 Ladies and gentlemen, welcome to the 2019 Red Hat Summits! My name is DJ Inferno. If you're ready to get this started, make some noise! This is the accelerating pace of innovation. It's just fascinating to be part of this as it's happen, happen. The code you're right can help. Ladies and gentlemen, please welcome Red Hat President and Chief Executive Officer, Jim Whitehurst. David, seeing so many people here, I just have to say, wow. Thank you so much for being here. We're thrilled to have you here. Welcome to Boston for the Red Hat Summit 2019. Our theme this year is expand your possibilities. And every year we have a bottom-up collaborative effort to determine the theme for the summit. We don't do this in top-down. Red Hat doesn't do anything top-down. And what the team saw as they looked and observed what our customers were doing was that we're seeing so many really novel and exciting things happening with people using technology to solve problems in ways we could have never imagined. And that explosion of what's possible is really what we want to highlight over the course of the next few days. So we hope you'll spend some time. You'll get out of your comfort zone. You'll learn from those around you this week. I really encourage you to try to meet some new people. We have phenomenal sessions. A lot of great customers and Red Haters and partners presenting. But I hope you'll also learn from each other. It's such an important part of the summit and what we're looking to try to do. And we really hope that you'll walk away with an expanded sense of what's possible. Because the possibilities have never been greater. And so please think about expanding your aperture. The impact that you can have as yourself and within your organizations. Look, I know expanding your aperture can be hard because it requires getting out of our comfort zone. And I think at times we forget how the context around us is so impactful in terms of setting the walls around what we think is possible. And I wanted to spend a few minutes with an analogy that I hope illustrates this point. For those of you who have been to a summit before, you know I love history. And while it's a tech conference, I have to throw in a history lesson every year. So let me take you back in time. Let me take you back in time to an age before we believed in science or rationality or observation. When we lived and worked bus differently than we do today. When we weren't allowed to ask questions or debate what the world meant or how it behaved. Orders came down from on high. Knowledge wasn't something that was developed via observation. It was something we were supposed to take on faith. It wasn't discovered. It didn't emerge. It came from a higher authority. And in a world like that, let's look at what we believed. First we believed the world was flat and that the earth was the center of the universe. Why? Because that's what we were told. We believed there were four humors or temperaments that controlled our health. Why? Because that's what we were told. And we thought our eyes emitted beams of light to illuminate what's in front of us. I'm not kidding. This isn't Game of Thrones. I didn't make this up, really. This was in the medieval times in Europe. Why? Because that's what we were told. But there were people around us whose curiosity could not be contained. Why? Because they doubted what they were told because it didn't match up to what they deserved. People like Eratosthenes observed that if you looked at the shadows that came down from towers in Saini and in Alexandria, which are about 100 miles apart, there was a different cast of a shadow. And he hypothesized in 250 BC. He was a librarian at the library in Alexandria. He hypothesized that the difference in shadows could only be caused if the Earth wasn't flat, if it was round. And from that observation, he actually calculated the circumference of the Earth in 250 BC to an extraordinary degree of accuracy based on observation. Galileo observed with his new telescope the orbits of planets that was inconsistent with the Earth being the center of the universe. And a lot of people observed the fact that ships navigated the Earth without falling off. And all of those observations became questions, and brave individuals asked those, even if it meant imprisonment at times and even death. And again, they asked those questions because what they saw in the real world didn't necessarily match the dictates that came down from on high. And they realized perhaps there was a better way to acquire knowledge, one that included things like hypothesis, experimentation, and observation. And while those individuals often worked alone, they typically shared their work and ideas built upon ideas. And finally, this brought Francis Bacon to the conclusion that maybe we should rethink how we think about thinking. Bacon is often known as the father of experimental research, the Baconian method, the scientific method. And the core of the scientific method is a methodology around how we determine what's fact, how we think about knowledge. And it's built on hypothesis, experimentation to validate and ultimately observation of those results. And what became knowledge are the ideas that stood the test of time, the ones that were confirmed by observation and the results of experimentation. Now, importantly, these early pioneers also believed in free inquiry. Anyone should be allowed to ask questions and no one should be able to stop you. Now, I want to pause for a second and be clear. Their work was not in and of itself scientific discovery. The scientific method isn't a what, it's a how. It's how we go about determining knowledge. But let's look at how impactful that change in how really was. The scientific method began to change our understanding of nearly everything about the world that we live in. It literally changed the way we think from deductive to inductive. And if we think about the mega movements that were spurned after the scientific method, it included the Industrial Revolution. Because the methods and discoveries of the scientific method inspired inventors of the steam engine, the telegraph, the Bessemer steel process. It shouldn't be a surprise that the age of enlightenment emerged soon after the scientific method. Why? Because as soon as we realized that the Earth wasn't the center of the universe, it allowed us to see our own place in the world differently. So natural extensions of that were individual liberty, constitutional government, religious tolerance. Or if we think about health and medicine, anatomical theory and optical innovations changed our understanding of the body and illness. So things like germ theory and the advances in surgery all came about because of the scientific method. And literally the scientific method is still how we do science, math, and astronomy today. Now, except in a few cases, very few of us here are doing scientific research. For most of us, our challenge is around creation, innovation. How do we creatively solve real-world business problems? How do we imagine and make real the possibility of technology to move our businesses forward? And how do we do this as individuals? How do we do it as teams? How do we do it as organizations? And how do we ultimately do that as society at large? Now, organizations around the world, including organizations you'll hear from tonight that I'll have on stage, are adopting methodologies like agile or DevOps. And methodologies are clearly a part of the solution in order to innovate faster. But what you'll also hear, and you'll hear tonight from organizations that we'll have on stage, is that they recognize that true innovation requires more than just a change in process. It's broader than that. Innovation today requires a fundamental change in how we do work. How we determine the work that needs to be accomplished, how we apportion it across teams, and how we interact and engage with each other to actually get that work done. Now, Red Hat has been involved in open source for more than 25 years. And open source is certainly part of that solution, but it's bigger than just the code. It's how people work together to engage, to collaborate. It's how do you get the best ideas to emerge, and how do you get organizations to turn those ideas into reality? It's about beliefs. It's about values. Ultimately, it's a new how. It's a new how, in this case not for scientific discovery, but it's a new how for innovating at scale. Whether that's within organizations, across organizations, or in some cases like Linux, literally globally. Back in 2008, we tried to tease out the description between open source, which is a license for software, from this new way of operating, which we call the open source way. Now, when the pioneers of open source started, they were really just trying to solve problems to make their lives easier. But as open source grew, it really began to build things that made everyone's in IT's life easier. And what we've seen over the last five or six years is it has exploded beyond that initial kind of help those involved to transform technology as we know it, with things like Linux, and Hadoop, and Kubernetes, and Ansible, and the list can go on and on. It's exploded in its mainstream, and it's how innovation happens. Open source has become the platform to support innovations that matter and the vehicle for delivering them. But importantly, open source has become the how that organizations are using to accelerate their ability to create and innovate. And today you'll hear from many organizations about their own journey to accelerate innovation, and it's so exciting to hear about what they're creating. You'll hear some of the largest and most respected companies in the world, not only using open source technologies, but also the open source way to change their cultures. It's not just IT users that realize the power of open source to drive innovation. Today, virtually every IT vendor recognizes that open source is a critical component for driving information technology. And we would not be here today without the support of a myriad of partners who've invested in open source and have been instrumental to getting us where we are. One of the first partners was IBM, who early days saw the power of open source and invested heavily to bring it to the enterprise. And their investments yesterday, today, and tomorrow have allowed and will allow us to accelerate on our mission to truly expand our possibilities. In October, we saw the ultimate validation of that commitment to open source when IBM announced its attention to acquire Red Hat. And so I am thrilled to have Ginny Rometti here tonight to discuss why she and IBM see Red Hat in open source is so important to their and will soon to be our future. Welcome Ginny. Please welcome IBM Chairman, President and Chief Executive Officer Ginny Rometti. Thanks so much for being here. My pleasure. I learned a lot. You have to let it stop moving. Ginny, thank you so much for being here. It's great to have you. My pleasure. It's been a wild ride over the last six months, hasn't it? Yep, for both of us. Well, look, I mentioned before, and I think most of the audience knows, but I think it'd be great to hear a little bit more about IBM's history with open source and commitment over the last, well, 20 years. Well, it goes back a millennial. No, I'm kidding. I want to see if everyone was paying attention to your story. Did you really give a history lesson every conference? Every year. I love history. I think there's still a lot of lessons we can learn. I think it was a, I had forgotten some of that already. And so it was a great opening, I think, actually. And I think your point about how innovation happens is really the crux of it. Because I think about, we'll come to perhaps, you know, why we're acquiring Red Hat and so happy about it. But I always say the brilliance of any transformation isn't necessarily what you do, it's how you do it. And so I couldn't agree more. It's a great opening for you there. So first, thanks for having me to open it. And you started to talk about our history. And I guess that was your first question about the history with open source. Yes, Ben, we've been working together over 20 years. And I think some people forget that. And how early IBM invested in open source and saw that opportunity. Yeah, I was actually going back and remembering it was actually in the 70s, way before, to be clear, way before me in this, that it was 74, little tongue in cheek, right? IBM did System R, kind of precursor to the relational database. But to Jim's point, it was 98, Apache, and then it was 99. So when he says we invested in Linux and in Red Hat, it was a billion dollars. And in 99, that was a lot of money. I mean, it's still a lot of money. Yeah, let's say it's a lot of money today. Yeah, and so it's 34 billion. And so just to be extra clear. 34 billion. That's a great deal. It's a bargain. And so I just, I go back in that time and then I just think about everything that has followed. So for those, whether it was Eclipse, Hyperledger, maybe we'll talk a little bit about that. You know, Istio, there's quite a long list that goes on, right? So I think those roots are deep between the two of us. And some of the beliefs, I think, and this is something Jim and I have talked a lot about, the beliefs, meaning the beliefs in that how important an ecosystem is to drive innovation, unless you think you can hire every smart person there is, which none of us can. And so belief in the ecosystem, a true belief, and I have really come to appreciate two big things. One is the importance of open governance. And it is just vital to open source. And then the second piece is around, if you're going to take, you have to give. And so, I mean, it's really been something we've been trying, that we have instilled for decades about that that's okay. You use it, but you've got to contribute in a big way to there. So it's a history of not just the what we did. To me, it's as important those beliefs and how we did it. And so IBM, along with Red Hat, have been massive contributors over the last 20 years to open source, which is great. Why now? Why Red Hat? What did you see in open source that said, well now it's important to not just partner in this, to actually be the leader in open source? Well, that is to me, I mean, that's the whole reason, when you asked me to join, I wanted to be sure to come. First, to you and the team, and over its long history, I mean, you have built a wonderful company, a wonderful company, and maybe even more important, a wonderful culture, right, and a culture about open. And so to... And a wonderful ecosystem. Yeah, no, no, I think it's important really to pay tribute to what you have done and taken it to this point. And so I think what brought Jim and I together, as we talked about it over, you know, a good period of time, was we both saw an even bigger opportunity in front of us. There's many joint clients and many not joint clients in the room. And this opportunity that there's so much, what I would call mission critical work, that can still yet move to the cloud. And that's public, that's private, except for so many companies, they've started with something already. And to get there, it means all these different islands, whether it's public clouds, private clouds, traditional, you've got to have some way to modernize and connect all those pieces together. And the timing in our mind is really right between you now have, you know, if I could call it a fabric, and what you guys have built and what will continue to be built between obviously Linux is key, but then you've got Kubernetes containers that are really going to form what I think is a standard for the world to do this. And so the why Red Hat now is those things have really all come of age. I think the opportunity is right in front of so many clients. It's a problem. They want to address this. And it isn't just to move everything to the cloud. It depends where data has to be, where you're probably, you know, there's lots of reasons you're going to end up with an environment that's hybrid. And there's a great way to pull more innovation in. So to me, the timing was exactly right for this now. It's kind of a chapter two for lots of clients and the technology and the demand for open is so strong. I think what we, you and I would both like to see is Red Hat. We'd like to see OpenShift. It be the platform that allows people to take their innovation, get more of it and put it wherever they want to put it. I'll clap for that. That's what we're going to do. So you did pay a lot of money for a company with no IP. I think you recognize that, right? Yeah, I'm quite well aware. As I would say, I was born at night. It was not last night. So culture is critically important. I would argue to Red Hat success. And we've worked to build a distinctive culture. I know IBM has been, I mean, it's a storied over 100 year old company with a really distinctive culture. How do you see those cultures working together, coming together? Well, working together is the right word. Coming together is not necessarily the way I would describe it. Jim and I have talked. This was one of the most important things because to preserve what open source is and the value of it, it is open innovation, right? So all welcome and therefore so much and you've written a lot about open. So part of what binds us is the same mission. We would both agree. We are on a mission to scale open source, right? To scale. So that's a good place to start from when you talk about two cultures. But the next thing, and maybe some people know this, I have, and Jim and I have both agreed, Red Hat should stay an independent unit. Now we say, well, why would you... I thought you knew that. I thought we were clear on that. Yeah. Okay. Well, then I'm glad if people weren't clear on that. But there's really great reasons for that. The whole idea of having a platform that invites innovation from everyone, it means everyone. So you want to have it built on open source, built on open standards. You want any company, not just company's friend, co-opetition, whoever it is, so that that for our clients, they can count on that. And then the terms and conditions of open source, right? So all those reasons, the open ecosystem and the only thing we can help do is help power it to go even further, wider, have it have more people certified. Et cetera, right? So think of that as really broad scale horizontally. So we're both in agreement. That stays, it is an independent unit in the work that really Jim, Paul, Arun, the whole team has done, that you've worked so hard on that culture. And actually my observation has been the teams, they work very well together. We've witnessed all these things. Very like-minded on this. So then what's the other side of this is that then IBM will change, right? It's easier for me to change and to change IBM in that so much of what Red Hat does will build on top of that. And hopefully then what we'll offer to clients is if they choose a really secure mission critical stack, a hybrid cloud stack. And so there's a choice or you have a choice to run at other places. But so really continue, and I hope, you know, together we take that as it is the world standard of open around and it's just a bigger and broader plate for innovation everywhere. Absolutely, absolutely. So let me just kind of come around and you probably have a better view of what enterprise is, what governments, what any large institution's doing with technology. What most excites you or what do you see that's really exciting in the future and then obviously how might Red Hat and open source play a role in that? Yeah, look, I, you know, I've had my own experience in reinventing IBM and continuing to, and I see so many other companies out there, I honestly feel we're all at the beginning of a journey where the first part, there's been a lot of experimentation with lots of interesting technologies, but not as much scale of really true transformation yet. So we're kind of now moving into that. So whether it's to scale AI, move mission critical work, really change the way work is done. What Jim said, you know, what you said in your opening, it is so fundamentally true that unless you change how people do their work, nothing really changes, right? It's not to sprinkle technology in there. So I see everybody and so many of our clients, they're kind of right at that stage from experimentation to true transformation right now. And so some of what I think is particularly exciting, the possibilities out in the open source world, we've been talking about cloud, so that's obviously one, because I think that gives you a, just a wonderful platform to develop on, run anywhere, bring as much innovation in as you want. You and I agree a thousand percent. The next one would be all of the different forms of AI that are out there, but trusted AI, right? So I mean the purpose is to augment man, the purpose is to, data should be owned by its owner and AI that's ethical, explainable, free of bias. I think there's a wonderful opportunity there to put that in workflow. But things like blockchain, the work that's been done in Hyperledger and it's actually in the Linux Foundation. I'm a big believer that it'll take some time, but blockchain can fundamentally change most of supply chains. You know, I see the work already, we've done with 100 different companies on food safety. There's up to 10 million transactions, different kind of food things coming through for food safety. Or for global shipping in the world, we've got again between ports, governments, companies, 100 of the, actually a third of all the ports in the world are already hooked up. And I think where it's 500 million shipping transactions coming through and just all of the overhead you remove and the transparency you put out there. Anyways, I don't mean to turn this into a blockchain discussion, but it's another form of open source that I think is really valuable. And I see coming in front of us, just from a technology perspective, to reinvent how work's done, things like quantum. So we've built the world's first quantum computer, offered on the cloud 11 million experiments, but we made a really interesting choice this time. All the development language is open source. It's quiz kit. It is all out there in open source. And so that is where all that innovation will come from. So I see all these technologies, they'll just layer in, but now we're at this moment, fundamentally people trying to rethink what it is they do, build a platform of their own, with data of their own, and then rethink how their work is done and put all this AI and these other technologies in it. So I think it's a perfect moment. I mean, I couldn't be more happy about the acquisition of Red Hat. And again, the team has built a fantastic job. We know the job they do for our clients that are in the room. I am extremely respectful of preserving that. I always say to Jim, it's not like I have a death wish over $34 billion. So I'm not buying them to destroy them by any stretch. I want them to be successful. And so that's probably like the Red Hat section over there. Definitely. Clearly. Clearly. So this is, I think, I hope it's a win-win-win. It's a win big and foremost. It's a win for clients, right? This is a win for our clients, a win for our chief technology officers, a win for technology. It's a way to drive more innovation because of it. Well, and I really do think this creates together a platform to let us dramatically accelerate our customers' businesses. You say clients, we say customers, we still have to work that out. Yeah. We went through a big discussion about which one of the, yeah. Yeah, I said so. But I really am so excited about really the impact we can jointly have on the world together. So I'm so thrilled as well. Thank you so much for coming and investing time. It's a pleasure. IBM's getting a great new leader to join us here. So thank you, my friend. Thank you. Thank you. Super. Thanks. I am so excited about what we are going to be able to accomplish together with just such greater scale that we'll be able to bring to our customers and importantly to the open-source communities that are so critical to the work that we do. I'm also so excited tonight that we're going to have a number of our customers joining me here on stage to talk about their stories. And again, what you'll hear is this is as much or more about people as is about technology. Customers don't want to just consume open-source technology. They want to adopt culture, what we call the open-source way to help their organizations to innovate faster. They need products but they also want partnerships. And hearing real-world stories of learnings from others hopefully can help us all co-create with one another here tonight as we think about what we take out of this. Now, Delta Airlines has done just a tremendous job transforming its IT to help it serve its customers better. And I am thrilled to have Raul here to tell us a little bit more about it. Welcome, Raul. Please welcome Delta Airlines Executive Vice President and Chief Information Officer Raul Samant. Thank you. Same to you. All right. Well, I think I have to bet I have a bias towards Delta. Tough act to follow. I'm sure you can do it. Actually, I'll start off with a question. If you can answer this, I'm sure everybody will check the box. So I fly a lot of Delta in December. So I'll say thank you. You got me here on time on Sunday. Thank you. So I'm Diamond Medallion and I fly a lot. But there's this level and I've seen it from other people called Diamond 360. And so can you tell me what do I need to do to actually hit Diamond 360? Yes. You're not even supposed to know the level exists. It's one of those magical AI black boxes. So I couldn't even explain it to you if I had to. But I'll go work on it, Jim. All right. I'll go work on it. So as long as I fly more, I'm working my way. You're on the right track. Okay. Well, I fly a lot, believe me. Anybody in Red Hat seen me in the Raleigh Airport kind of every other day? Thank you. So. Well, look, Delta is such an incredible story about how you work to transform IT. But importantly, how that's transformed the customer journey. And I see that all the time as I fly. But I wish you could spend a little more time kind of talking about what you've done to transform the customer experience and obviously how Red Hat fits into that. Sure. Perfect. Thank you for the opportunity to tell a little bit about the Delta story and our partnership, Jim. So we're on a journey to transform not just to be the world's most admired airline, but to be one of the world's most trusted consumer brands. And so in doing that, we start with our people. Our culture is what differentiates us because a lot of the hard assets, anyone can go out and buy. So it's the warmth and the caring service of our people that you interact with every day that makes the Delta difference. But technology is second to our people. Our CEO gets up there and talks about it and says second only to our people. Technology is the most important thing at Delta. So that's a great sort of platform for us in technology to work off. So about two years back, we embarked on our enterprise-wide digital transformation. And as with any legacy company, we had data strewn all across the company. And so job number one was to just pick up all of that data and create these two master repositories. One, which was the single view of the customer. The other was the single view of the operation. And what we're doing now that we have those two repositories in place, we're building the APIs and actually housing them in Red Hat OpenShift and opening up access to that data to not just customer touchpoints, but to empower our frontline employees so that they've got the tools and the insights so they can serve our customers and take that level even higher, right, the service level. So that's going on. So it is sort of a two-pronged approach. It's definitely personalizing customer experiences, giving them those intuitive, intelligent, simple experiences that we're all used to now in the land of digital, but also taking care of our employees because there's magic in that human touch when it comes to flying in airline. So that's going on. And hopefully you travel a lot and you've seen it, right, across the travel ribbon. Simple thing. So 72 hours before you fly now in Delta One, as I know you do, you get that email that offers you the menu that you can pre-select. You're doing that now in first-class transatlantic. And we're doing it. Absolutely. We just started doing that domestically as well. Thank you for noticing. And so from there to the automated... Bye too much. Yeah, you do. You do. And we love it. Thank you. So from there to the automated, single-click check-in to using a four-decade-old technology in RFID. So the technology's not new, but we are the pioneers in using that technology to track your bags all the way from gate to gate and take some anxiety out of the experience. And you said earlier you got your bag here on Sunday on time with you. And so those are experiences that we're building based off this digital foundation. On the operation side, we do run one of the world's most reliable operation, but we're doing a lot of machine learning-oriented decision support. And what does that mean? When we suffer bad weather, what we call an irregular operation, that's the bane of an airline's existence. And you've been there working at Delta. What we are trying to do is make sure that decision support tools are in the hands of our frontline people. So we know where to gate, what to gate, in what order, de-icing, cancels, delays, all of those decisions augmenting human judgment with machine learning-oriented digital insights. So that's going on. The last thing I would say is below the hood, we still need all of this technology to sit on a very scalable, reliable, secure platform. And so I talked about those APIs that are housed within your product. At the same time, we've got a lot of other COEs that are at work doing DevOps and Agile and building APIs. And the past COE sits right smack in the middle of it. So you're there with us below the hood, but the customers do experience the outcome of that partnership that we've got going. So in the off chance that you do lose someone's back, can you give us your cell phone number? It's on the website. All right. So I've been involved since the early days with you as you started this journey. And one of the things that I found so fascinating is you were really, really, really focused on bringing your people along and thinking about culture in the journey to ultimately leading to the technology and all the great things that you did. For those who are earlier in this journey, any advice for how you got started? I think that's one of the most impactful things about what you've been able to accomplish. Yeah, thanks, Jim. Because I think, look, there's a technology vision, and that's easy. You can go out to a consulting firm and get a technology vision or a strategy build. It's got to be contextualized. So in 2016, when we started this technology transformation, if I had come out and said, hey, we're going to digitally transform Delta, the timing would have been off. Because at the time, we needed to focus on availability and reliability and just the core basics of the platform. But a year and a half later, fast forward, and we're ready for that. And then we get on a hiring spree, and we've hired about 600 people into the company. And the key thing in the transformation and the success depends on how you blend those 600 new people that are coming in with a lot of contemporary skills. They've been there, done that. They've done cloud. They've done platform as a service. They've done APIs, agile, DevOps, cyber, all of those skills that we wanted. But you've got to make sure that they blend in with the other 4,000 people that have been there a long time, have done great service to the company and really understand the business of the airline and the business of Delta IT. And so we focused a lot on the human factors to make sure that there wasn't a have and a have not happening between those two groups. The other thing I would say and not because I'm sitting here is there is a war for talent and working with a select group of partners like you not only brings great product to bear on the transformation but you become a force multiplier for us when it comes to talent. And we've seen that and that's actually accelerated, right, the transformation and thank you for that really tight partnership that we've enjoyed with you. Well thank you and I will say having observed all the way through I think that's one of the core things that you've done so well which has allowed you to accelerate the transformation. I mean the technology is important but really the people part is really the difficult part. Absolutely. So I have to ask you because you're here and you know we just had Jenny here. I know you're a big partner with IBM, you're obviously a big partner with Red Hat. What do you see, what's exciting to you about the two companies coming together? Well I tell you what, when I saw the announcement the number was eye-popping but you know leave that aside. Yeah it is a good deal Jim. But leave that aside, I would say it was very exciting for me as a tech geek you know I believe in the open source movement and to see two companies that have contributed mightily to the movement coming together and pooling their resources is going to be a thing of beauty. So that excites me at a personal level I think for Delta we work very closely with IBM at the business layer. So there's a lot of consultative and advocacy going on with IBM around cognitive, around the use of blockchain how do we open up the single view of the customer for greater use cases. All of that's going on with our partners at IBM. You're helping me you know behind the curtain in accelerating and getting on the agile journey so I think the combination of those two now gives you a bigger canvas to paint on with us and actually an end-to-end view of the transformation and the other thing every large company out there is on that hybrid multi-cloud journey and you both have that as an avowed goal for the company so I'm just keenly looking forward to day one and by the way I would not leave without a plug which is I'm looking forward to a single enterprise license agreement there's got to be some pricing advantages that come my way. We said separate. We're a separate company. Separate, separate. We'll come back around to that. Well I really do appreciate you being here. It's great to have you. It's as a very very loyal and very very large customer it really does show through in the whole experience for the customer and so it's great to have you be here to talk about it really do appreciate it. Well thank you. And you're going to get me home on time. I will get you home and I'm going to check on that Elite 360 that you talked about as well. Thank you so much. Thank you so much. Thank you guys. Thank you. It really is. It's just amazing to be able to have the vantage point to watch that unfold over the last couple years. It's really a great story. So I know Red Hat is best known as the leading open source software provider but again the more and more we talk to customers they want to talk about culture and process and because we've been doing this for 25 years they often come to us for help. And so a couple years ago we worked to respond to this by creating something we call open innovation labs so we can work and co-create with our customers and really work to drive that transfer of this open source way more broadly. So I'd like to bring John Alessio on stage to talk specifically about what we're trying to do to work to make people more successful. Please welcome Red Hat Senior Vice President and General Manager Global Services. John Alessio. Thank you Jeff. Yes I do. Thank you. Good evening. Good evening. I'm John Alessio. I'm delighted to be here with you this evening. As Jim said the theme of the 2019 Red Hat Summit is about bringing things together to expand your possibilities. Now as a head of services at Red Hat I get the opportunity to work with clients across virtually every industry and every geography. And one thing is clear to me. Transformation is going on in virtually every industry. And many of the clients that I speak with well they want to capitalize on that transformation. They want to leverage disruptive innovation to propel their business forward. But disruptive innovation is not easy. It requires new tools, new platforms, new technologies, new cultures, new ways of working and even new ways of thinking. So imagine for a moment what if what if you could reduce you could improve your cycle time by 500% and take ideas that begin today and put them into production tomorrow. What if you could take years off your development cycle change your culture and be more responsive to your client's needs. And what if you were able to reimagine how you could combine the physical world with the virtual world. Because the physical world had real limitations that was stopping your business and by combining the two you could now reach those new goals. Well, this isn't a dream. We have three clients here with you tonight who actually have achieved what might seem to be those outlandish goals. Now the first client is ExxonMobil. They're in Houston, Texas. We began a project with ExxonMobil two years ago. Their goal was to build a collaborative platform break down the silos in their organization so that they could be more responsive to their customer needs. Let's give a warm Red Hat Summit welcome to Austin Smack. Please welcome ExxonMobil Container Platform's product owner, Austin Smack. Thank you, John. And I want to thank all of you and the rest of the open source community. I am humbled to be here today. Now, I think I know what you're thinking. Like, what in the world is this guy from this big oil and gas company doing up here on this technical summit stage? Is he lost? I am here because at ExxonMobil, we embrace technology to solve the world's greatest energy challenges. And for us, open-shift and containerization are some of those technologies. I want to share with you how our geoscientists, our geophysicists, our engineers and developers are using this technology to change the way they work. So three things I want to talk about. One, disruptive innovation. Two, I want to talk about our journey at ExxonMobil and deploying our container platforms and how Red Hat Consulting has come along with us to ensure our customer success. And three, I want to introduce you to my friend, Audrey Resnick. Clayton Christensen is a distinguished business professor here at Harvard in the Boston area, and he teaches us that everything that we do in our technical industry can really be categorized in one of two ways. The first is sustaining innovation, which are things that we do to promote our efforts in the short term. And two is disruptive innovation, which are things that we do that might not have a substantial amount of demand at first, but are key to our long-term success. At some point, things that we do to sustain ourselves become the things that we do in the future that promote disruptive innovation. So our first day of deploying our container platforms, we decided before we ever put hands on keyboard, the reason I bring this up, the reason I bring up disruptive innovation is because before we ever put hands on keyboard, we sat down as a team and decided that we wanted to do something disruptive, that we wanted to do something that disrupted the way that we work and disrupted the way that our customers did their work. So before we ever put hands on keyboard, we literally flew around the world and watched our customers as they did their work. Now, while it was a little bit awkward for them as we peered over their shoulders, it was a profound learning opportunity for us. So our journey in deploying our container platforms was quite iterative, much like you. You know, we started with a little small sandbox cluster and brought about 10 developer teams onto the platform and watched as they used the platform and became mature at deploying this little sandbox cluster. And then we iterated, we continued to build and deploy and deploy a couple of non-production clusters and a couple of our data centers. And once again, we watched our customers. We added new tool sets. We added more integration to the platform. And as of today, we have over 130 developer teams that are consuming resources on our platform. Thank you. Now, ExxonMobil is a global company. So many ask, how do you keep up with over 130 developer teams consuming resources on a platform? How do you even sleep at night? The answer for us is two-fold. The first is you have to surround yourself with people who are willing to disrupt. I have the pleasure of working with some of the most talented people I've ever worked with in my career who have taught me how to take difficult situations and find disruptive solutions. As a team, we have gone through the stages of form, storm, norm, and perform. And it's exciting to be part of a team that has been performing for such a long period of time. Additionally, we have brought our vendors with us throughout this entire process from building our architectural runway to deploying and managing our platform. And even to day two operations, Red Hat has been with us and the rest of our vendors have been with us on the team the entire time. Two, you have to automate everything. Everything that we're doing is automated. Now, while it's a journey for all of us as we go down through this process, I can tell you that everything that we're doing from our bare-metal layer to our storage layer to our hypervisor layer to even our platform layer, everything we're doing is infrastructure as code. Red Hat consultants have also taught us how to use CICD patterns in our deployments to make sure that we are orchestrating our cluster correctly and continue to iterate, improve, and deliver to our customers. Investing in extra time before automation will reduce your technical debt. Now, I know I've been harping on the importance of listening to your customers, so I felt it appropriate to bring one of my customers with me all the way from Houston, Texas to share with you how OpenShift and containerization is changing the way that we deliver to our business. I want to introduce you to Audrey Resnick. Please welcome ExxonMobil data scientist upstream digital transformation, Audrey Resnick. Thank you, Austin. As a data scientist looking to provide better solutions to my own customers, I'm looking for innovative ways to do that, and I'm very excited to be here to share my experiences and hopefully learn about yours. The most important experience that I want to share with you today is that containerization is a disruptive technology. We found that with my team, and it changed the views of how we could quickly deploy a better solution to our customers. Now, I can justify this. The claim as containerization allows me to expand my delivery options, create an interactive and reproducible product, and importantly enable quicker code iterations that allows me to go ahead and deliver those solutions very quickly to my customers. This may not be news to you. Most of you already know that. Do your customers know that? Think about that. I certainly didn't know this a year ago when I talked to one of our domain architects about a problem that I had with customers within the Permian. I voiced that we were unable to enable our customers to access and test the data science code that we were developing for them. The only way that I could get them to go ahead and take a look at some of the code that we had developed was, one, I could go steal their laptops and configure it and load a bunch of software on that, know how much clients like that, or I could go and stand up a server and maintain it. Both of those are unpalatable solutions. The domain architect, Chad, he had a solution for me. He told me about this new way of deploying applications called containerization that could expand my delivery options, could allow me and my customers to better collaborate on our algorithms and ultimately deploy a solution that would provide business value. He asked me if I wanted to go ahead and be on the proof of concept. I said yes. We went forward and built a data science image and deployed it. And imagine our customer's excitement when they just had to go and click on a URL and be able to actually access the application that they've been waiting for. It's pretty powerful. They were able to go ahead and instantly visualize some of the code that we've created for them. Now, because the coding and the release changes could now be made very quickly, we found ourselves in a position where they said, hey, can we go and take a look at a few more wells? And we're going, sure, let's go give you a few more wells. Could you tweak that algorithm a bit? Love to tweak that algorithm for you. The changes allowed the customers to make a lot faster and ultimately better business decisions. And all these changes were deployed in hours instead of weeks. Today, being able to deploy my solution to my customers with the only limitation being how quickly I could code is really life-changing for me as a data scientist. Now, containerization is also life-changing for my customers. It allows them to have access to a highly interactive and reproducible product, gives them quicker code iterations, and ultimately delivers faster business solutions, driving that business value. Now, that's how disruptive technology can deliver business value. Awesome. Check. Awesome, Audrey. You and me, we are builders and implementers. We thrive on deploying cool new things. But the way that we can define the success of our efforts isn't by how fast we can deploy new things. The way we define the success of our efforts is if we were able to change the way our customers do their work. That is how we define the success of our efforts. If you want to do something epic, come partner with ExxonMobil. We continue to use technology like this to solve the world's greatest energy challenges. And I wish you all the very best as you continue to build your cultures of disruptive innovation. Thank you. A great transformation. Being able to go from zero to production in a day and better meet the goals of your clients. What a fantastic story. The second client today is Michael Kaywood from Lockheed Martin. In order to retain the dominance of the United States Air Force, Lockheed Martin needed to work with their client to build a new platform. They needed to build a new culture. A culture that was built around collaboration, experimentation, and innovation. A platform that would allow them to fail brilliantly and learn from their tested hypothesis. This is a story of CICD after working with Red Hat Services on an open innovation labs engagement. Our open innovation labs engagement is our immersive residency where we work hand in hand with our clients to leverage the best of open source development methods, tools, and processes over many, many years and marry it with Red Hat technology. Let's kick off this story with a video. Please welcome Lockheed Martin, Vice President of Product Development, F-16 and F-22 Integrated Fighter Group, Michael Kaywood. Not to brag, but I think I've got the best job in the world. I have the distinct honor of working with world-class engineers that support the F-16 Fighting Falcon and the world's best air dominance fighter, the F-22 Raptor. The fifth generation F-22's unique combination of stealth, speed, agility, and situational awareness makes the Raptor equal parts feared and loved, depending on who you ask. While we're dominant today, our advantage is being challenged by two growing existential threats. The first threat is nation states that we want to make capability that will make the dominance of the F-22 obsolete. And the second is the threat of nontraditional competitors building capability faster and taking away our business. And these threats are proliferating faster than ever before. As Lieutenant Pete Mitchell once said, I feel the need, the need for speed. Feeling the need for speed and actually achieving speed are two different things. Let me paint a picture of the traditional way we've done F-22 development over the years. Two to three years to develop a plan, five to seven years to deliver new capabilities. How's that for timeline? We adhere to a waterfall method of development following DOD 5000 series instructions, move down the systems engineering V, develop hardware and software independently, put the software into the hardware and go through a series of tests at different levels of fidelity until we're ready to go to flight test. Flight test may take a year or more before we're ready to certify the capabilities that are ready for operational use. Our hardware development cycles, supply chain processes and our development tools sometimes take years to accomplish. We are organized into functional silos that make communication difficult and delays our standard operating procedure. Oh, and because we're working with secure U.S. government systems, timelines are even longer. Our ability to continue to stay ahead of the threat is increasingly becoming an exercise in insanity. So over six years ago, we attempted to implement agile methods into this environment. Without going into all the details, let's just say we successfully implemented Scrumfall or WaterScrumfall and didn't achieve any improvement in our ability to deliver capability. Fast forward to 2017, we received feedback from our F-22 Acquisition Customer, the Defense Digital Services and the Defense Innovation Unit that we must change or be changed. We needed help. We couldn't do this one alone. Enter Red Hat. We began the journey to change everything. We've changed the tools and installed a CI CD pipeline based on OpenShift. We've also changed the facilities, the process, and the culture. We started with six engineers and have expanded to over 100 engineers, IT supply chain and security professionals in just over a year. Along the way, we've had some help from our F-22 Acquisition Customer, the Defense Digital Services, the Defense Innovation Unit, the Defense Innovation Board, and especially Red Hat Open Innovation Labs. So how do we know it's working? Let me describe the things we've accomplished since February of last year. We partnered with our government customer and the rest of our corporation to speed up the approval of software tools from months and years to a few days as we built our CI CD pipeline. We've eliminated multiple-day design reviews and now demonstrate capability maturity each sprint. We are using companies in Silicon Valley to develop hardware and deliver to us in five to ten days instead of our normal one and a half to two years. We now build a minimal viable product so we can deliver capability to our customers as quickly as possible. We initiate a new team with a Red Hat Enablement as a result of our forecasting accuracy for the team after one enablement improved 40%. After a Red Hat residency, a pilot and transition on a dojo or two, we're on track to deliver a communications capability to the F-22 in about a year, almost three years early to the original waterfall-based plan. We know our culture is changing from a few anecdotal examples. During a customer visit, when the question came up as to how do we know if the changes are actually working? A young engineer who just happened to be in the area remarked that in just a few months the energy level in the team was much higher than it used to be. The Defense Innovation Unit visited a couple months ago. At the end of the day, they remarked if we had taken the bet that Lockheed Martin could not achieve this kind of transformation, we would have lost. A member of the Defense Science Board also visited and remarked we are actually doing the things that the DSP has been writing about for 30 years. These stories speak volumes about our transformation so far, not a journey, not a destination. With the Red Hat Partnership, we can see the day when we develop a capability, fly at the next day, and deliver to the warfighter in a way that's similar to how we receive updates on our mobile devices. I'm excited about our ability to deliver capabilities to the F-22 fleet faster and more affordably. I'm even more excited to see what the future holds as we continue to revolutionize the way we think and scale this transformation to the F-16 and other Lockheed Martin products. Thank you Red Hat for letting me share our story and for your partnership with Lockheed Martin. What a great story from Michael on automating, simplifying, and improving embedded software delivery for the U.S. public sector. As Michael said they've shaved years off their development life cycle and I love his slogan develop it today fly it tomorrow. So our third client also has a fantastic transformation story. This client is Volkswagen in Germany. Their challenge was their testing of their vehicle processes as you can imagine have been hardened over many, many, many years. And in fact they had requirements that are going beyond what they were able to achieve in the physical world. So here's the idea a new way of working a new way of thinking around marrying the physical and the virtual worlds together so they could solve new business problems. Let's give a warm Red Hat welcome to Michael Dennehy. Please welcome Volkswagen AG head of test technology Michael Dennehy. Michael, so first of all let me just say thank you thank you to Volkswagen for all on what I know is a fantastic project we learned a lot I think you all learned a lot and we accomplished a lot together. So maybe you can just start by talking a bit about yourself what you do at Volkswagen. Yeah my job at Volkswagen is to make sure that all electronic control units we have in our cars work properly together and so due to the challenge of having autonomous driving connected cars and very very many new functions for driver assistance we noticed that the normal way we do the tests with our dedicated hardware will not be enough so we get the idea to have all these things all these tests we do with hardware on virtual test environments and that's why we come to OpenShift and containers in OpenShift to put on virtual test environments in containers in OpenShift environments. So you had new requirements that were coming by new capabilities you were looking so you could compete in your industry you wanted to kind of reimagine this new way of working and why did you choose to work with Red Hat Services on this project? What did we bring to the table for you? I was in our group IT for several years and I've led the 4Way Group IT cloud project and therefore I knew a lot of IT vendors and having the idea I talked to them and to be honest Red Hat was the only one who said okay cool idea let's stop all right so lesson learned right say yes to your customer right so how did the Red Hat Open Innovation Labs process we did that together and one of the things that we talked about in this particular engagement was you're doing these new things that are complex in fact other people said no right that it requires a new way of working and even thinking so how did the Innovation Labs approach help Volkswagen? Yeah so we don't have much time to prove our idea to our top management they really gave us a small time and when I talked to my colleagues from Red Hat with my Keer counter he said we've got a new a new product which is called Open Innovation Lab and in this time I see the only chance to reach the goal in this time that was the technology perspective and the other thing what makes the Open Innovation Lab so attractive for me is changing culture is a big thing at Volkswagen now and working together in the Open Innovation Lab day away is don't be so top-down management driven give the responsibility in the team and we want to do that with Volkswagen so Open Innovation Lab fits perfect and you said when we were talking about this you said you know what John actually in the beginning when we did this it was actually kind of stressful it was very different than what you were doing today so we ran the Open Innovation Labs engagement it's a submersive experience that we do together and what were the business results yeah we proved that we can have virtual test environments first we proved that we can mix virtual test environments with real test environments because I think that's the new thing in this idea and last but not least we prove that or we show that quality and success the main factor for this is changing the culture in working together yeah so the culture changed the quality improved you achieved what you really wanted as a business outcome to kind of prove a hypothesis that this could really really work which is fantastic so you know if I'm sitting in the audience I'm thinking wow Michael that was a long story that was a kind of a very innovative way of approaching the problem what are two or three things that you'd like the audience to take away maybe think about in their business yeah first I would recommend how crazy or weird an idea should should seem don't hesitate to give it a try when you believe in it and when it gives you a business advantage that's the first believing crazy ideas yeah I like that second is trust your teams give them the responsibility to decide by their own ask the question should not be so what's the status but how can I as manager can help you and that's the main point trust your teams go forward with an aggressive idea trust your teams any other advice that's a good one I just had one I had one a little bit egoistic I think you two connected car we'll have to have a virtual test platform with my automotive colleagues which are in the auditorium here let's make a standard for this great, well Michael thank you very much for A, being a Red Hat client B, working with us on what I think is just a fascinating project and for being here at Summit let's give them a warm applause thank you John I really appreciate it alright so we started this with expanding your possibilities expanding your possibilities means you have to have new ways of working new ways of thinking we heard from three clients three absolutely fascinating stories that you would have thought how could we achieve that together and we have ExxonMobil built a new platform Lockheed Martin build it today, fly it tomorrow get physical, get beyond the barriers of what you could do before and so if I'm sitting in the audience I'm thinking okay John those are really big companies they have a lot of resources could Red Hat really help us with what our challenges are and so the answer of course is yes I can tell you all three of these clients started with what we call a discovery session that is a very structured workshop in where the Red Hat pre-sales team and the Red Hat services team working together come in understand the business challenge or opportunity that you have in front of you work to build an approach on how we believe we can help you achieve those goals and come back and present that to you about a week later by a couple of very powerful highly repeatable tools the first is our Red Hat Learning subscription which we've had in market now for about three and a half years Red Hat Learning subscription gives you access to all of our training technical training for all of our products all the courses all the labs the most important Red Hat certification and it's available 24x7x365 because it is a subscription to you we now have announced recently a developer version so if you're a developer and you're looking just for those development oriented courses we have that available for you as well and you couple that with think about the story of Lockheed Martin and Volkswagen new ways of working new ways of thinking, cultural transformation think Red Hat Open Innovation Labs our immersive experience that takes years and years of open source development experience and marries it with the powerful Red Hat portfolio to help you have a new way of working thank you very much have a great summit please welcome back to the stage Jim Whitehurst alright, thank you John alright, thank you John so I have to ask is there some strange bottle rolling contest going on out there because this is the one in save a game for me give me a few more minutes no, so I think you can see from the stories that we're talking about here about how new technologies and culture shifts actually can shape each other so now I'd like you to hear from one of our financial services customers in Singapore that's truly pursuing some really bold goals please welcome DBS Bank Group Chief Information Officer and head of Group Technology and Operations David Gledhill David, thank you so much for being here I really do appreciate it so first off I have to tell you in technology I'm surrounded by a lot of people who like to sandbag their numbers they try to be a little over conservative in their aspirations but you set some pretty extraordinary goals so let me first ask you what do you think about your goals of being it's just right the world's best digital bank and the best bank in the world well you won the world's best digital bank two years out of the last three from Euromoney and the world's best bank a couple of times and it's a whole combination of things but a big big part of it is that we've been recognized for this complete transformation of our digital footprint and assets and that's been very profound it started ten years ago and frankly for the first five years we were fixing the basics putting in standard platforms sorting out resiliency, security, etc and then five years ago we saw what was going on in China we're very close to them we saw Alipay and Financial all these companies starting to disrupt banking and realized that our traditional way of growing by branching out and doing physical branching was just not going to work and so we really put our foot down with a digital bank and with the world's first bank into India as a digital only offering, etc the technology underlying that though was a radical shift as well we were used to traditional stack brittle infrastructure and we had to change all that as well so we said if we're going to be like a technology company we better go and look at some of the great technology companies and see how they build things and see if we can do it as well so we looked at Google, Amazon, Netflix Apple, LinkedIn, Facebook and we said how can we be like them unfortunately Gandalf was missing a D and we have a D in DBS so our mission became how do we become the D in Gandalf nice, very nice what that did it was a lightning bolt to the organization because it said we're no longer building technology like a bank we're building technology like a technology company unless we're as good as them it's just not going to get as where we want to be and so a big part of that then was moving to open source stack putting everything on commodity hardware and that's really where Red Hat came in that we needed a strong foundation to build that on and so we've had a big, big push to building out our cloud environment pretty much all of it on Red Hat and we just passed the 50% mark actually last month so over 50% of workload already on Red Hat and that's increasing by a couple of percentage points every month so it's really going very, very fast for us so we're super excited by it and we've had massive benefits in terms of scale and everything else that's brought for us that is truly fantastic and I know you've been described as a bank that allows you to live more and bank less how is what you're doing and obviously the technology in Red Hat fit into making that possible so live more bankless or making banking invisible so we sort of disappear into the background is how we see ourselves that needs a lot of engineering and first of all all of the applications services that we give to our customers they have to be super efficient, super slick we have to take all of the customer toil out of it but even more than that if we're really going to get ourselves into customers lives so they can live more bank less with us we have to really think about ecosystems and either create ecosystems or be part of someone else's ecosystems that needs three things to happen first of all we need to be able to scale without concern and everything we've done on our cloud stack and Red Hat means that we don't have any worries about scale anymore the second is we have to build a whole bunch of APIs and DBS launched the world's largest API portal a couple of years ago we started out with 150 we're now 350 APIs accounting with hundreds of partners that want to work with us to enhance the way they deliver our products so as we build out these ecosystems we disappear into the background and therefore let the customers live more and bank less with us well look I think one of the most important parts at least to me are the most impactful things of watching your journey which is truly extraordinary what you've accomplished really is around the role that culture and process has changed has played a role in that and how much you've focused on that could you tell us a little more about that? so that was very important right from the start as we went on this transformation journey we weren't going to set up a little innovation group at one side that was going to disrupt the bank that was a silly idea we wanted to take the whole bank with us and we describe ourselves as a 26,000 person start-up so everybody is coming with us on this digital transformation journey and you know that has really sort of resounded well with people it means that we need to be customer obsessed data driven we have to learn how to experiment and fail fast and to be honest learning how to fail fast for banks is very difficult we're not used to failing in such a big way and so that's a massive learning culture around that but also be a culture of continuous learning and development because as things evolve you know everything we knew in the past is changing and so unless everybody is continually learning we'll never get to where we want to be so this cultural shift and Gandalf helped redefine who we were to a whole basically all the technologies in the company have changed how they operate so cultural shift we think has been our biggest sort of secret source and the thing that will keep us setting us apart is to build a new front end just like we can but the culture is very very hard to copy I think that is such an important lesson for everyone here technology is hard but culture is really the critical aspect David thank you so much for being here and sharing your story and the success that you've had it's great to have you here thank you so much appreciate it it truly is a phenomenal success story and the amount that they're driving cloud and how fast they've moved it's just been great to be able to watch that over the last couple years so now I'd like to introduce you to our 2019 innovation award winners BP, Deutsche Bank Emirates NBD HCA Healthcare and Kohl's they've all brought together new tools and new ways of working in unique and innovative ways let's see that in a video taking a hard look at the ways of working today what elements you need to take with you forwards and what things need to change expand your possibilities means we can create new ways of interacting with our customers how can we move things forward what's the furthest we can push our technology it's not just about new things, new for new it's about new for better technology in itself won't solve problems mindset, people's thinking innovation is what brings about innovation innovation is creativity so it will only be able to find out if you've tried, if you've created open source enables us to expand our possibility by ensuring that we can keep up the changes in the market to changes in technology it's such a rich ecosystem that allows us to do things faster, more effectively and focus more on our business problems I think those are some great examples of companies working to expand their possibilities with open source and as everything Elton read had, we really want to leverage community to make decisions and so please remember to vote for the innovation, innovator of the year award and you can do that right from your summit mobile app and we'll be announcing, I'll be coming back to help announce that on Thursday with that I'd like to invite one of our 2019 innovation award winners to the stage right now Deutsche Bank Please welcome the 2019 innovation award winner Deutsche Bank Managing Director Global Head of Cloud, Application and Integration Platforms Tom Gilbert Tom, thanks so much for being here, really appreciate it Thanks for having us back to the summit Well, you were here in 2017 it wasn't that long ago in 2017 you actually talked about this everything is a service vision that you were trying to create how about giving us a bit of an update on where you are? Thanks It's really great to be back here at summit two years later Everything is a service was about opening up new ways of working for our bank enabling our developers to get their ideas into production safely in a day every day We also wanted to use our on-premises infrastructure more effectively, well allowing for the controlled use of public cloud Central to that was Fabric which is our name for our modern hybrid platform as a service built on Red Hat OpenShift It's going really well We have, since we were last here we've worked with developers around the globe in our organization and we now have over 2,000 applications running on the platform We have new applications going from POC to production in as little as three weeks which is a real game danger for us and we're doing this at genuine scale As of today we're running over 25,000 containers in production on the platform I just got a punt How many containers do you have right? 25,000 Production containers That's truly extraordinary because that doesn't even include dev and test That's in production That's right That's truly extraordinary and you're bringing those to market in three weeks That's amazing So you've clearly upgraded your technical capability so you have this kind of Ferrari technical capability Can you talk a little bit about what effect that has on your culture and how you're working to drive that forward? Yeah, I mean this journey's been just as much about our culture changes as it has been about technology if not more important So we fostered communities within our banks so that anyone can contribute technology blueprints by the organization as a whole So that means that anyone in our bank can contribute to this platform and we release new iterations of the platform every few weeks For our developers we enable rapid prototyping now with compute available on demand We have continuous integration and deployment now part of our agile SDLC process which means the intraday change is now not unusual Our applications are also being rearchitected as modern microservices patterns and exposed as APIs We also get a huge benefit from this external ecosystem around Kubernetes and containers which means that external developers and third parties can easily provide our software which we can deploy and run in a consistent fashion and they can more easily test their applications for our environment So I know you talked about the size and the scale of what you're doing We hadn't had the chance yet to talk about the fact that you actually do it in a hybrid way Can you tell us a little bit about how you're doing that and who you're doing that with? For sure So we're running fabric in multiple premises through multiple suppliers So on-premise IT and then off-premise in the public cloud we're using Microsoft Azure including in production today So if I can coin the phrase it's really about expanding our possibilities So now we can write once and run anywhere That lets us leverage the best execution venue for every workload So if we need SSDs or GPUs or FPGAs a massive scale at short notice for a short period or if we need to deploy new products into new regions quickly that's all possible now through this combination of OpenShift and Azure So we can maximise for our risk calculation grids we can maximise the utilisation of our on-premise clusters but know that when we need more capacity we can burst out into the public cloud we can run our Dev and Test environments in an always off configuration but know that we can turn them on immediately when we need them Building this hybrid cloud platform on OpenShift let us build all of the right controls and automation right into the platform which enables applications in our highly regulated bank to consume the public cloud while reducing risk and we really think that this hybrid cloud approach allows us to reduce costs, reduce risk and increase our agility as long as it's coupled with the right organisational and process change Finally, it's allowed us to work with partners like Red Hat and Microsoft and the partnership has been outstanding we're set up with this philosophy around co-creation which is really democratising the IT of Deutsche Bank and you've allowed us and helped us to execute this fundamental culture change as well as deploying the technology so you know, thanks for that Well thank you, I mean it's been an incredible journey to watch over the last two years I've watched it up close personally and to see how fast you've been able to scale and how you've actually been able to achieve a vision not only of actually building this infrastructure but being able to do it in a hybrid way it's truly an extraordinary story and something I hope all of us here can work to learn from Thank you so much for being here very much, appreciate it I only wish I had somebody senior from Microsoft here who might be able to comment around that I don't know So everything you've heard tonight from our customers to our partners, really from everyone reinforces one idea and that's an open source for Pell's innovation today Platform's process has the end products none of it would be possible without open source and so I'd like to welcome on stage a partner who's been embracing open source in a really big way recently and somebody you probably wouldn't expect to see on stage at a Red Hat Summit Please welcome Microsoft Chief Executive Officer Satya Nadella Thank you for being here, great to see you Please, would not have expected to see that, I have to be honest with you It's been a long time Everything has a time Indeed, indeed, it's really it's great to have you here It's my pleasure Jim Obviously we have some announcements we'd like to make tonight but I'd like to back up a little bit because over the last several years we've had a lot of progress together whether it's SQL Server or .NET on our platforms the work we've done around virtualization we've actually made a lot of progress together and so hopefully this doesn't come as a surprise to people but we do have a more significant announcement we're making tonight and I'll work together with Microsoft Azure and Red Hat OpenShift and you want to tell us a little bit about that? No, first of all it's fantastic to be here with all of you at the Red Hat Summit and as you said we've been working for multiple years now and today in fact is the general availability of the Azure OpenShift Service so it's fantastic to see that out Yeah, in fact it was really fun to come even meet with a bunch of customers who really been the ones who really inspired us to come together pushed us, for example I think Deutsche Bank has been a big customer we also have Saber, Lufthansa as well as one of the other things that I'm very thrilled about is bringing SQL Server to Red Hat and OpenShift and I know it's a big customer of that and so it's just that customer scenarios that have really pushed us to do some phenomenal work and we're very, very excited about it Now that's fantastic, are there some use cases that you find particularly interesting? I think the one that was just mentioned was a great use case which is I think we're big believers in distributed computing and hybrid computing the cloud, the edge and the flexibility of any customer the ability to be able to use for example in the previous Deutsche Bank case to use the GPUs and the FPGA inference capabilities alongside this hybrid support to me is probably the thing that helps any customer get the best out of their infrastructure The other one that I'm seeing a lot of is the CICD pipeline especially in terms of the agility for example if you take the workflow let's say you're using GitHub and GitHub Enterprise your ability to sort of set up your CI there and then use CD to OpenShift, either on the cloud or on-premise or any other cloud even so the ability to have that level of productivity for developers as well as have the IT productivity I think is fantastic We've seen just such great examples as you said whether it's being able to expose functionality like GPUs or just being able to place the workloads at the appropriate place at the appropriate time there's so much power in having a common infrastructure stack that runs across environments and you're driving a tremendous feature velocity on Azure and our ability to expose that to customers whether they're on-premise or running anywhere they want to but they want to expose that functionality I just hear great things from our customers I just try to focus a lot on even on the public cloud side is get our data centers to meet the real world needs of our customers I mean we have a lot of customers who are regulated industries how do we make sure that for example all of the certifications they need whether it's HIPAA or whether it's financial services regulations or what have you that's a big focus of ours and that brings down the friction for anybody who is trying to deploy a workload you have the guarantee of the work in order to be able to lay down the tracks for how they can get the workload up onto the public cloud also the number of regions we just launched our first data center regions in the continent of Africa and it's awesome to see how all of this infrastructure is globally available it's amazing to see and again as you talked about some of the customers is data residency is becoming so important being able to build an application once but recognizing you may need to run it in 20 different geographies and how can you do that in a consistent infrastructure is a real power the model of us working together across that so I guess stepping away from OpenShift which we're really excited about I mean you spend billions of dollars a year in R&D you've made you know huge investments whether it's .NET, Windows, you have a long history of innovation and you also have an incredible seat to see what's happening in technology today what most excites you right now that I think people in the audience should be aware of I would say I mean I think about technology on 3 fronts but before I go to technology I'll say what excites me the most is this amazing data piece I saw recently out of LinkedIn which says the number of software engineers being hired outside of what is considered the tech industry is going to be higher and it's going to forever be higher than the tech industry that's phenomenal I mean what it means is software is becoming a new factor of production in every industry out there that's probably the most exciting thing and obviously what that means is computing and the computing architecture is fundamentally changing everything from storage to network to compute what's happening in the cloud and the edge we're also excited about taking what is today's cloud architecture to the next generation all the way to quantum but there are many many stops between now and then as well that's exciting the other one that I'm excited about obviously is AI it's stunning to think about let's take even just language models applying even deep neural nets to language models and the kind of properties you start seeing machine reading and comprehension for example I never thought I'd be sitting talking about the fact that machines can really try and understand human language as competently as they are beginning to which is pretty phenomenal speech and vision aside I think language is that final frontier and we're making real progress and then the last one to me is augmented reality or mixed reality with HoloLens it's just amazing to see what is happening to architecture, design and even gameplay and to me all of these three layers of compute architecture, AI as well as the ultimate user experience is the experience which is just in front of your eyes and that's the mixed reality. So I have to ask I'm sure this is a question everybody here wants to know do you have like a discount code on HoloLens because I think a lot of here we have a developer edition we just announced yesterday it comes even with Azure credits and so maybe you can run some open shift workload and tie it up to HoloLens. I'm sure people are going to be trying to do that tonight so yeah I think you brought up a really important point around more developers are being hired in non-traditional technology companies than in technology companies the way we talk about it at Red Hat is this concept of user driven innovation innovation can happen really anywhere and so as IT vendors we have to to some extent be a bit more humble and say okay how do we bring value to the table but how do we integrate technologies that are coming from a lot of places and ultimately I think that impacts all of us as well as we think about hybrid cloud because how are we thinking about where and how technologies run and obviously we're doing a lot of work together around hybrid cloud what are your thoughts you know in terms of what's really necessary to make that a reality for our customers I mean I think the thing that truly needs to happen is how do we get two things how do we ensure that the cost structure of the raw infrastructure and the innovation platform is something that makes every business out there competitive that's sort of the number one thing I think all of us having the interoperability support for open source support for standards is going to reduce the friction for anyone trying to innovate and so that's I think our job number one and that's sort of a lot of what is the spirit behind our own partnership but the second area I think we have to do is today for example take AI a lot of AI is considered to be things that a few companies in a few countries have we just have to get past that we have to truly democratize it for us for example we're a tools company at the core so to me be able to say okay here is a no code solution for doing machine learning is a pretty exciting thing how do we really think about machine learning DevOps so that there is greater productivity around data science that's the type of innovation around tooling that is required so that anyone out there can start taking some of the best technology and build their own technology I call it sort of tech intensity adopt good latest technology but most importantly create your own technology but let us as platform vendors reduce the barriers to doing so okay and look speed blunt I think five years ago we had I guess we polite to be called an adversarial relationship and I mean it's just amazing to see how much progress we've had together and I think that's on both sides a real desire to serve our customers and we found such great ways to work together any thoughts on how we think about this partnership in the future to me you know we are very very committed to the partnership because it's driven by what I believe is fundamentally what our customers expect of us they expect for us to do the things which is really interoperate be committed to open source for example in our case it's not just the partnership with Red Hat but the fundamental is the actions the deeds of what are we doing in terms of contributing to Linux what are we contributing to Hadoop what are we contributing to Kubernetes how are we bringing .NET to open source or VS code or how we continue to be great stewards of GitHub I mean I think that's really what you know we are very committed to but in the context of what we've gotten started I would love to see the feedback even today was one of the most encouraging things for me is I got sort of this list of features that they want and you know and are pushing us and I think that's what's really going to be at the core of what is our going to be our strategy and our commitment to this partnership well look we are so excited about it you've already seen customers like Deutsche Bank even before we got this done it been all over it and so I'm so excited to see where we can take this going forward and it's just been great to have you here thank you so much for joining us thank you all right I have to say the CEOs of the two largest technology companies in the world on stage in the same keynote it's a red hat keynote who would have expected that and hopefully that says something about open source in our role but I think hopefully it also certainly says something about those companies and their desire to serve customers and their desire to embrace open source so most of my message tonight has been about how I really wanted to focus on it's not just about the code it's about philosophy it's about how we work together to ultimately accelerate innovation but there is one what a product that is so important in the journey of open source that really made open source what it is today that I couldn't go through the show without talking about it we could have waited until tomorrow but hey it's my keynote and I'm the CEO so I had to do this on my watch red hat enterprise linux it has provided so much value it really is the product that really began the open source movement it's delivered a super fast pace of innovation and it's brought us choice with confidence and so this I really wanted to end this evening by having Stephanie Cheris and Denise Dumas join us on stage to talk about our latest version of red hat enterprise linux please welcome red hat vice president and general manager red hat enterprise linux business unit Stephanie Cheris and red hat vice president platform engineering Denise Dumas evening hello so I am thrilled to be up here with my colleague Denise so I joined red hat just to work with people like Denise and her engineers Denise leads about 700 of the most passionate linux developers you will find anywhere and they are everywhere they span 23 countries and Denise leads them in the most open and collaborative way and she's been my partner since the day I joined red hat I was thrilled when Stephanie joined red hat she brought serious technical chops plus a market understanding and a customer focus and stuff the minute I heard you say wicked awesome I knew you were right for red hat engineering depends upon Stephanie and her team to give us the vision to create not just another distro but enterprise linux often imitated never duplicated as you can probably guess there is nothing Denise and I like to talk about more than red hat enterprise linux you've already seen today how linux and open source have opened the doors to so many innovative opportunities from digital banks that can reach their account holders everywhere to airlines that must find technological solutions to complexity and customer demands that constantly change we are all here because we recognize the impact that linux and open source have had on our industry and at the end of the day it's all about impact it's why we all get up in the morning it's why I became an engineer and impact is driven by innovation and red hat enterprise linux is the operating system of innovation today and tomorrow but how do you measure impact how do you really quantify it well a recent IDC study measured the impact of red hat enterprise linux in the world and it is massive truly the software and applications running on red hat enterprise linux will touch 10 trillion dollars in business revenues this year and that will grow at twice the rate of the economy use of the software will provide benefits to customers of 1 trillion dollars a year IT organizations who use rel will save 7 billion dollars this year this kind of impact it can't be done by one company alone it takes everyone it takes customers it takes partners it takes communities that's the strength of innovation done the open source way it's not delivered by one of us but by all of us and that's what Denise and I are here to talk about to you today not just what we build but how we build it that's what delivers truly world changing innovation Jim mentioned that red hat enterprise linux was the beginning of the journey for red hat and for open source and so far that's had incredible impact in the industry but it's rolled today and tomorrow is just as important as its role in our past exactly red hat enterprise linux fuels the innovation required to build a hybrid future and the pace of innovation is only accelerating having a stable foundation that's built for security can be deployed simply and with confidence that's essential but that same foundation has to be ready to consume the innovation what's new today as well as advancements yet to come you've already heard from customers and partners today amazing things they're doing with containers and hybrid cloud you've heard about Deutsche Bank with everything as a service with Lockheed Martin with agile aviation and new ways to work with Delta over the next two days you will hear more amazing stories and all of them have red hat enterprise linux at their core over the years we have refined red hat enterprise linux to make sure that it delivers to customers what they need to provide a stable foundation of computing for the hybrid cloud world but with rail 8 we have redefined what your hybrid future will be tell them about it Denise rail 8 delivers all of the refreshed software that you've come to expect with a major release of rail we've engineered it for a new era of speed innovation and yet we've made it easy to adopt into your existing environments rail 8 security and performance improvements are what you need to run your business safer and more efficiently and there's more built in system management red hat insights it harnesses red hats linux expertise as a service a truly intelligent operating system and image builder so you can customize your rail images and deploy them everywhere from bare metal to all of the popular public clouds and web console not just for new linux sys admins but for people like us who don't have time to deal with man pages heck, you can manage rail 8 from your phone how cool is that these are the kinds of capabilities and features and functions that are required for digital leadership but it's not just about sys admins rail 8 also has new features and capabilities for developers so that they can take advantage of new technologies that help bring growth to businesses the application streams delivering fresh open source development tools language run times databases when developers need it and tools that let you build and manage and run containers without needing root privileges with no unnecessary demons and the universal base image the container run time that lets you share your innovative ideas safer and more securely all of this is just a preview there are 29 sessions in the road to rail 8 track including one by the way on the rail organization's own digital transformation and do not miss tomorrow morning's live demo all of these features we're gonna put on our crash helmets and take them for a spin and join us in the expo center there are rail engineers everywhere here and we love to talk with customers the open spirit of community got us here and we strive to remain catalysts we want to make sure with our partners and our communities and our customers that the whole is greater than the sum of the parts we roll up our sleeves and we solve problems together many of you here tonight joined us for the high touch beta program for rail 8 there were 40,000 downloads of the rail 8 beta by our partners and our customers and we sincerely thank you for the feedback the critique the product is better because of your interest thank you we're gonna continue working together with you to shape future generations of technology that address your business problems red hat engineering advocates for our customers from upstream feature development through our discussions with our hardware and cloud and software partners to standards bodies to help them remain even handed arbiters of competing interests we understand that our customers do not want lock in you adapt and advance your own pace you deploy technology as it serves your business needs and we preserve your choices Pat from Fermilab I know you're out here somewhere I saw your exchange last week with the installer team we love your ideas we want to put them into image builder please come talk with us it took people from many different worlds to make this next generation of red hat enterprise linux possible and it's the work of all of us that makes this the one operating system that delivers for all the worlds that make up enterprise IT from developers to operations to the business to customers and to communities your world is unique it's where you do your best work it might be a little messy or maybe it's very neat it's connected to communities and that's by design your design because you're helping people to communicate ideas and you're doing it by developing new apps by deploying containers by pioneering in the cloud and by making the dreams come true tomorrow into a reality today so whether you're a seasoned engineer optimizing your IT or assist admin just getting your start red hat enterprise linux is the intelligent OS to conquer complexity the foundation to bring forth innovation and it's latest release is here hello world shall we make it official? oh we definitely shall Denise we are a general avail