then we're happy to talk to you. But it's something that will definitely take a little bit more explanation to understand so why he should or shouldn't consider us with this multi cloud OpenShift type solution. >> Talk me from your opinion about why IBM for SAP on AWS, why should customers go that direction for their projects? >> Yeah, you know, SAP has or sorry SAP, IBM has over 40 years of experience and implementing SAP for their customers, right. And they've done I think it's over 6000 SAP migrations, 40,000 global SAP consultants around the world, right. So from a capability and depth of experience. There's a lot of nuance to doing an SAP implementation, particularly one that's then moving from on-prem to the cloud. You know, they got the experience, right. Beyond that they have industry specific solutions that are pre-configured. So I think there's 12, industry specific industry solutions pre-configured for SAP, it allows, you know, roughly 20 to 30% acceleration when it comes to implementation of platform. So combination of just depth of experience, depth of capability, combined with these solutions to accelerate, are all key reasons for sure. >> The acceleration you bring up, sorry, is interesting, because we saw in the last year, the acceleration of digital transformation projects and businesses needing to pivot again and again and again, to figure out how to survive and be successful in this very dynamic market in which we're still living. Anything industry wise specific that you saw that was really driving the acceleration and the use cases for ROSA in the last year? >> Yeah, so SAP, we saw an interesting trend as a result of what everyone's been experiencing in the last year with COVID and etc. You know, many organizations postponed large URP implementations and large SAP migrations, because of what you just said, right? They weren't entirely sure what would need to be done in order to survive either a competitive threats or more just the global threats that are occurring. So what we saw was, really none of none of the transformations went away. They were put on hold for a period of time, let's say six to nine months ago, maybe even a year ago almost. In lieu of, I would say more top line revenue generating or innovative type solutions that maybe were focused specifically at, you know, the changing dynamic with COVID. Since then we've seen a combination of those new ideas, right. Combination of the new innovation around healthcare, of course, but also public sector and, you know, a lot around employment and the engagement there. We said a combination of those new ideas and new innovations with the original goal of optimizing, transforming SAP, URP, etc. And then combining the two to allow access to the data, right, that sits inside the SAP implementation the SAP, combine the data then SAP with all these new innovations, and then ultimately use that to sort of capitalize on what the future business is going to be. That's been huge. It's been very interesting to see some organizations completely change their business model over the course of the last 12 months, in ways they probably had never intended to before, right. But it's absolutely become an opportunity and a time of a lot of challenges. >> Agree there are silver linings, and we've seen a lot of those interesting opportunities to your point that businesses probably would never have come up with. Had there not been a forcing function like we've been living with. Leo, thank you for joining me today talking to me about what's going on with IBM and AWS. We'll be excited to follow what happens with ROSA as it continues to roll out and we appreciate you joining us on the program. >> Absolutely. Thank you for your time for. >> Palo Alto branch, I'm Lisa Martin. You're watching the CUBE digital coverage of IBM Think 2021. (gentle music) (bright music)

>>Mhm Yes. Hello and welcome back to the cube coverage of red hat summit 2021 Virtual. I'm john furrier host of the Q. We've got a great lineup here. We've got two great guests just bad padan, E. S. V. P. Of cloud platforms at red hat and Tracy ranking VP of open shift engineering at Red Hat folks. Thanks for coming on. Good to see. You got some big news, you guys have made some acquisitions. Uh stack rocks you guys bought into red hat was a really big deal. People want to know, what's the story? How's it going? What's the uptake? What's the integration, how's it going? >>Right, thanks john, thanks for having us on. Um so yeah, we're really excited with stack rocks acquisition being the team on board. Uh Well, the first thing to note before even why we did it uh was for for you and and then the beers have been following us closely. This is our first acquisition as red Hat being part of IBM. So, so, so quite big for us from that perspective as well. Right? Continue to maintain our independence um within uh IBM uh and I really appreciate that way of working together. Um but saying all of that aside, you know, as a company have always been focused on ensuring that were direct enterprise capabilities to just sort of doing that for two decades. With with Lennox, security has always been a big part of our story, right, ensuring that, you know, we're finding cbs updating uh and sending out patches to our customers and doing that in a reliable fashion running mission critical applications. We applied that same if you will um security mindset on the community side with the open ship platform. Um we've invested insecurity ourselves organically, right, you know, uh in various areas and making it more secure, all right, can't run containers uh as Root by default, uh investing in things like role based access control and so on. And we really felt like we want to deepen our commitment to security. Uh and so, you know, in conversations with stack rocks, we found just a great fit, just a great team building a really interesting approach to community security, right? You know, very declared of approach to it. Uh you know, focus on a vision around this notion of shift left. But you've probably been hearing from that because we're a little bit right. Which is this uh idea that, you know, we're in the world moving from devops to death setups. Uh and the approach that sack rocks were saying, so great team, great product, really great vision with regard to kind of weather going forward and finding a nice alignment between, you know what, you know, they've been thinking about the value that we want to bring >>Yeah, I want to dig into the depths cops, piece of it. But you brought up the IBM acquisition as part of now Red Hat bought IBM you know it's just you remember back in 2019 I interviewed Arvin on the cube when he was at IBM you guys were still independent and he had a smile on his face. He is pro cloud, he is all about cloud Native and even that interview I had no idea what was going on behind the scenes but I was kind of drilling him on some of the things that were important at that time which are now certainly relevant today which is cloud Native, Agile development Programmable infrastructure. I don't think we touched on security that much was kind of inherent in the conversation. He was like all smiling, he loves the cloud Native and and this is where it comes into the relevant, I have to ask you, what was it like to get this through? IBM where they're like girl green light or was it, was it different? What was different about this acquisition? >>John great, great question for you to ask. And you know, I will say that, uh, you know, everyone's heard the stories they're telling us. They get, you know, part of IBM, you know, it's definitely working on red hat jOHn the cube we've talked to you and several of your colleagues about that. Um, the great thing has been that, look, the redhead way of working, uh, are still pushing forward with regard to our commitment to open source, uh, and our culture, you know, is still the way it is. And I have to give huge credit not just to urban and his and his team, but definitely to orbit right. He's always champion, He's champion rather acquisition. He's champion kind of, you know, the independence that we've had and he takes very, very firm stance around it. Um, and look, IBM uh, story company uh, in the United States and really in the world, um, they have, there was working and you know, for redhead, they've kind of said, look, we'll give you a pass path, right? So, uh, getting the acquisition through, if you will, diarrhea processes, um, really was, was hugely supported by, you know, from mormon, but all the way down. Russian strategic >>strategic bet with the dollars involved trace, they want to get you in this because, you know, one of the things about shift left and getting security built in by default, which has always been part of red hat, that's never been an issue. It just extends as developers want to have native security built in. There's a technology angle to this as well. So, um, obviously cloud native is super important. What investments are you guys making with this acquisition and how does that translate to customer benefits? >>Yeah, I mean the one thing that is really important about the stock rocks acquisition and kind of, you know, key for us is, you know, this was a cube native solution and I think that's really, you know, was important piece as to why stock rocks might have been, you know, was a great fit for us. Um, and so you know, what we've been trying to do in the short time that that team has been on board with us is really, you know, taken a deep look and understanding where are the intersection points of some of the things that we have been trying to focus on, you know, just with inside of, you know, open shift in red hat in general and where do they have bring the additional value. Um, and really trying to make sure that when we create this solution and ultimately it is a solution that's cohesive across the board. Um, we don't add confusion too. You know what, some of the things that maybe we already do this team knows, you know, how to they know their customer base. They really know what the customers are looking for. And we are just trying to absorb, I would say so much of this information uh as we are trying to, you know, create what the right road map will be uh for stack rocks from a long term and infrared had ultimately in the security space. I mean, as the chef said, I mean we are red hats known for being, you know, security mind focus built on top of realm, you know, uh the leader and so we want to make sure that what we've got that actually serves, you know, the developers being able to not just secure the environment and the platform, but also the workloads, customers need that security from us. Um and build it in so that we have, you know, into the cube native >>controls. >>So stack rocks was known for reinventing and security enterprise security with cloud native. How is it complimentary? How does it fit in? Can you guys just quickly talk to that point because um like you said, you guys had security but as kubernetes and containers in general continue to rise up and and kubernetes continue to become a hybrid cloud kind of linchpin for applications. Um where's the synergy? Where's where does this connect? And what are some of the uh the part of the areas where it's it's fitting in nicely or or any overlaps that you can talk about as well? >>Yeah, I can start and then maybe Tracy if you want to add to that securities of it's a wide space. Right? So, you know, just saying security is like, well, you know what security you're talking about, you're talking about, you know, and use the security, like what your desktop are you talking about? You know, intrusion prevention? I mean, it's a huge, huge, you know, space. Uh you know, many companies devoted to the entire spectrum, you know, self has a very robust security business. We're very focused on uniting Tracy. Was talking about this, the Kubernetes Native security part of this. Right. You know, do we have the appropriate runtime uh, controls in place? Uh You know, our policies configured appropriately Well, if they're in one cluster, are they being applied consistently across, you know, every cluster? How do we make sure that, you know, we make security the domain, not just of the operators but also uh in in uh make it easier for it to be adopted at development time. So, you know, there's a, there's a, if you will, a very sort of uh a lot of surface area for security, we're trying to really think about the pieces that are most relevant for our enterprise customers and the ones that are deploying it at scale. And I'm sure we can build on it. Having said that, john what I do want to add also is that because expands even of Cuban any security is so large, there is a lot of room for our partners to play. Right? And so before you asked me that question, I want to say that there is space. Right? So you know, I've had conversations with you know, all the other folks in the cloud native security space. We know them well, we've been working with them over the years and we could do to look forward to ensure that they're building over and above the foundation of Berlin. >>So plenty of beachhead, what you're saying from a, from a security sample, you guys hit the table stakes added into the product, but there's so much surface area going on with this hybrid cloud and soon to be multi cloud that you're saying this room for partners to play. >>Exactly, right, >>okay. Tracy quick under the hood, you know, actually shift left. That's kind of the mindset for developers who are writing modern applications might not want to get under the hood, who just wanted all the program ability of security and not have to come back to it. I mean that seems to be the complaint that I hear. It's like okay I gotta come back and do a security, more security work. I just wrote the code that was last week or yesterday and that seems to be the developer productivity. Then there's also under the hood devops what how does this all fit? >>Yeah, so it's uh let's take a take a step back and this is how I kind of like to think about it. So we are trying to look at, you know, how do we just enable in some of the C. I. C. D. The tooling that we have? How do we actually take and enable some of the technology that was already available in stock rocks today and actually put it into those tools. Because if we can make it easy for you to not just develop your application and, you know, integrated in with what you're, the tooling is that you're trying to use for the entire life cycle of developing your application. It then becomes exactly what you didn't say, you know, what they're doing now is it's an after thought. We don't need it to be an afterthought. Um and I think, you know, we're seeing the changing from a customer mindset where um they're become customers are becoming a lot more aware of these things. So if we actually get this into, you know, some of the Argo and the ci cd pipe pipeline work, then it just becomes something natural and not a secondary thought because actually when it's a secondary thought, uh we have exposures and that's not what a customer wants when they're creating, you know, creating these workloads, they're trying to rapidly create the workloads, so we need to make it um to have those integration points in as quickly >>as possible. >>Totally nailed. I mean there's productivity issues and there's also the top line which is security. Great stuff. Congratulations on that acquisition. Security continues to be built in from the beginning. That's what people want. They want productivity want want security, great stuff, Great acquisition. Congratulations. Um Next next segment I want to get into is uh open shifts around telemetry. Tell us about telemetry for open shift. What is this about? >>Yeah, another big interesting topic for us. So over a year ago we released open Ship for and you know, we learned a lot of lessons, you know, shipping open ship three up and over the years and really getting feedback from hundreds of customers around the globe. One of the things obviously we heard from a lot was you know, make install the upgrade experience better. Right. But you know, we were thinking about how can we take that forward to the next level, which is is there a way for us to say, you know, let these clusters they connected up so we can get a better sense of cluster help and help with remote health monitoring will be able to proactively provide information back to our customers around, let's say, you know, if applications are healthy clusters healthy and how they're running and how we can help them um could figure them if they're not. Um And so that led us to introducing uh inflammatory remote health monitoring directly into open ship for as a value that we can provide to customers. Um And what that really starts doing is starts bringing this notion of a public cloud, like experience to customers with clusters run across the hybrid cloud. Right? So you have the expectation that, you know, your clusters are monitored and watched over in the public cloud and we want to make sure we can provide that to customers regardless of, you know, where they're running in. So, so that's just >>a quick question on that insights for open shit. That's what you're getting to. Is that on premise? And in the cloud? So it's hybrid environment, is that correct? >>Exactly. Right. So, the insights for open ship is all about that, Right? So how can be proactively, you know, uh identify risk helped remediated? How can we uh do things like, for example, give you recommendations, cost optimization, right insights around around around that. Uh and to your point, right? The goal is to make it completely hybrid. So, it's obviously a new area right for customers want Leslie used to that, you know, in an on premise environment, they're used to that in a public cloud or cloud native environment. And we're trying to make sure we bring that consistently across to our customers, you know, regardless of where they're running apart. >>Tracy. Talk about the the developer productivity involved because if you have telemetry and you have insight into what's going on in the infrastructure and the data, what's going on the application, you can be more proactive, You don't have to get pulled into these rabbit holes of troubleshooting. Oh, is a trace over here or something going on over here. Are clusters going down or should I could have caught that there's a lot of, you know, good intentions with with the code and then all of a sudden new code gets pushed and then also that triggers this to go off and you have all these kind of dependencies, day two operations, many people call this kind of that phenomenon where everything looks good and then you start pushing more stuff more code and then the cluster goes down and then it's like wait, that could have been avoided. That was a dumb error, we could have fixed that this is kind of the basic what I call human software error kind of stuff that's not intended. The telemetry help this area. >>Yeah, it does. And actually one point that even to take it further, that I think it's important is our customers can learn from each other not even having to talk to each other, which is the beauty of what telemetry is and what redhead insights, rope and shift is. You know, what we have been able to see is you know, there are certain characteristics that happen even across, you know, certain groups of customers but they don't know that they don't talk to each other, but the telemetry is giving us a night into what some of those patterns are. And so when a customer in one site starts to have, we start to see telemetry, you know, you know, maybe a. T. D. Is going down for a certain reason and and we can determine that we then have the ability to take that telemetry and you know, be able to send alerts back to all the other customers and say, hey we recognize this might be becoming an issue, You know, here's how you might re mediate it or hey we've already put a fix out for this issue that we're starting to see you having an issue, you should probably take action on. So it's an increasing the the efficiency of customers without them necessarily having to, you know, constantly be understanding, monitoring, you know, watching everything like they had had to do from of the three perspective, we're now giving them some of the insights of what we know as developers back to them, >>you know, that's interesting. I think that's really key because it's talking to a friend last night we just talked about cybersecurity and we're talking about how a lot of these things are patterns that have that are the same and people just don't talk to each other. There's no shared insights. I think this is an interesting dynamic where you can get the collective intelligence of other patterns and then share that. So the question that I mean that's that's a game changer in my opinion. So that's awesome. The question I have is can you guys push alerts and recommendations to the customers? So from this data? So how does that work? Is that built into the product? Can I get some proactive notifications and saying, hey, you know, your cluster might go down and we've seen this before, we've seen this movie. I mean she is that built in. >>Yeah, so john you're keeping it exactly where we're taking this, right? And I think Tracy started putting out some breadcrumbs for you there. So uh, first get comfortable with the foundation was laid out, get clusters connected right. Then information starts going, reported, we start getting exactly to what you said, john write a set of patterns that we can see Tracy, start talking about what we can, if we see pattern on one end, we can go off and help customers on other end. Now, if you take this forward interest for your viewers today, um introduce a I you know, into this, right? And then we can start almost starting to proactive now of saying, look, you know, following actions are going to be committed or we expect them to be committed. You know, here's what the outcome is a result of that. Here's what we recommend for you to do, right? So start proactive remediation along that. So that is exactly, you know, the surface that we're trying to lay down here and I think this is a huge, >>huge game changer. Well, great stuff, want to move on the next we're getting go on for hours on that one topic. I think telemetry is a super important trend. Uh you guys are on top of a great, great job to bring in the Ai piece. I think that's super cool. Let's get back to the end of blocking and tackling Tracy. You know, one of the things that we're seeing with devops as it goes mainstream now, you've got def sec apps in there too, is you've got the infrastructure and you've got the modern application development, modern application developers, just wanna code, be productive, all that security shifting left, everyone's all happy that things are going great under the hood. You have a whole set of developers working on infrastructure. The end of the customers don't want to manage their own infrastructure. How is red hat focused on these two groups? Because you got this SRE like cloud Ops persona developing in the enterprise and you got the developers, it's kind of like almost two worlds coming together, how you, how you helping customers, you know, control their infrastructure and manage it better. >>Yeah, so great question. And you know, this really plays to the strength of what, you know, we have been trying to champion here at red hat for for many years now around the hybrid cloud and this, you know, hopefully everybody's recently heard about the announcement we've made with our new offering Rosa in partnership with amazon. Um you know, we've got different offerings that enables customers to really focus, as you mentioned on the key aspects that they are concerned about, which is how do they drive their businesses, how do they create their applications, their workloads that they need to and offload, you know, the need for having to understand all of the I. T. Infrastructure that's underneath. Um We want to red hat to reduce the operational complexity that customers are having um and give them the ability to really focus on what's important for them. Um how can they be able to scale out their applications, their businesses and continue to add value where they need to have and so um I think it's great we're seeing a huge uptake right now and we've got customers and they understand completely this hybrid cloud model where they're, you know, purchasing open shift um for certain, you know, applications and workloads that they want to run inside their own data centers. And then for those that they know that they don't, you know, don't have to be inside their own data centers. They don't want to have all of that operational complexity. They want to utilize some of the clouds. That's when they're starting to look at other things like rosa or open shift dedicated and and really starting to find the right mix that works well for their business. >>So are you saying that you guys are going to the next level because the previous, I won't say generation but the current situation was okay, you're born in the cloud or you lift and shift to the cloud, You do that manually, then you go on premise to build that cloud operations. Now you're in a hybrid environment. So you're saying if I get this right that you guys are providing automation around standing up in building services on AWS and cloud, public cloud and hybrid, is that kinda what you're getting at? >>Yeah. So the to go to the higher multi cloud world, right? You want platform consistency, right? Running my application running on a platform consistently, you know, where we go. Right. Tracy started talking about this idea of in some cases you say, well I've got the infrastructure team, I've got the ops team, johnny talked about this notion of, well the dwarves can be hard, sometimes right to some groups. Um, and so hey, red hat or hey redhead, plus, you know, my hyper scale of choice, you know, take that off of my hands, Right. Run that for me consistently yourself. Right. So I focused on my application uh and the management of infrastructure is something that's on you Tracy talked about rosa, that's our joint uh first party service that you know, we've got with amazon were directly available in amazon's console, you can go pull that down, right. You'll see red hat open shift on AWS, right on their uh we've got a similar one with Microsoft Azure Tracy mentioned open dedicated, we stand up the platform, we have our own sorry team that manages it with IBM as well as with google. So you pick your cloud of choice and we'll make sure, you know, we'll give you a platform that if you as a customer so choose to self manage. Great, go for it. If you'd like for us to manage it directly ourselves or in conjunction with the cloud provider and provided to you as a native service, you know, we can do that for you as well. Right? So that day to obsolete, you know, challenge that we're talking about. You know, it's something that we can get your hands if you want us to. >>That's really cool. You gotta manage service. They can do it themselves whatever they want. They can do it on public cloud and hybrid. Great stuff. Yeah, I think that's the key. Um, and that's, that's, that's killer. Now, the next question is my favorite. I want to ask you guys both pretend I'm a customer and I'm like, okay, Tracy shit, tell me what's in it for me. What is open shifts and red hat doing for me is the customer? What are you bringing to the table for me? What are you gonna do for me? What is red hat doing for me today? So if you have the kind of bottom line we were in the elevator or probably I ask you, I like what I'm hearing. Why? Why are you cool? Why are you relevant? What's in it for me? >>You >>already start? Okay. Yeah, so I mean I think it's a couple of things that we let's just tie it back to the first initial blend. I mean we've got, we're enabling the customers to choose like where do they want to work that run their workloads, what do they want to focus on? I think that's the first thing. Um we're enabling them to also determine like what workloads do they want to put on there. We continue to expand the workloads that we are providing um capabilities to customers. You know most, you know one of the more recent ones we've had is you know, enablement of Windows containers a huge plus for us. Um, you know, it's just kind of talked about, dropped the buzzword ai you know, recently, you know, we're looking at that, we're talking about, you know, moving workloads need to go to the edge now. It's not just about being in the data centers, so it's about enablement. That's really what open shift as you know, bread and butter is, is, you know, let us, you know, create the ability for you to drive your workloads, whichever, whatever your workloads is, modernize those workloads um, in place them wherever you want to. >>Yes, your your answer. How would you say to that? >>I'll build on what Tracy said, right. She obviously took the, you know, build up tribal Benjamin perspective and I'll sort of talk about a business thing you're introducing, actually add threat at summit. So, you know, we go up and acquire stock rocks, you know, further deepen investment in communities or containment of security. Uh if you recall, john, we've talked to you about, you know, advanced cluster management team that we actually got from IBM incorporate that within red hat, um, to start providing, you know, those capabilities are consistent, you know, cluster policy, immigration management. Um, and you know, in the past we've made an acquisition of Core West, we've got a lot of technology from that incorporated the platform and also things like the quake container registry. What we're introducing address had some it is a way for us to package all of that together. So a customer doesn't say, look, you know, let me pick out a container platform here, let me go find, you know, somebody manage it over there. You let me see, you know what security you adhere. We introduced something called open shift platform plus right. Which is the packaging of, you know, core Open shift contain a platform uh, capabilities within uh, stack rocks, which we're calling advanced cluster security capabilities of cluster management, which is called advanced cluster management. And the quake container registry always want to make it much easier for customers to consume that. And again, you know, the goal is, you know, run that consistently in your hybrid multi club >>chef Tracy. Great, great segment, great insight. Um, here on the cloud platform and open shift under the hood. Uh, you guys are well positioned and I was talking about Arvin and idea who acquired red hat. You know, it's pretty clear that cloud native hybrid is the new cloud operating environment. That's clear. You guys are well positioned. And congratulations. Final question Chef. Take a minute to quickly put the plug in for open shift. What's next? Um, looking forward, what do you guys building on? Um, what's on the roadmap if you can negative share the road map, but yeah, tell us what you're thinking about. I mean you're innovating out in the open, love your shirt by the way and that's the red hat way, looking ahead. What's coming for? Open shift? >>So john I will say this, our roadmap is out in the open every quarter. Our product managers host the session right open to anybody, right? You know, customers prospect, competitors, anybody can can come on. Um, and uh, you hear about our road map, lots of interesting things they're working on uh, as you can imagine investments on the edge front, right? So that's across our portfolio, right on the open shift side, but also on learning platform as well as on the open stack front, make it easier to have, you know, slim down open shift. we'll run that you won't be able to run uh open ship in remote locations and then manage it. Um So expect for us uh you know, just to show you more work there, drinking things like uh ai and more workloads directly onto the platform, but you'll see what they're doing to get more Alex on what we're doing to take uh technologies that we've got called Open data hub to make it easier to run more data intensive, more ai ml types of frameworks directly a platform. Um And so that's a great interest, more workloads Tracy, start talking about that. Right, so Windows containers, support has G eight, uh and what's really awesome about that is that we've done that with Microsoft, right, so that offering is jointly supported by both us and our partners over at Microsoft uh virtualization, which is taking much machines and being able to run them as dangerous orchestrated by communities Um, and and doing more work, you know, on that front as well. So just a lot of different areas uh, were investigated and really, really excited to bring more workloads on 2:00. >>Well, Chef Tracy, great segment with a lot of data in there. Thanks for spending time in and providing that insight and uh, sharing the information. A lot of flowers blooming um, here in the cloud native environment, a lot of action. A lot of new stuff going on. Love the shift left. I think that's super relevant. You guys do a great job. Thanks for coming on. I appreciate it. >>Okay. >>This the cubes coverage of red hat summit. I'm john for a host of the cube. Thank you for watching.

(Upbeat music) >> Okay, welcome back everyone, to theCUBE's Coverage of Red Hat Summit 2021 virtual I'm John Furrier, your host of theCUBE got two great guests from Deloitte Consulting Dave Knight who manages the Red Hat Relationship, Lee he's the lead there, and Mike Bourgeois who's the Public Sector Managing Director both from Deloitte Consulting LLP official name. Guys, great to come on, and we were just talking before camera about all the stories. Great to have you on theCUBE, thanks for coming on. >> Yeah, thanks for having me. >> Like I said we were just talking about all the stories from the transition from pre-COVID, COVID. Now we've got a view into post-COVID. I want to dig into that 'cause there's a lot of things happening. You guys have been in the trenches, front lines bringing solutions, but before we get into that, can you guys just introduce yourself share your roles at Deloitte and give us a quick overview of what you work on. >> Yeah, so again, thanks for having us John Dave Knight I'm a solution architect and Global Red Hat Alliance Manager for Deloitte. I've got responsibility for making sure that play nicely in the sandbox together or we've got a joint customer and solutions to deliver to those customers. >> Hi everyone, thanks for having us John, I'm a Managing Director Mike Bushwa out of Boston Texas. I am coming up on year 20 and Public Sector Consulting. My area of expertise is large state government systems that serve the needs of millions of citizens and thousands of state workers, good to be here. >> Yeah. Great to have you. And I wanted to chime in with you right away because Mike you are living in probably one of the hottest markets Public Sector. I've been following that for many, many years, generations actually from the early computer industry GSA contracts, all these contracts you've got all the Public Sector, they move very slowly but now the pandemic, there was no place to hide. Everything got pulled back, disruption, you can't just shut down critical infrastructure and critical services. People had to move fast. What was your experience and how is it now give us a taste of some of the challenges and the landscape. >> You bet John, so we talked a little bit before we started this, but my 20 year consulting career, I can't think of anything really in close to this, other than maybe Y2K and as Dave mentioned the Affordable Care Act Legislation in 2009, though that was a much smaller scale as it turned out to be. So I would be remiss not to share examples of extraordinary challenges our clients have had related to the pandemic. Department of Labor and Health and Human Service Agencies for example, responded to the pandemic in rapid timeframe that were rarely seen in government. Citizens that were used to coming in appealed offices, We're now required to do most things virtually. Deloitte has been privileged to assist clients with digital solutions across the country in response to this unprecedented event. And so I'd like to share just a couple of examples. The first is for Department of Labor, the pandemic contributed to millions of layoffs throughout the country Department of Labor workers found called volumes increasing by a 1000% in some cases, the amount of increased volume required agencies across the country hire temporary workers to help out. Millions of new unemployment claims needed to be filed in benefits rapidly provided to citizens of name. So the big challenge was the agency had to figure out how to rapidly file claims into the unemployment system, rather than requiring new citizens to use an external web application they were really unfamiliar, the agency needed more efficient approach. The approach we used was to create an internal web application that enabled workers to file unemployment insurance claims on behalf of citizens. Workers collected the necessary data from citizens and claims were filed into the system. The application enabled workers to focus on filing claims rather than sort of a technical support role showing how to people use an external web application. More citizen were served in much less time, claims are filed efficiently by train workers which resulted in benefits being received in a much more timely fashion. And so a second example is, with Department of Human Services. So one stay as mentioned Citizens were used to going into field offices but suddenly they were told you can't come into the field office. So once they provided a 100% virtual application and the important part here is certification solution for the Disaster Supplemental Nutrition Assistance Program or DSNAP for short. this application was stood up in two weeks, families who needed food assistance can now apply and be certified for benefits remotely. Today over 50,000 cases have certified and citizens receiving food nutrition assistance. Back to you John. >> So, I mean obviously there's some great use cases you got, basically I got to work at home, new architecture there you got to have a new workflows. I mean, this poses some real challenges. How did you guys put it together? I mean, Dave take us through where this all fits in with the Red Hat, because obviously now it's new deployment new capabilities have to be deployed for the pandemic. How does this bring together the partnership with Red Hat? >> Yeah, so great question and it really plays to the strength of both Deloitte and Red Hat, right? The success stories that Mike has illustrated show how we can quickly pivot as a firm to delivering these types of solutions and help our customers think through innovative ways to solve the problems. So, I mean the prime example that Mike just gave, everything used to be done in offices. Now it's all done remotely cause you can't go to the office even if you want to. And that is very much aligned with the innovation we get with our partnership with Red Hat, right? They've led the way in open source and some of the technologies that we've leveraged that our solutions include, answerable for automation, some of the middleware products, and I would say one of the cornerstones is the OpenShift Platform. Now that allows us to greatly accelerate the development and delivery of those solutions to our customers. Sort of again, aligning our innovative thinking with Red Hats Innovative Technologies. >> What would you say if someone said, "what's the partnership strengths and what needs specifically are you addressing with customers and customer needs?" >> So I, again, I think our lean towards innovation is a common thread across both firms and where we have our greatest strength. We like to take our customers on a journey but it's not our journey, it's their journey, right? So we help them figure out where they want to go and how they want to get there in a way that aligns with their business goals, their budgets all the sort of factors that drive those things and Red Hat is very open to that approach. They sort of invented the crowdsourcing of open source they made it into a business model. They've developed that from literally nothing. And that aligns very nicely with us. That's one of the key strengths. We also are firm believers in open source again to the degree that our customers like the leverage that to drive their journeys. And we're seeing that, especially in the Public Sector Space as being a key driver of the technologies they employ. >> Mike, I want to come back to you on this open ma component open question, open source, open to technology open innovation out in the open as Red Hat calls it. How does Red Hat open source software, address the needs for your customers for security and on-premise considerations. >> I'll talk a little bit about open source principles in general still the open source principles of transparency meritocracy community problem solving and collaboration. These are on its of both software innovation as well as organizational transformation. One of the highest demand transformation needs that I'm seeing in the market is the desire to adopt innovative technology, and most importantly, moving workloads to the cloud. It's no longer a thought, it is an imperative moving workloads to the cloud, on new deals hosted in the cloud, on an existing, is it large systems let Deloitte help us get to the cloud. So I believe the key to success embracing the cloud is recognizing first the need for change in people, processes and technology. The vehicle for this transformation is DevSecOps and innovative open source platforms, such as the OpenShift platform that Dave mentioned. OpenShift focuses on people, processes and technology and the security conversation becomes even easier. I mean, I see Linux was around for years, and we've always used Linux on our Java based workloads now we can have the conversation about saying, Hey, well that se Linux operating system we've been using for years now, there's this really cool Container Management Platform that we can solve real problems like auto scaling, in my Health and Human Services career, I can remember every year when open enrollment comes around systems engineers are teed up, and ready to manually add those to a BMR cluster or something like that. Well, now we don't have to do these things. We can rely on Kubernetes so auto scale, and then and get rid of those instances when workload demands seven resolved. So it's a really cool technology kind of behind the scenes. It's not the dog and pony show sometimes but in the end it helps the clients and Deloitte remain consistent with those service level agreements. >> That's a great example about the open enrollment illustrates the fact that, you got to provision more stuff to take that load on it. It's always hard in Public Sector you might not have the speed. So I got to follow up and ask you, you guys have had wins in the Public Sector lately with Red Hat, you guys Deloitte and Red Hat working together and get some wins under your belt, on around cloud and cloud and technology obviously with the pandemic has needs there. Are you guys seeing any particular sector challenges specifically around Public Sector as it goes this next level a lot of modernization happening we're seeing that, but any challenges that you're seeing, can you give some examples of how these challenges are being addressed? First talk about the challenges and then give some examples of how they're overcoming them. >> So I can jump in here with this one then, and Mike I think you probably have some maybe Public Sector specific examples, but one of the things that I think is common across all industries is resource constraints, right? And particularly as we look for human resources and not in the HR sense, but developers, CIS admins those types of resources as Mike said, the cloud is here to stay, right? And it's not something that people are thinking about it's de facto part of the conversation. And that's great, but it leads to silos of skills which puts further sort of strain on a limited pool of resources within most sites IT organization. So something like an OpenShift, something like an Ansible solves problems related to resource constraints, because they're skills that are portable across cloud environments, right? If you can manage OpenShift you can manage OpenShift on-prem, you can manage it recently released AWS version of that ROSA on the Azure version of that. So it's no matter where you're running it you've got a common set of skills and access sort of a force multiplier, same thing with Ansible automation, right? If you can write scripts, with an Ansible you can do those repeatable tasks in a much more efficient fashion. And again sort of multiplying the capacity of your existing workforce. >> So you've got an operating leverage there. I mean, this is what you're getting at is that, Public Sector and other commercial areas they kind of got to get used to this fact that, you get some leverage here, you get some operating leverage. >> More or less has always been a thing in IT. And it's not relenting that's for sure. >> It's been more at the more, with less has always been kind of a tagline for budget cuts, right? You can squeeze more out of the investment. Here it's kind of like do more with less than the sense of there's more net new things happening with leverage. So, I mean, do you agree with that? What's your take on that? >> Yeah, I think that's exactly right. It's more with less from a resource perspective, right? Typically it was budget, but no money is just another resource. Now we're getting into the personnel side of it. The other thing I would say is, something like an OpenShift Platform allows the Mike's point around DevOps, it allows the developers to develop, right? I have an article in wired.com about this, where developers are saddled with meetings and they have to become concerned with infrastructure and they have traditionally and security. And I am I doing all these things that aren't related to development. If you have a good DevOps Platform in place the security folks can build guard rails into the platform and the developers can just go develop which is what they want to do in the first place. Yeah exactly, that's another riff on the more, with less, again in a resource, the human resource way versus the budget way. >> Yeah, and that really is where OpenShift ties in. Mike what's your take on this? Because with this kind of program ability infrastructure as code DevSecOps kind of modern developers, Public Sector loves that, because they just want to build the new apps. They got to modernize. So change the infrastructure once. And then a lot of ma many benefits on top of it. It's almost like, it sounds like an operating system to me. >> Yeah, lots of thoughts going around my head right now but I'll say the more with less to me when I'm having client conversations is imagine a world of higher innovation, more technology at lower costs, right? I mean, so CIO is light up when I explained to them the orders of magnitude cost savings on top of the innovation introduced to their environment. So when moving workloads to the cloud is not as easy as just packaging up a binary and dropping in on a name, your cloud provider, right? There's an entire, a blueprinting strategy. There's a Cloud Native Architecture, modernization discussion, so we do those sorts of things, at Deloitte and we work with clients very closely to do that. I want to say teaming with Red Hat allows us to be proactive with our design and reference architecture validation. The Collaborative Partnership in Relationship allows us to connect senior engineers from Deloitte and Red Hat. So we have low level strategic discussions, we validate our assumptions and optimize to use a Red Hat technology. What we're doing in Public Sector is separating the monolithic application into layers. And whenever it comes to technologies like Ansible, like OpenShift, like Jenkins, all of these things that any application needs and Public Sector, we're saying out to the account teams across the country, look this is a slower layer DevOps Platform. And by the way, you can run any .Net or Java based workload on it. So we're trying to make opinionated reference architecture so that regardless of the solution, we can just go to market with that platform that tried and true production application. So I'll give a quick example John, if now's a convenient time regarding, well, one of the things that we've done for particular state client. >> Definitely yeah, give the use cases we love those. >> Yes so one of the impactful modernization that struck my mind was the State of Washington. They've mentioned the affordable care act earlier, there are two major things that came out of that. One was the eligibility and enrollment systems had to be modified across all 50 states. But the second thing and the primary driver behind the affordable care act was health insurance exchange. A way for millions of citizens to have access to healthcare using Subsidized Health Insurance Plans. So in Washington and health benefits exchange is that health insurance exchange, State of Washington has been a client of Deloitte since 2012. The solution was originally designed using closed source proprietary products. There are three drivers for change. The first is the API gateway was end of life and needed to be replaced. Number two was the client wanted it to move health benefit exchange to the cloud from an on-premise hosting arrangement. And third is reducing cost of those solution with innovative products. So the agency was looking for a platform that provided flexibility, auto-scaling and performance and lower cost of ownership. So we worked with the agency and we evaluated a variety of API Management and Integration Platforms after reviewing the outcomes for each proof of concept the agency decided to move forward with Red Hats, three skill API Management Platform, Red Hat Fuse for Integration and OpenShift Container Platform that offered the auto-scaling continuous integration tools and out of the box monitoring and reporting capabilities proactively monitor the health of the solution. I often describe a little bit of OpenShift as a data center or DevSecOps in the box. It just is all there. You don't need to add layers on top of OpenShift install and configure it, tune it and just you're off and running in a short amount of time. So three outcomes I'll mention, go ahead, John. >> NO continue, I thought you were finished. So on the outcomes side, the first outcome the agency substantially lower the cost of ownership using commercially supported open source while increasing access to innovative emerging technology. So the agency wanted a solution not only to meet their current needs, but extend the solution going forward. The beautiful thing about OpenShift is you can drop a container images into the platform without installing an operating system. It's all just there and it's spreading to be extended. The number two outcome cloud migration. Deloitte work collaboratively with the agencies and infrastructure and managed services team to successfully migrate the health benefit exchange to the cloud. And the last thing a bit obvious, but that's successful release, working collaboratively with our client. We were able to migrate the solution within 100 days from making the products decision. The cut over to the new solution was seamless with minimal downtime and zero production issues or exceptionally proud of that. >> Great stuff, great use case. And again, those are great business examples. Dave, I want to get this last question to you and Mike can chime in too. As Red Hat Summit evolves, and we're hearing the theme here at the event about transformation is the innovation, Innovation is about scale. When you hear the words like in a box or Hybrid Cloud you hear about an operating environment. So it's an opportunity to set the table for the next generation, this is what I see. What do you guys see as people talk about Hybrid Cloud and soon to be Multiple Cloud? Because you guys you said have tough relationships. You deal with IBM and Red Hat and you probably deal with other people. Clients want, from what we hear they want back to the Multi Vendor Open Connection Distributed Environment. That's what they want. So how does your relationship evolve, given all this is happening? How do you see the future, please chime in. >> Thanks, that's a fantastic question. I actually think the market is coming catching up to where I've been thinking for quite a while. And that is the Hybrid is kind of where it's at. A lot of customers have been in some sort of Hybrid mode as part of the step or a journey to the cloud, getting all the way to the cloud. But I think we're seeing some transition. I know customers are starting to ask me more and more about Hybrid solutions for a variety of reasons, right? The easy workloads for the most part have either been moved or be are being moved, or at least there's a strategy and a plan to get them moved. And now we're starting to be asked about some of the more difficult architecture type questions, right? The workloads that are a little bit more sticky to the on-premise model. And so Hybrid becoming more of the endpoint as opposed to a step along the journey. The other big thing is some repatriation, right? Workloads coming off of cloud. Maybe they seem like good candidates but for whatever reason, the cost drivers or other things weren't realized, let's get them back on premise. Maybe it's a regulatory thing and new regulations are making folks uncomfortable. So I see Hybrid as a pretty interesting next wave of cloud, Deloitte as a far or we're skilling up or tooling up in order to address the needs of our customers, again are starting to ask us these really challenging questions about Hybrid Cloud and Hybrid Cloud Architectures. >> Yeah and just the key point there is that you think about it like with the way you're discussing it, it's a platform, not a tool, right? So if you think about it like a platform then you can move things around and look at architectures and changes of how resources and workloads are deployed and then what data you're getting from it. Whether you bring it to a factory, for instance you say, Hey, okay, we're going to put it on prem because it's a factory or whatever, and you need more data. What was the changeover? This is like a day to operations kind of mindset. What's your comment on that? >> Well I mean I have actually going back three years now, one of the marketing lines that we developed internally, was moved to a platform, not a provider. But because you get that flexibility, now, the reality is what works stay where they're put for a variety of reasons. But I think one of those reasons could be, because they're put in places where they tend to not want to move, right? So if we could put them into a platform where, there is some portability built into the platform, I think we might have a different sort of outcomes for customers. And I think architecture is absolutely the key, right? That to me is the secret sauce here. >> Mike set up for you to close us out here, platform, Public Sector, Hybrid, that's what they want. It's an ideal scenario for anyone in Public Sector and in general, and why wouldn't you want to have a great platform that's it can be programmed, and rearchitected at will for the benefit of the business powered by software. What's your thoughts? >> Yeah, all good points and I will agree with Dave that Hybrid is certainly evolving. Eight years ago, Hybrid was consuming and address validation API in the cloud and not custom coding that, but today I do agree that Hybrid Cloud is all about a vehicle a way of moving workloads across data centers. It's an architecture that is encapsulated by something like an OpenShift so that you can federate your workloads across data centers. You can put them in one or easily moved them to the other. Maybe that's for a variety of reasons. It could be compute and storage is being reduced by one provider versus the other. So the solutions were we're designing today, they are data center agnostic, we're not being tied to data centers anymore. The best design solutions, you can just let them move in their easy manner. So that that's my take on Hybrid Cloud. And I would say the and Red Hat are making investments to help us advance that thinking help us advance those solutions. We had Deloitte have created a Red Hat OpenShift lab environment, and we've done this purposely to validate reference architectures to show account teams the way we have delivered the very very large accounts to show them what DevSecOps to means from a product perspective and to give them opinionated processes to be successful in delivering these large type solutions. >> Dave, Mike, thanks for coming on, and I appreciate you guys coming on theCUBE and sharing the perspective on the Red Hat Relationship with Deloitte Consulting. Thanks for coming on. >> Thank you. >> Thank you, John. >> This is CUBE Coverage of Red Hat Summit 2021, am John for your host, thanks for watching.

(upbeat music) >> Hey, welcome back to theCubes coverage of Red Hat Summit 2021 virtual, I'm John Furry hosts of theCube, Cube Virtual. We're remote, we're not in person this year. Like last year, soon, we'll be back in person. We've got a great guest here, Mark Potts, managing director at Accenture for the Red Hat relationship. Mark, great to see you. Thanks for coming on theCube. >> Hey, thanks for having me John. I really appreciate it. >> Yeah, we've been covering pretty extensively throughout this event, as well as you know the many, many years, the impact of cloud computing. Obviously, you guys have a really big strategic relation with IBM and now Red Hat, Red Hat's part of IBM. It's pretty clear that, you know, that Red Hats got this operating system mindset of open source and, you know, innovation. It's extending into cloud, cloud native, and edge, distributed computing. That's kind of in their DNA if you will, distributed computing and system software and open source, kind of the perfect storm. So, really interesting as this enables new services you guys are on the front lines working with the biggest companies in the world as the global businesses is changing. So, I want to get your take on Red Hat and what you guys are doing together, but first give a quick overview of the center role with Red Hat, your role there and what you do. >> Yeah, thanks. Perfect John. So Mark Potts, as you mentioned I'm the managing director responsible for our global business with Red Hat and our partnership with Red Hat. As you probably saw in our announcements last Fall, around the September timeframe, Accenture made a very large, bold announcement about forming a new cloud first business unit within Accenture. And so we're going to invest $3 billion into that business unit. We're going to dedicate 70 over 70,000 people worldwide to that business unit and that cloud first initiative. And as part of that cloud fishing first initiative we've also developed our new hybrid cloud strategy. And we're looking for new partners and existing partners to help us grow in that hybrid cloud strategy, not hybrid cloud business. We see Red Hat as a very important partner in that business. And as you mentioned there, they've also been, you know, in the distributed computing for a long time. We also see them as a partner for clients that are lifting and shifting and migrating to the cloud on RHEL, like SAP and other workloads like that. And I'm excited to talk to you today about OpenShift, and Ansible, and all those great technologies that Red Hat brings to the table for our hybrid cloud approach and strategy. >> That's awesome. Great investment. And I love Paul coming in that you were saying on his keynote, you know, every CIO should be a cloud operator. I mean, running business at scale this is what hybrid cloud is all about. And so with your new hybrid cloud strategy and the formation of the new business group at Accenture what kind of challenges are you guys looking to solve? What are the opportunities that you're seeing for companies? How do you guys solve those challenges? What do you, what are you guys looking at right now? >> Yeah, that's a great question. As you mentioned, the keynote. So, Karthik Laredo actually runs our cloud first business was actually part of that keynote with Larry Slack as well, or Larry Stack, sorry, as well. And so he mentioned in his keynote something called the cloud continuum, right? And so historically Accenture has been working with our partner on cloud native development moving to about 20 to 25% of the existing workloads in the data center, the easy stuff to the cloud, right? But now we realize that there's a need for the hybrid cloud. There's a need to modernize, maybe on premise, there's a need to maybe modernize in the cloud one way or the other. And then we also look at the holistic view of cloud, on-prem, edge. And that's what Karthik is talking about when he's talking about the, the cloud continuum. And that's a very important part of our strategy within Accenture, and OpenShift really helps us meet those needs. So if a client is a little bit nervous about taking some of those complex workloads but they want a modernize and they want to use the latest and greatest cloud native technologies but they want to do it on-prem and move to the cloud a little bit later they can do that with OpenShift, right? And Red Hat. That's a great platform for that. Maybe it's a client that wants to lift and shift and get to the cloud as soon as possible, close their data centers save that cost of money and then modernize later, but they don't want to necessarily be locked and want to be locked into one cloud provider. Again, OpenShift is great for that. Take those legacy workloads that you move to the public cloud, modernize them on Red Hat OpenShift maybe it's Rosa on AWS, maybe it's aro on Azure. And then when you're ready to you can move those to any other public cloud, if you'd like to, when, when you're ready to, right. And that whole control plan as we call it, being able to see across public cloud, on-prem, the edge is really important for our story and our strategy, and Red Hat OpenShift, and Red Hat Satellite. And those technologies bring a lot to the table for us to meet those needs of our clients and our customers. >> That's great insight there, Mark. I really appreciate that. And one of the things brought up when he was saying that I was thinking to myself, okay, the cloud conversation has many evolutions and, you know, go back five years. It was all moved to the cloud. Everyone was moving to the cloud. That was the big discussion point. Now it's, you know, enterprise ready the cloud get that next level of scale. And as you know, in the enterprise everything we do all everything complicated is a lot of legacy and is existing stuff. So this, you know, this, this is the next enterprise at scale is the conversation that includes hybrid multi-cloud or running on that, on the horizon. So with that, can you expand on what you mean by this cloud continuum that you refer to, that essentially refers to and what is needed to make it a reality for customers? >> Yeah, I mean, what's really needed is the latest greatest in hybrid cloud technology like OpenShift and what Red Hat brings to the table, right. It's also new skills and new capabilities, and, and policy management and those types of things that are important for our company to decide when they're ready to move those workloads to the cloud, right. They need the ability to see across their entire infrastructure. Like I mentioned earlier, whether that be a public cloud provider, whether that in their existing data center, in a colo, or on the, in the edge, like in a retail store or something like that, they need, we need the ability to see across those, that seeing all that infrastructure is a single control plane. So we can manage and know where things are to feel confident about security and everything with our clients. The other big thing that we need is skills. Skills to, you know, build the migration, the modernization, and more importantly, the interaction and integration into legacy workloads like the mainframe, for example, Accentures got a lot of use cases, leveraging Red Hat OpenShift for our cloud coupling solution, where we interact and build new applications that connect to the mainframe sitting right next to the mainframe but their new digital mobile applications, web applications that can be quickly modified and deployed in, into production at a rapid pace. Right, and so when we look at everything that's needed, it's skills, it's technology partners like Red Hat, and then it's, it's really building assets and offerings to help make that journey for our clients better, and, and secure. >> We just found out here at the event that you guys at Accenture had been recognized as Red Hats, global systems integrated partner of the year for North America, congratulations on that. What do you see as some of the key reasons for the recognition? Was there anything that they called out in particular? Obviously you guys have a great track record well-known brand you've known for, you know, creating a lot of value for companies as they do digital transformation. What's the, what's the recognition for this year? >> Yeah, we're super excited about this, right. I mean, this is, we've been partners with Red Hat for a long time. I think we were one of the first system integrators, if not the first system integrators to partner with Red Hat many years ago. Right, so, to get this award, and get it for the first time, is super exciting for us. Right, and so we're very grateful for that recognition and opportunity. You know, I think what really, what really, what got us the recognition for this award was really the effort we put into our partnership over the last 12 to 24 months, right. We had had a really big business in Europe with GDPR and, and the risk averse of going to the public cloud in Europe. OpenShift and Red Hat really had taken off. In North America our business was lagging behind Europe and we significantly invested with Red Hat and new offerings and new clients and new people, right. New talent to build a better business and partnership in North America. You know, I think a lot of the things that we got recognized with were what I mentioned earlier some of our cloud coupling solutions for an insurance client in North America where we're building cloud native applications on Red Hat OpenShift sitting next to the mainframe we're building new cloud, cloud native applications for our transportation company in, in the South region of the US right? So it's really that business transformation work that we're doing working with the legacy, but building new core applications for our customers that are truly portable, nimble and agile, and they can use to get speeds to the market and get to the cloud. >> Cloud first organization you guys are investing billions of dollars, 3 billion. That was referenced. I saw an article. I think we covered it as well on (mumbles). Congratulations, cloud first also implies that cloud native is going to be there. Mark, in all your years in the industry talk about from your personal perspective and even from Accentures, the, the shift that's happening because it's almost mind blowing what's going on in the sense of so fast this is accelerated, even the pandemic exactly accelerate even further. The opportunities that were, that are available now that weren't there before and what it's done to the project timelines and what it's done as a forcing function. Could you share your view on the reality of the current situation and opportunities for companies to take advantage of that wave? >> Yeah, and, and I think Accentures done a great job talking about this recently, even from our C-suite down, right. And Karthik we'll mention, has mentioned this as well in his keynote. I mean, we are seeing an acceleration to get to the cloud that was completely unplanned for us. I think the, the numbers I heard was we thought most clients are going to get to the cloud in eight to 10 years and be fully in the cloud in eight to 10 years. But that's accelerated with COVID and the pandemic, right. We're looking at four to five years we think most of our clients will be in a majority of their, their infrastructure and everything, a new, a new applications and legacy applications will be in the cloud. Right, so the, the, the change and the impact of the pandemic had, had a significant impact on our customers and their need to, to, to get to the cloud. We've even seen those that were leaders in the cloud journey accelerate even more, right. And, and they're being rewarded for that acceleration. Right, a lot of our customers that were first to cloud are seeing the benefits and seeing the, the, the ability to scale and for the pandemic, like, like a lot of our customers in the, in the US in particular. And I think OpenShift is going to help them, help us with that, right, And, and Red Hat in particular. And let's not be lost on the fact that Realms is a great product out there as well. We have many of our clients that are running SAP on Realm and that lift and shift and moving SAP to Azure or AWS or Google or something like that is, is a viable solution for our, to help accelerate our customers as they expand, right. We've seen internationally a lot of our customers that have been really focused just in their local region are now expanding their business outwards, and now they need to get to the clouds to be able to expand those businesses. >> You know it's interesting Mark, just as we're talking, just, you know thinking about my experience over the years in the computer industry everything had to display something else, disrupt something, you know, the mainframes were disrupted by client server. Now we're living in an era where with the containers and microservices and service meshes and cloud native technologies you can embrace existing legacy and abstract away some of the complexity on the integration side, right? So you don't have to kill the old to bring in the new. And I think this phenomenon has opened up a new class of services and, you know the people I talk to and interview the leaders in the industry all have the same kind of view. And the ones that stand out are the ones that recognize that the operating system of business will be software. And that software hasn't yet been built in clouds. The beginning, it's not just one cloud. So I think what's interesting about Red Hat is that their operating system people you almost to see, you know, Arvin kind of snapping the lines and kind of cornering the market on the operating system for business and applications then are a thousand flowers that bloom from that. So, very interesting take here again. That's my opinion. I don't think they've said that formally but if you look at it, that's kind of what's going on. What's your reaction to that? >> I think you're a hundred percent, right. I mean, it, you know, I, I also carry a little bit of the responsibility on the IBM side. And you mentioned mainframe and I've mentioned mainframe a handful of times, right? There's a lot of customers that have this legacy estate like the mainframe in particular but they need to be nimble. Right, they need to be agile and mainframe is a challenge sometimes around that. Right, and so to your point creating those applications that participate with the mainframe allowed the mainframe to participate better with these cloud native applications and these new digital transformation applications is a very key component to it. And so I, a hundred percent agree with with everything you said. And I think, I think we're going to see more around this operating system type software. And I, you almost, to an extent, you you kind of view Red Hat OpenShift as kind of that new operating system, right? And you look at some of the announcements that Red Hat has made around Palentier, right, and adding Palentier and ISV to their marketplace to allow customers that are bought OpenShift or make it easy for clients to buy Red Hat OpenShift, and then bring in these ISVs that have been certified, they're secure, they're easy to consume and buy it through Red Hats marketplaces is very exciting and very interesting, and very easy to do, right. Once you get that Red Hat OpenShift layer in there, that operating system and now you're bringing in products all over the place, right. And, and all the new stuff. And I think we're going to see a lot more of those announcements during summit as well. >> Yeah, I think it was a 20 year run here. It's trillions of dollars as it's been forecasted. Mark, great to have you on. Super valuable resource. Great insight! While we got you here let's get a quick free consulting a minute here for the customers watching. What's your advice. I need some help here. I'm going to go to the cloud. I want a good, I want enough headroom so I can grow into I want to foreclose any opportunities. I want to move to the cloud. I want to have a hybrid distributed computing architecture. I want to program my business. I want infrastructure as code. I want dev sec ops. What's my playbook? What should I do? >> So Accenture's got a real smart approach and strategy around us. We leveraged an, an assessment approach really to look at what's in your what's in your data center today and what, what you have from an infrastructure and application standpoint, there should be-- We have a seminar where it's can completely rewrite an application, and we would apply those six hours or seven hours to that assessment to help you figure out the disposition of your applications and your infrastructure to figure out what is the right cloud. What's the right journey. I mean, we talked about, you know the mainframe and mainframe being an anchor in a lot of our client's data centers, right. How do we move those applications that have data gravity challenges to those legacy applications, to the cloud. How do we consider that? So the right way to do it is take a holistic approach. Do the assessment, do the disposition of your applications. And then let's let Accenture put together a full plan of how we would migrate you incidents into the public cloud. >> Mark FOS, managing director of Accenture. Congratulations on your North America award, partner of the year. And also awesome to hear. And we've been covering again cloud first. Totally believe it, great investment. That's going to pay back huge dividends for you guys and you know, having the hybrid, which is pretty much determined as a fact now in the industry. Congratulations, thanks for coming on. >> Perfect, thanks, and thanks for having me, and thank you Red Hat for the award. Really appreciate it. And look forward to talking to you soon. >> All right, this is theCubes coverage of Red Hat summit, 2021, virtual. This is the Cube virtual, I'm John Furry, your host. Thanks for watching.

(smart gentle music) >> Hey, welcome back everyone to theCUBE's coverage of Red Hat Summit 2021 virtual. I'm John Furrier, host of theCUBE, got two great guests here from AWS, Bob Wise, General Manager of Kubernetes for Amazon Web Services and Peder Ulander, Head of product marketing for the enterprise developer and open-source at AWS. Gentlemen, you guys are the core leaders in the AWS open-source initiatives. Thanks for joining us on theCUBE here for Red Hat Summit. >> Thanks for having us, John. >> Good to be here. >> So the innovation that's come from people building on top of the cloud has just been amazing. You guys, props to Amazon Web Services for constantly adding more and raising the bar on more services every year. You guys do that, and now public cloud has become so popular, and so important that now Hybrid has pushed the Edge. You got outpost with Amazon you see everyone following suit. It's pretty much clear vote of confidence from the customers that, Hybrid is the operating model of the future. And that really is about the Edge. So I want to chat with you about the open-source intersection there, so let's get into it. So we're here at Red Hat Summit. So Red Hat's an open-source company and timing is great for them. Now, part of IBM you guys have had a relationship with Red Hat for some time. Can you tell us about the partnership and how it's working together? >> Yeah, absolutely. Why don't I take that one? AWS and Red Hat have been strategic partners since, shoot, I think it's 2008 or so in the early days of AWS, when engaging with customers, we wanted to ensure that AWS was the best place for enterprises to run their Red Hat workloads. And this is super important when you think about, what Red Hat has accomplished with RHEL in the enterprise, it's running SAP, it's running Oracle's, it's running all different types of core business applications, as well as a lot of the new things that customers are innovating. And so having that relationship to ensure that not only did it work on AWS, but it actually scaled we had integration of services, we had the performance, the price all of the things that were so critical to customers was critical from day one. And we continue to evolve this relationship over time. As you see us coming into Red Hat Summit this year. >> Well, again, to the hard news here also the new service Red Hat OpenShift servers on AWS known as ROSA, the A for Amazon Red Hat OpenShift, A for Amazon Web Services, a clever acronym but really it's on AWS. What exactly is this service? What does it do? And who is it designed for? >> Well, I'll let me jump in on this one. Maybe let's start with the why? Why ROSA? Customers love using OpenShift, but they also want to use AWS. They want the best of both. So they want their peanut butter and their chocolate together in a single confection. A lot of those customers have deployed AWS, have deployed OpenShift on AWS. They want managed service simplified supply chain. We want to be able to streamline moving on premises, OpenShift workloads to AWS, naturally want good integration with AWS services. So as to the, what? Our new service jointly operated is supported by Red Hat and AWS to provide a fully managed to OpenShifts on AWS. So again, like lot of customers have been running OpenShift on AWS before this time, but of course they were managing it themselves typically. And so now they get a fully managed option with also simplified supply chain. Single support channels, single billing. >> You know, were talking before we came on camera about the acronym on AWS and people build on the clouds kind of like it's no big deal to say that, but I know it means something. I want to explain, you guys to explain this on because I know I've been scolded saying things on theCUBE that were kind of misspoken because it's easy to say, Oh yeah, I built that app. We built all this stuff on theCUBE was on AWS, but it's not on AWS. It means something from a designation standpoint what does on AWS mean? 'Cause this is OpenShift servers on AWS, we see this other companies have their products on AWS. This is specific designation. Can you share, please. >> John, when you see the branding of something like Red Hat on AWS, what that basically signals to our customers is that this is joint engineering work. This is the top of the strategic partners where we actually do a lot of joint engineering and work to make sure that we're driving the right integrations and the right experience, make sure that these things are accessible and discoverable in our console. They're treated effectively as a first-class service inside of the AWS ecosystem. So it's, there's not many of the on's, if you will. You think about SAP on VMware cloud, on AWS, and now Red Hat OpenShift on AWS, it really is that signal that helps give customers the confidence of tested, tried, trued, supported and validated service on top of AWS. And we think that's significantly better than anything else. It's easy to run an image on a VM and stuffed it into a cloud service to make it available, but customers want better, customer want tighter experiences. They want to be able to take advantage of all the great things that we have from a scale availability and performance perspective. And that's really what we're pushing towards. >> Yeah. I've seen examples specifically where when partners work with Amazon at that level of joint engineering, deeper partnerships. The results were pretty significant on the business side. So congratulations to you guys working with OpenShift and Red Hat, that's real testament to their product. But I got to ask you guys, pull the Amazon playbook out and challenge you guys, or just, create a new some commentary around the process of working backwards. Every time I talked to Andy Jassy, he always says, we work backwards from the customer and we get the requirements, and we're listening to customers. Okay, great. He loves that, he loves to say that it's true. I know that I've seen that. What is the customer work backwards document look like here? What is the, what was the need and what made this become such an important part of AWS? What was the, and then what are they saying now, now that the products out there? >> Well, OpenShift has a very wide footprint as does AWS. Some working backwards documents kind of write themselves, because now the customer demand is so strong that there's just no avoiding it. Now, it really just becomes about making sure you have a good plan so it becomes much more operational at that point. ROSA's definitely one of those services. We had so much demand and as a result, no surprise that we're getting a lot of enthusiasm for customers because so many of them asked us for it. (crosstalk) >> What's been the reaction in asking demand. That's kind of got the sense of that, but okay. So there's demand now, what's the what's the use cases? What are customers saying? What's the reaction been? >> Lot of the use cases are these Hybrid kind of use cases where a customer has a big OpenShift footprint. What we see from a lot of these customers is a strong demand for consistency in order to reduce IT sprawl. What they really want to do is have the smallest number of simplest environments they can. And so when customers that standardized on OpenShift really wants to be able to standardize OpenShifts, both in their on premises environment and on AWS and get managed service options just to remove the undifferentiated heavy lifting. >> Hey, what's your take on the product marketing side of this, where you got open-source becoming very enterprise specific, Red Hat's been there for a very long time. I've been user of Red Hat since the beginning and following them, and Linux, obviously is Linux where that's come from. But what features specifically jump out in this offering that customers are resonating around? What's the vibe here? >> John, you kind of alluded to it early on, which is I don't know that I'd necessarily call it Hybrid but the reality is our customers have environments that are on premises in the cloud and all the way out to the Edge. Today, when you think of a lot of solutions and services, it's a fractured experience that they have between those three locations. And one of our biggest commitments to our customers, just to make things super simple, remove the complexity do all of the hard work, which means, customers are looking for a consistent experience environment and tooling that spans data center to cloud, to Edge. And that's probably the biggest kind of core asset here for customers who might have standardized on OpenShift in the data centers. They come to the cloud, they want to continue to leverage those skills. I think probably one of the, an interesting one is we headed down in this path, we all know Delta Airlines. Delta is a great example of a customer who, joint customer, who have been doing stuff inside of AWS for a long time. They've been standardizing on Red Hat for a long time and bringing this together just gave them that simple extension to take their investment in Red Hat OpenShift and leverage their experience. And again, the scale and performance of what AWS brings them. >> Next question, what's next for a Red Hat OpenShift on AWS in your work with Red Hat. Where does this go next? What's the big to-do item, what do you guys see as the vision? >> I'm glad you mentioned open-source collaboration at the start there. We're taking to point out is that AWS works on the Kubernetes project upstream as does the Red Hat teams. So one of the ways that we collaborate with the Red Hat team is in open-source. One of those projects is on a new project called ACK. It was on controllers for Kubernetes and this is a kind of Kubernetes friendly way for my customers to use an API to manage AWS services. So that's one of the things that we're looking forward to as that goes GA wobbling out into both ROSA and onto our other services. >> Awesome. I got to ask you guys this while you're here, because it's very rare to get two luminaries within AWS on the open-source side. This has been a huge build-out over the many, many years for AWS, and some people really kind of don't understand kind of the position. So take a minute to clarify the position of AWS on open-source. You guys are very active in a lot of projects. You mentioned upstream with Kubernetes in other areas. I've had many countries with Adrian Cockcroft on this, as well as others within AWS. Huge proponents web services, I mean, you go back to the original Amazon. I mean, Jeff Barr was saying 15 years ago some of those API's are still in play here. API's back in 15 years ago, that was kind of not main stream at that time. So you had open standards, really made Amazon web services successful and you guys are continuing it but as the modern era is very enterprise, like and you see a lot of legacy, you seeing a lot more operations that they're going to be driven by open technologies that you guys are investing in. I'll take a minute to explain what AWS is doing and what you guys care about and your mission? >> Yeah. Well, why don't I start? And then we'll kick it over to Bob 'cause I think Bob can also talk about some of the key contribution sides, but the best way to think about it is kind of in three different pillars. So let's start with the first one, which is, around the fact of ensuring that our customer's favorite open-source projects run best on AWS. Since 2006, we've been helping our customers operationalize their open-source investments and really kind of achieve that scale and focus more on how they use and innovate on the products versus how they set up and run. And for myself being an open-source since the late 90s, the biggest opportunity, yet challenge was the access to the technology, but it still required you as a customer to learn how to set up, configure, operationalized support and sustain. AWS removes that heavy lifting and, again, back to that earlier point from the beginning of AWS, we helped customers scale and implement their Apache services, their database services, all of these different types of open-source projects to make them really work exceptionally well on AWS. And back to that point, make sure that AWS was the best place for their open-source projects. I think the second thing that we do, and you're seeing that today with what we're doing with ROSA and Red Hat is we partner with open-source leaders from Red Hat to Redis and Confluent to a number of different players out there, Grafana, and Prometheus, to even foundations like the LF and the CNCF. We partner with these leaders to ensure that we're working together to grow grow the overall experience and the overall the overall pie, if you will. And this kind of gets into that point you were making John in that, the old world legacy proprietary stuff, there's a huge chance for refresh and new opportunity and rethinking or modernization if you will, as you come into the cloud having the expertise and the partnerships with these key players is as enterprises move in, is so crucial. And then the third piece I'd like to talk about that's important to our open-source strategies is really around contribution. We have a number of projects that we've delivered ourselves. I think the two most recent ones that really come top of mind for me is, what we did with Babel Fish, as well as with OpenSearch. So contributing and driving a true open-source project that helps our customers, take advantage of things like an SQL, a proprietary to open-source SQL conversion tool, or what we're doing to make Elasticsearch, the opportune or the primary open platform for our customers. But it's not just about those services, it's also collaborating with key industry initiatives. Bob's at the forefront of that with what we're doing with the CNCF around things, like Kubernetes and Prometheus et cetera, Bob you want to jump in on some of that? >> Sure, I think the one thing I would add here is that customers love using those open-source projects. The one of the challenges with them frequently is security. And this is job zero to AWS. So a lot of the collaboration work we do, a lot of the work that we do on upstream projects is go specifically around kind of security oriented things because that is what customers expect when they come to get a managed service at AWS. Some of those efforts are somewhat unsung because you generally do more work and less talk, in security oriented things. But projects across AWS, that's always a key contribution focus for us. >> Good way to call out security too. I think that's being built-in to the everything now, that's an operating model. People call it shift-left day two operations. Whatever you want to look at it. You got this nice formation going between under the hood kind of programmability of the infrastructure at scale. And then you have the modern application development which is just beginning, programmable DevSecOps. It's funny, Bob, I'd love to get your take on this because I remember in the 80s and during the Unix generation I used to peddle software under the table. Like, here's a copy of, you just don't tell anyone, people in the younger generation don't get the fact that it wasn't always open. And so now you have open and you have this idea of an enterprise that's going to be a system management system view. So you got engineering and you got computer science kind of coming together, this SRE middle layer. You're hearing that as a, kind of a new discipline. So DevOps kind of has won. I mean, we kind of knew this for many, many years. I said this in 2013 on theCUBE actually at re-inventing. I just recently shared that clip. But okay, now you've got SecOps, DevSecOps. So now you have an era where it's a system thinking and open-source is driving all of that. So can you share your perspective because this is kind of where the puck is going. It's an open to open world. That's going to have to be open and scalable. How does open-source and you guys take it to the next level to give that same scale and reliability? What's your vision? >> The key here is really around automation and what we're seeing you could look at Kubernetes. Kubernetes, is essentially a robot. It was like the early design of it was built around robotics principles. So it's a giant software robot and the world has changed. If you just look at the influx of all kinds of automation to not just the DevOps world but to all industries, you see a similar kind of trend. And so the world of IT operations person is changing from doing the work that the robot did and replacing it with the robot to managing large numbers of robots. And in this case, the robots are like a little early and a little hard to talk to. And so, you end up using languages like YAML and other things, but it turns out robots still just do what you tell them to do. And so one of the things you have to do is be really, really careful because robots will go and do whatever it is you ask them to do. On the other hand, they're really, really good at doing that. So in the security area, they take the research points to the largest single source of security issues, being people making manual mistakes. And a lot of people are still a little bit terrified if human beings aren't touching things on the way to production. In AWS, we're terrified if humans aren't touching it. And that is a super hard chasm to cross and open-source projects have really, are really playing a big role in what's really a IT wide migration to a whole new set of, not just tools, but organizational approaches. >> What's your reaction to that? Because we're talking that essentially software concepts, because if you write bad code, the code will execute what you did. So assuming it compiles left in the old days. Now, if you're going to scale a large scale operations that has dynamic capabilities, services being initiated in terminating tear down up started, you need the automation, but if you really don't design it right, you could be screwed. This is a huge deal. >> This is one reason why we've put so much effort into getops that you can think of it as a more narrowly defined subset of the DevOps world with a specific set of principles around using kind of simplified declarative approaches, along with robots that converge the desired state, converge the system to the desired state. And when you get into large distributed systems, you end up needing to take those kinds of approaches to get it to work at scale. Otherwise you have problems. >> Yeah, just adding to that. And it's funny, you said DevOps has won. I actually think DevOps has won, but DevOps hasn't changed (indistinct) Bob, you were right, the reality is it was founded back what quite a while ago, it was more around CICD in the enterprise and the closed data center. And it was one of those where automation and runbooks took addressed the fact that, every pair of hands between service requests and service delivery recreated or created an issue. So that growth and that mental model of moving from a waterfall, agile to DevOps, you built it, you run it, type of a model, I think is really, really important. But as it comes out into the cloud, you no longer have those controls of the data center and you actually have infinite scale. So back to your point of you got to get this right. You have to architect correctly you have to make sure that your code is good, you have to make sure that you have full visibility. This is where it gets really interesting at AWS. And some of the things that we're tying in. So whether we're talking about getops like what Bob just went through, or what you brought up with DevSecOps, you also have things like, AIOps. And so looking at how we take our machine learning tools to really implement the appropriate types of code reviews to assessing your infrastructure or your choices against well-architected principles and providing automated remediation is key, adding to that is observability, developers, especially in a highly distributed environment need to have better understanding, fidelity and touchpoints of what's going on with our application as it runs in production. And so what we do with regards to the work we have in observability around Grafana and Prometheus projects only accelerate that co-whole concept of continuous monitoring and continuous observability, and then kind of really, adding to that, I think it was last month, we introduce our fault injection simulator, a chaos engineering tool that, again takes advantage of all of this automation and machine learning to really help our developers, our customers operate at scale. And make sure that when they are releasing code, they're releasing code that is not just great in a small sense, it works on my laptop, but it works great in a highly distributed massively scaled environment around the globe. >> You know, this is one of the things that impresses me about Red Hat this year. And I've said this before all the covers events I've covered with them is that they get the cloud scale piece and I think their relationship with you guys shows that I think, DevOps has won, but it's the gift that keeps giving in open-source because what you have here is no longer a conversation about the cloud moving to the cloud. It's the cloud has become the operating model. So the conversation shifts to much more complicated enterprise or, and or intelligent Edge, and whether it's industrial or human or whatever, you got a data problem. So that's about a programmability issue at scale. So what's interesting is that Red Hat is on those bandwagon. It's an operating system. I mean, basically it's a distributed computing paradigm, essentially ala AWS concept as a cloud. Now it goes to the Edge, it's just distributed services via an open-source. So what's your reaction to that? >> Yeah, it's back to the original point, John where I said, any CIO is thinking about their IT environment from data center to cloud, to Edge and the more consistency automation and, kind of tools that they're at their disposal to enable them to create that kind of, I think you started to talk about an infrastructure the whole as code infrastructure's code, it's now, almost everything is code. And that starts with the operating system, obviously. And that's why this is so critical that we're partnering with companies like Red Hat on our vision and their vision, because they aligned to where our customers were ultimately going. Bob, you want to, you want to add to that? >> Bob: No, I think you said it. >> John: You guys are crushing it. Bob, one quick question for you, while I got you here. You mentioned getops, I've heard this before, I kind of understand it. Can you just quickly define from your perspective. What is getops? >> Sure, well, getops is really taking the, I said before it's a kind of narrowed version of DevOps. Sure, it's infrastructure is code. Sure, you're doing things incrementally but the getops principle, it's back to like, what are the good, what are the best practices we are managing large numbers, large numbers of robots. And in this case, it's around this idea of declarative intent. So instead of having systems that reach into production and change things, what you do is you set up the defined declared state of the system that you want and then leave the robots to constantly work to converge the state there. That seems kind of nebulous. Let me give you like a really concrete example from Kubernetes, by the way the entire Kubernetes system design is based on this. You say, I want five pods running in production and that's running my application. So what Kubernetes does is it sits there and it constantly checks, Oh, I'm supposed to have five pods. Do I have five? Well, what happens if the machine running one of those pods goes away. Now, suddenly it goes and checks and says, Oh, I'm supposed to have five pods, but there's four pods. What action do I take to now try to get the system back to the state. So you don't have a system running, reaching out and checking externally to Kubernetes, you let Kubernetes do the heavy lifting there. And so it goes through, goes through a loop of, Oh, I need to start a new pod and then it converges the system state back to running five pods. So it's really taking that kind of declarative intent combined with constant convergence loops to fully production at scale. >> That's awesome. Well, we do a whole segment on state and stateless future, but we don't have time. I do want to summarize real quick. We're here at the Red Hat Summit 2021. You got Red Hat OpenShift on AWS. The big news, Bob and Peder tell us quickly in summary, why AWS? Why Red Hat? Why better together? Give the quick overview, Bob, we'll start with you. >> Bob, you want to kick us off? >> I'm going to repeat peanut butter and chocolate. Customers love OpenShift, they love managed services. They want a simplified operations, simplified supply chain. So you get the best of both worlds. You get the OpenShift that you want fully managed on AWS, where you get all of the security and scale. Yeah, I can't add much to that. Other than saying, Red Hat is powerhouse obviously on data centers it is the operating system of the data center. Bringing together the best in the cloud, with the best in the data center is such a huge benefit to our customers. Because back to your point, John, our customers are thinking about what are they doing from data center to cloud, to Edge and bringing the best of those pieces together in a seamless solution is so, so critical. And that that's why AW. (indistinct) >> Thanks for coming on, I really appreciate it. I just want to give you guys a plug for you and being humble, but you've worked in the CNCF and standards bodies has been well, well known and I'm getting the word out. Congratulations for the commitment to open-source. Really appreciate the community. Thanks you, thank you for your time. >> Thanks, John. >> Okay, Cube coverage here, covering Red Hat Summit 2021. I'm John Ferry, host of theCUBE. Thanks for watching. (smart gentle music)

(upbeat music) >> Narrator: From around the globe. It's theCUBE. With digital coverage of IBM Think 2021, brought to you by IBM. >> Welcome to theCUBE's digital coverage of IBM Think 2021. I'm Lisa Martin. Next joining me is Leo LaBranche, Director of global strategic initiatives at AWS. Leo, welcome to theCUBE. >> Thank you, happy to be here. >> So talk to me about AWS and IBM what's going on there with their relationship. What are some of the things that are significant for both partners? >> Yeah, absolutely, IBM's relationship really started with us around 2016. I would say it was a little bit more opportunistic at the time. We knew there was an opportunity to go to market together. We knew there were some great things we could do for our customers. But we hadn't quite cracked to crack the code so to speak on when and where and why we were going to partner at that point. You fast forward into this sort of 2017 to 2019 timeframe. And we became, I'd say a lot more intentional about how we were going to go to market, where we were going to invest areas such as SAP, et cetera. Were an early one that we identified and I'd say the ball really started rolling sort of in the 2018 timeframe. A combination of a number of different things occurred, you know, the acquisition of Red Hat, obviously, you know Red Hat is a very significant, was a very significant partner with AWS, prior to the acquisition. And so post acquisition, you combine that with ramping up a workforce, focused on AWS, combined with a number of different competencies that IBM really invested in, around migration as an example, or SAP. And, you know, the, the ball really starting to roll quickly after that, you know, I'd say the last 18 months or so we both invested significantly in the relationship expansion around the world really, and joined resources and capability to make sure that we're going to markets sort of partnered intentional way rather than sort of an opportunistic. >> Oh, go ahead. >> So I'd say so far, that's absolutely been paying off in that we are seeing a number of wins all around the world across a broad set of industries, as well as the broad set of technologies. So, you know, the strength of, of IBM's consulting services in particular, but also their software combined with the strength of our platform has really proven to be successful for our customers. >> So you said started in 2016, really started taking shape in the last couple of years, that Red Hat acquisition. Talk to me about what's in this for customers. I imagine customers that are expanding or needing to move workloads into the cloud, or maybe more of a hybrid cloud approach. What are some of the big benefits that customers are going to gain from this partnership? >> Yeah, absolutely. And the reality is IBM has a long and storied history and relationship with their customers, right? They run and manage many of the workloads. They really know the customer's business incredibly well. They have domain expertise and industry and then the technology expertise from a professional services perspective to really help navigate the waters and determine what the right strategy is around moving to the cloud, right? You combine that with the depth and breadth of the skills and capabilities and services that AWS provides. And the fact that IBM has invested significantly in making sure their professional services are deeply steeped in our technology and capabilities. It's a great combination of really understanding the customer's needs. Plus the art of the possible, honestly, when it comes to technology that we provide, really can accelerate both and mitigate risk when it comes to moving to the cloud. >> That risk mitigation is key. So you guys recently, AWS recently launched if I'm going to get this right. Red Hat OpenShift Service on AWS or ROSA. Can you talk to me a little bit about ROSA? >> Yeah so, Red Hat obviously very well known, and ultimately adopted within the enterprise. We have built a fully managed service around Red Hat on AWS. What that means is you'll have access to essentially the capabilities that that Red Hat would normally provide but all containerized within a solution that allows you to get access to AWS services, right. The other benefit here is normally you would get sort of a multi-vendor with invoicing and cost model, right? Where you get billed from Red Hat, get billed from Amazon. You get billed from IBM. In this case, it's essentially a wholistic service in which there's a single sort of invoicing and vendor relationship, right. So it's combination of capabilities that normally would be provided via Red Hat combined with access to cloud and all the interfaces and capabilities around OpenShift, et cetera, that you could do there. Plus a more interesting and beneficial commercial model. >> So streamlined pricing models, streamlined operating model for customers. Talk to me about some of the customers that have adopted it. Give me a look into some of the industries where you've seen good adoption and some of the results that they're gaining so far. (loud engine buzz in background) >> Yeah one second, sorry, it's like insanely loud. >> Man's voice: No worries, let's just take a pause. We can just, so yeah we'll go right as if Lisa just finished the question. So just take a breather as long as it needs. And then whenever you're ready whenever that's died down, just like give it a beat give it like a second and then just right as if she just asked the question. >> Answer the question then. >> Man's voice: Yeah. >> All right. >> Man's voice: I'll cut it out as if nothing happened. >> Give me two minutes. So actually on your question, I know the answer from things that I've done recently, but was there an official answer Theresa I'm supposed to give on this? >> Teresa: No, not really I mean, I think what you're talking about on Red Hat specifically >> Right, ROSA's early adoption. >> Teresa: Yeah, no I mean, there there's a product page and stuff, it's really about just the ability of customers to be able to run those solutions on the AWS console it is really the, the gist of it. And that it's fully integrated. >> I'm not sure some of the examples I know of are publicly refrenceable. >> Lisa: That's okay, you could just say, you know, customer in XYZ industry, that's totally fair. I'm not so worried about that. >> Teresa: Yeah I don't know if so ROSA. Lisa, ROSA was just launched in March and so it's brand new so I don't have the customer stories yet. So that's why I don't have them listed for Leo. >> Lisa: Oh, that's fine, that's totally fine. Maybe we can talk about, you know, since the launch was just around the corner, some of the things that have been going on, the momentum interest from customers, questions conversations can be more like that as you're launching the GTM. >> Yeah, and there's certainly a couple of industries that they have targeted I'm going to go with that as well as a couple of customers, like, >> Teresa: Thank you, Lisa. >> Lisa: Sure, of course. >> I think they went around the corner. (Lisa laughs) >> Lisa: All right, let me know and I'll re-ask the question. I'll tweak it a little bit. >> Yeah, go ahead. >> Lisa: All right, so talk to me about, ROSA just launched very recently. Talk to me about customer interest, adoption. Maybe some of the industries in particular if you're seeing any industry that's kind of really leading edge here and taking advantage of this new managed service. >> Yeah, absolutely, so no big surprise, right? The the existing customer base that currently uses Red Hat Linux, and some of the options in OpenShift, et cetera that are out today are then the right customers to potentially look at this when it comes to moving forward. You know, industry-wise certainly there are areas within financial services, banking, insurance, et cetera. We're also seeing some around manufacturing, a little less so, but some in media and telco as well. So it's, it's a broad swath of any applicability of Red Hat and OpenShift is somewhat universal but the early customer bases has largely been sort of in those three areas. >> What I'm curious what are the key target audiences are these, Red Hat customers are these AWS customers. IBM all three? >> Yeah. I mean, there isn't necessarily the perfect customer that we're necessarily looking for, as much as if there are existing customers that are currently using Linux or using Red Hat. If there are someone who, a customer who currently has a relationship with either AWS or IBM there's an opportunity to essentially look at it from any of the angles. If you're already on cloud or you've already experienced AWS in some shape or form there's an opportunity to potentially to leverage ROSA, to further expand that capability and also have some more flexibility so to speak. If you're already using IBM as a professional services provider and advisory firm then they absolutely have the expertise and understanding of this product set to help you understand how it could be best leveraged, right. So you can kind of look at it from either of the dimensions. If it's a customer that's completely new to all of us then we're happy to talk to you. But it's something that will definitely take a little bit more explanation to understand as to why you should, or shouldn't consider us with this multicloud OpenShift type solution. >> Got it, let's shift gears a bit and talk about SAP. When we think about customers looking to migrate SAP workloads to the cloud, looking at the right cloud providers those are really big, challenging strategic decisions for leadership to make. Talk to me about why when you're in those conversations AWS is the best choice. >> Absolutely, I mean, really AWS, let's say with SAP and with with many of our services is really looking to give all the options that you could conceivably need or want in order to engage in cloud migration and transformation. press AP specifically, right? There are a number of different options, right. You could go for a lift and shift or upgrade from many databases to a suite on SAP HANA could potentially look to modernize and leverage cloud services, post migration as well. And then the sort of final pinnacle of that is a complete transformation to S four or S four HANA as far as why AWS specifically beyond just choice, you know, from a cost perspective, it's pretty compelling. And we have some pretty compelling business and use cases around ultimately the cost savings that come when you move from an on-premise SAP implementation to cloud beyond that, usually the cloud migration itself is an opportunity to condense or reduce the number of instances you're paying for, from an SAP perspective, which then further reduces cost. From a reliability perspective, you know, AWS is the world's most secure, extensive reliable cloud infrastructure, right? Any of the instances that you put on AWS are instantly I'd say fairly instantly provisioned in such a way that they are provided across multiple what we call Availability Zones which is giving you sort of the resiliency and the stability that really no other cloud provider can provide. On the security front, I mean this is really a unique position in that AWS plus IBM and the security, the depth in security services you know, numerous years of professional services work that IBM has done in the security space. You know, they have roughly 8,000 or so cybersecurity experts within IBM. So the combination of their expertise in security plus the security of our platform is a great combination. I'd say the final one is around performance, right? AWS offers many more cloud native options around certified SAP instances, specifically all the way from 256 gigabyte option all the way up to 24 terabytes which is the largest of its kind. And as those who have implemented SAP know it's a very resource intensive. So having the ability to do that from a performance perspective is a key differentiator for sure. >> Talk to me from your opinion about why IBM for SAP on AWS, why should customers go that direction for their projects? >> Yeah, you know, IBM has over 40 years of experience in implementing SAP for their customers right. And they've done, I think it's over 6,000 SAP migrations, 40,000 global SAP consultants around the world. Right, so from a capability and depth of experience, you know, there's a lot of nuance to doing it. SAP implementation, particularly one that's then moving from on-prem to the cloud. You know, they've got the experience right. Beyond that they have industry specific solutions that are pre-configured. So I think that there's 12 industry specific solutions pre-configured for SAP, it allows, you know roughly 20 to 30% acceleration when it comes to implementation of platforms. So combination of just depth of experience, depth of capability combined with these solutions to accelerate are all key reasons for sure. >> The acceleration you bring up, sorry is interesting because we saw in the last year the acceleration of digital transformation projects and businesses needing to pivot again and again, and again to figure out how to survive and be successful in this very dynamic market in which we're still living. Anything industry-wise specific that you saw that was really driving the acceleration and the use cases for ROSA in the last year? >> Yeah so, you know SAP, we saw an interesting trend as a result of what's everyone's been experiencing in the last year with COVID, et cetera. You know, many organizations postponed large ERP implementations and large SAP migrations, because of what you just said, right. They weren't entirely sure what would need to be done in order to survive either a competitive threats or more just the global threats that were occurring. So what we saw was, really none of the transformations went away. They, were put on hold for a period of time let's say six to nine months ago maybe even a year ago almost. In lieu of I would say more top line revenue generating or innovative type solutions that maybe were focused specifically at, you know, the changing dynamic with COVID. Since then we've seen a combination of those new ideas, right? Combination of the new innovation around healthcare of course, but also public sector and, you know a lot around employment and then engagement there. We've seen a combination of those new ideas and new innovations with the original goal of optimizing transforming SAP ERP, et cetera. And then combining the two to allow access to the data, that sits inside the SAP implementation the SAP. Combine the data in SAP with all these new innovations and then ultimately use that to sort of capitalize on what the future businesses are going to be. That's been huge, it's been very interesting to see some organizations completely change their business model over the course of the last 12 months. In ways they probably had never intended to before right? But it's, absolutely become an opportunity in a time of a lot of challenges. >> Agreed there are silver linings and we've seen a lot of those interesting opportunities to your point that businesses probably would never have come up with had there not been a forcing function like we've been living with. Leo thank you for joining me today. Talking to me about what's going on with IBM and AWS. We'll be excited to follow what happens with ROSA as it continues to roll out. And we appreciate you joining us on the program. >> Absolutely thank you for your time. >> For Leo Labrunch I'm Lisa Martin. You're watching theCUBE's digital coverage of IBM think 2021. (upbeat music)