(upbeat music)
>> Announcer: Live from San Francisco, it's theCUBE!
Covering AWS Summit 2017.
Brought to you by Amazon Web Services.
>> Welcome back to theCUBE.
We thank you so much
for hanging out with us today.
We've had an amazing day,
Jeff Frick, George Gilbert with me, Lisa Martin.
I think guys,
first impressions or overall impressions of the day,
it started with Werner Vogels very energetic,
very passionate keynote.
It was almost what can't Amazon do.
The amount of services that they're offering,
the amount of customer logos
validating, presumably,
and substantiating all of these services.
It was really quite eye opening.
>> Yeah. >> I think for me.
But also some of the use cases that they've shared were,
those that were on main stage,
those that were in breakout sessions or here with us,
really shows that the culture that they're building,
or have built over the last 11 years now at AWS,
is really one of experimentation,
failure is okay,
let's keep moving.
Speed, speed, speed and undulate.
>> So many, so many great things.
I just want to touch on some of the culture,
pivot off the cuture.
For instance, Andy Jassy and his keynote.
And I think the culture is so, so important.
But one of the things he talked about
is they banned PowerPoint.
He said because it wasn't interactive,
wasted a lot of time,
no one was prepared for a deep dive
'cause they just put the slides together.
And they went to this thing he called
the six page narrative,
which I thought was pretty interesting.
And everyone reads the narrative
at the beginning of the meeting.
So, you know,
everyone's busy. >> Before the meeting.
>> Yeah. >> Oh.
>> But I think at the beginning of the meeting.
So everyone's
had a common point >> Right.
>> 'Cause let's face it,
everyone's busy,
no one really preps as much as they should
before the meeting.
So now, they force it
with a 20 minute read the narrative.
And so everyone is at the same kind of depth of knowledge.
I thought that was really powerful.
And then, to write the press release
and the FAQs- >> That was phenomenal!
>> Before you write
the line of codes. >> Yes!
>> So what are the issues that people are going to raise
and what's the really exciting value
that you're delivering to the market
that you defined
in a press release. >> Yeah.
>> Lisa: Yeah.
>> You know, I think it's great stuff.
>> That was as interesting,
I thought, as any of
the product releases. >> I agree, yeah.
>> 'Cause it almost told us
how they keep the wheel spinning so fast.
>> Right >> Exactly!
But that is really culturally different
than I think a lot of the companies
that we talked to who,
when you get to a six dot one dot two
press release. >> Yeah.
Is it really that interesting?
>> Right, right. >> So that was really,
really revolutionary.
And I think speaks to your point,
you know, how have they been able to build
this dominance this quickly
and not let their competitors
gain on what they project as a six
or seven year advantage.
>> Like he said though,
'cause they don't look at the competitors.
They just keep movin', right.
And they didn't have the
kind of the legacy thing holding them back.
You know, Clayton Christensen,
animator's dilemma.
They just kept moving forward.
But I thought the other really insightful thing
that came out of his fireside chat
was the conversation around third-party sales
when they were still just Amazon.
And do they let other people sell
on their platform.
And he said "You can't fight gravity".
So, it goes back,
it reminds me of like when Schwab
went to $19 trades.
Dave Pottruck tells the story
of online trading.
And they were giving up these expensive commissions
but he basically said
"If I don't kill my own business,
somebody else is going to do it for me.
So I better be the one that kills it
and at least try to take advantage
of that next wave".
Really powerful concepts.
>> But there's an analog to the "fulfilled by Amazon",
which is where the third-parties went.
Where they sort of, essentially,
took the eBay model
and said "We're going to essentially make
our fulfillment platform,
and commerce platform,
stronger because we're going to
take all of those other third-parties".
And then what they did with Amazon,
AWS, was take the whole
commerce platform. >> Right.
>> And open it up for other people
'cause that made it more powerful for them.
And there's still more to come.
What they really didn't talk about.
They talked a lot about AI,
and mostly at the framework
and tools levels.
And where framework levels would be for,
you know, world-class scientists
and the tools would be
for data scientists.
But when they talked about the image recognition,
the voice recognition,
and text-to-speech,
things like that,
they were saying then they're leveraging the Amazon data
and training those models
so that mere mortal developers
can do that.
What he didn't say,
and when we had their product marketing guy here,
what he didn't want to say
was there's whole lot of other areas
where Amazon the commerce company,
the retail company,
has data that no other cloud has
that they can offer.
Not to think about really
the machine learning as tools again,
but as semi-finished applications.
>> Right.
>> And I think that's going to be pretty profound
differentiated versus other clouds.
>> Right.
And just the basic scale, right.
The slide that Werner showed,
not only with all the customers
and partners of this,
but just the breadth of services
and the way they keep adding more
based on whatever your special function is.
I need High I/O,
I need ML,
I need really cheap cold storage,
I need whatever.
They can apply the scale to all those kind of sub-segments
and offer a breadth at scale
that, you know,
pretty tough to compete against.
>> Absolutely!
And they continue to innovate.
And Andy's fireside chat,
he was really kind of talking about why
and how they're able to do that.
Being customer focused,
not having to look at the competition,
is a major advantage.
And one of the themes I also heard
and felt today was
you think back 11 years ago
to their genesis,
they were very much focused on
the start-up community,
the developers,
really won long ago
the hearts and the minds of those developers.
Because they were the ones
that would try and innovate,
and fail,
and try again. >> Right.
>> But as the code becomes,
in I think Werner's words this morning,
"the new normal",
they've done a very good job of continuing to foster
and enable developers within start-ups
and those entrepreneurs who
want to start SaaS companies. >> Right.
>> All the way up to the enterprise.
As we see the dynamic
and buying software change dramatically,
thinking about the Amazon marketplace as a great example,
we are now seeing the C-suite
being mandated sometimes by the board.
You've got to move more applications into the cloud.
Well how do I do that?
>> Right.
>> So it's developers,
it's lines of business like the marketing folks,
or the sales folks
that Shadow IT say "We need to do this.
You can help us move fast enough".
All the way up to the C-suite
and the board.
And they've done a great job
of expanding the conversation.
>> Jeff: Right.
>> Expanding the services
to really target multiple audiences
and meet a lot of pain points.
>> You know, there was a press briefing,
pre-brief for the announcement
of the marketplace expansion yesterday.
And what came out really interesting was,
you know, when you go to the Amazon marketplace homepage
and there's dozens of categories
and about, I think it's 35 hundred actual products
from third-parties
and 12 hundred vendors.
And, you know,
you can't go to an enterprise,
you can't go to JP Morgan
and say "here, you know, go to town".
But what IBM does with sort of their own
rich library of stuff
is they have their global business services
and their industry solutions development groups.
They take the piece parts and put solutions together
for their customers.
But what Amazon is now in a position to do
is they have solution architects working either for them,
who are billing out at maybe
two- or three-hundred thousand a year,
or who are working for VARS
who turned into manage service providers
who configure these solutions.
And so, what looks like a self-service marketplace
now can serve, you know,
a bank with a hundred billion in assets
or a trillion in assets
because there's now the IBM equivalent
of a system integrator
who can put the pieces together.
And who can run them for you
if you don't want to.
>> Right, and have the aggregated data
of everybody else runnin' those services.
So for best practices and stuff,
you're leveraging the whole ecosystem,
not a single instance at a single company.
And that is so big!
>> And that was actually,
that was one of the themes of our last guest.
From Datadog.
Which is, they can watch so much of what's going on.
Not just a customer's workload,
but maybe they're not doing it now
but they will be able to do it in the future,
where they can look across workloads
and identify best practices in configurations
and things like that. >> Right.
>> And then you send that back to the customer
and they pay for that advice.
>> Right.
It's just interesting, you know,
three years ago the conversation
was all about security around public cloud
and, you know,
we're done with that conversation.
Especially since most security breeches
are people lose their laptops, right.
It's an employee, or a disgruntled employee.
But the thing that's interesting to me
on this start-up and rent versus own
is, again, the answer to every question in a Cube interview.
Why do you want to do the undifferentiated heavy lifting
of managing infrastructure?
Those guys, ThinkLogic,
still like 14 people
and a couple of dozen developers
that are attacking the IOT space.
They would never even get an approved vendor status
at somebody like Boeing or GE.
They would never even get to the procurement issue.
But now, as part of this marketplace,
you know, they can come in either as a partner,
part of a solution, an adjunct,
part of an SI,
or as a standalone app
that you still buy through your approved vendor process
with AWS.
Why would you go anywhere else?
>> Right.
That was a great point
that you brought up a number of times today.
Showing, not only how Amazon is innovating internally
and to enable the start-ups to the enterprises
from a public cloud perspective,
but they're also enabling businesses to be born
that would never have gotten off the ground.
>> Jeff: Right, right.
And, to your point,
it's very valid about even becoming an approved vendor
for a company the size of ThinkLogics,
they would never have been able to do that.
So, it's really exciting I think overall,
I think we'd all summarize the day
as a very positive, very enlightening.
I think, for me,
I was really excited to hear what was going to be going on
for IOT and Hybrid.
Heard some interesting things there today,
so I think that's just a dot dot dot to be continued.
>> Yes.
>> I think overall,
really strong announcements from them.
The passion was there.
Culturally, I think they really reap what they sow
and I think that was reflected
in the conversations that we were able to have today.
>> One thing I want to ask you about, George,
you're a smart guy.
Speed of light's
too damn slow. >> So you think so.
(laughter)
>> The speed of light's too damn slow.
>> Right.
>> Jeff: Hear it over and over and over again.
>> Yes!
>> And still, cloud-based,
soft underbelly of cloud,
you got to be connected.
Do you think that the speed of light issues
with Edge and shifting resources,
co-locating storage compute in the data.
You see any really big hurdles
that are just really scary?
>> Like, following on the "dot dot dot",
computing always follows a pendulum.
Centralization, decentralization.
No side ever goes away,
it's just a change in emphasis.
And we're going to see some analysis
have to move to the edge
because for the speed of light, you know,
your smart car, you know,
it doesn't have time to say
"That looks like an old lady
who's actually in the crosswalk,
you know, I'm going to go back to the cloud
and ask whether I should plow through her
or, you know, the car next to me".
You know, that needs a low-latency analytic.
>> Jeff: Right, right.
>> But at the same time,
and one of our guests was talking about it,
if you're looking at the
pressure at valve at, you know,
a thousand-mile pipeline,
you probably don't need to react instantaneously.
You send that back to the cloud
and it'll look at it over, you know,
a period of time
and say "This one's looking like it's going to leak".
>> Right. Anomalies.
>> So, different scenarios.
>> Okay.
>> And, unfortunately,
we are going to have to say "dot dot dot".
We talked all day about this!
Jeff Frig, thank you so much!
George Gilbert,
what a fantastic day we've had here at the AWS Summit
in San Francisco.
We thank you for joining!
You can follow all of the replays here
on siliconangle.tv.
And Jeff, what do we got comin' up next week?
We're at several events.
NAB next week.
>> NAB, Oracal, Modern Customer Experience,
and you're doing a red carpet,
I guess a green carpet award show.
>> A green carpet award show
at the Computer History Museum next week.
So stay tuned, stick around on siliconangle.tv to find out
all the things we're doing.
It's going to be a exciting spring.
Again, thanks for joining.
See you next time.
(light, upbeat music)