 Okay, welcome back everyone, live coverage here at theCUBE. Boston, Massachusetts for AWS, reinforced 22 security conference for Amazon Web Services. Obviously reinvent the end of the year. It's a big celebration. ReMars is the new show that we've covered as well. The Rees are here with theCUBE. I'm John Furrier, host with a great guest. Amish Devatiya, co-founder and CEO of a company called Baffle. Amish, thanks for joining us on theCUBE today. Congratulations. Thank you. It's great to be here. We've got the custom encrypted socks. Okay, 64-bitter, 128. Base 64 encode, secret message in there. Okay, secret message in there. We'll have to put a little meme on the internet to figure it out. Well, thanks for coming on. You guys are hot right now. You guys are hot start up, but you're in an area that's going to explode, we believe. The super cloud is here. We've been covering that on theCUBE, that people are building on top of the Amazon hyperscalers and without the cat-backs, they're building platforms. The application tsunami has come and still coming. It's not stopping. Modern applications are faster, they're better, and they're driving a lot of change under the covers. Absolutely, yeah. And you're seeing structural change happening in real time, in ops, the network. You guys got something going on in the encryption area. Data, tell us about what you guys do. Yeah, so we believe very strongly that the next frontier in security is data. We've had multiple waves in security. The next one is data because data is really where the threats will persist. If the data shows up in the wrong place, you get into a lot of trouble with compliance. So we believe in protecting the data all the way down at the field or record level. That's what we do. And you guys doing all kinds of encryption or other things? Yes, so we do data transformation which encompasses three different things. It can be tokenization, which is format preserving. We do real encryption with counter mode, or we can do masked views. So tokenization, encryption, and masking all with the same platform. So pretty wide-ranging capabilities with respect to having that kind of safety? Yes, because it all depends on how the data is used down the road. Data is created all the time. Data flows through pipelines all the time. You want to make sure that you protect the data but don't lose the utility of the data. That's where we provide all that flexibility. So Kurt was on stage today on one of the keynotes. He's the VP of the platform at AWS. He's talking about encrypts everything. He said, it needs to rethink encryption. Okay, good job, we like that. But then he said, we have encryption at rest. Yes. That's kind of been there, done that. Yes. And in flight. Yeah, that's been there. But what about in use? So that's exactly what we plug. What happens right now is that data at rest is protected because of disks that are already self-encrypting or you have transparent data encryption that comes native with the database. You have data in flight that is protected because of SSL. But when the data is actually being processed, it's in the memory of the database or data store, it is exposed. So the threat is if the credentials of the database are compromised as happened back then with Starwood or if the cloud infrastructure is compromised with some sort of an insider threat like a Capital One, that data is exposed. That's precisely what we saw by making sure that the data is protected as soon as it's created. We use standard encryption algorithms, AES, and we either do format preserving or true encryption with counter mode. And that data, it doesn't really matter where it ends up because it's always protected. Well, that's awesome. And I think this brings up the point that we want been covering on SiliconANGLE and theCUBE is that there's been structural change that's happened called cloud computing. And then hybrid. Okay, scale, role of data, higher level abstraction of services, developers are in charge, value creation, startups and big companies. That success is causing now a new structural change happening now. This is one of them. What areas do you see there happening right now that are structurally changing? That's right in front of us. One is more cloud native. So the success has become now the problem to solve to get to the next level. Yeah, so what we see is that instead of security being an afterthought, something that you use as a watchdog, you create ways of monitoring where data is being exposed or data is being exfiltrated, you want to build security into the data pipeline itself. As soon as data is created, you identify what is sensitive data and you encrypt it or tokenize it as it flows into the pipeline using things like Kafka plugins or what we are very clearly differentiating ourselves with is proxy architectures. So that it's completely transparent. You think you're writing to the data store but you're actually writing to the proxy which in turn encrypts the data before it's stored. Do you think that's an efficient way to do it or is the only way to do it? It is a much more efficient way of doing it because of the fact that you don't need any active resources. There are many other ways of doing it. In fact, the cloud vendors provide development kits where you can just go do it yourself. So that is actually something that we completely avoid and what makes it really, really interesting is that once the data is encrypted in the data store or database, we can do what is known as privacy enhanced computation. So we can actually process that data without decrypting it. Yeah, and so proxies then with cloud computing can be very fast, not a bottleneck. In fact, the cloud makes it so. It's very hard to do these things in static infrastructure. In the cloud, there's infinite amount of processing available and there's containerization. And you have good network? You have very good network, you have load balancers, you have ways of creating redundancy. So the cloud is actually enabling solutions like this. And the old way proxies were seen as an architectural fail and the old antiquated static web. And this is where startups don't have the baggage, right? We didn't have that baggage. We looked at the problem and said, of course we're going to use a proxy because this is the best way to do this in an efficient way. Well, you bring up something that's happening right now that I hear a lot of CISOs and CIOs and executives say, CXOs say all the time, I won't say the word, our stuff has gotten complicated. So now I have tool sprawl, I have skill gaps and on the rise of all these new managed services coming at me from the vendors who have never experienced my problem. And their reaction is they don't get my problem and they don't have the right solutions. It's more complexity. They solve the complexity by adding more complexity. Yes. I think we, again, the proxy approach is very simple. You're solving that with that approach. Exactly, it's very simple. And again, we don't get in the way. That's really the biggest differentiator. The forcing function really here is compliance, right? Because compliance is forcing these CISOs to actually adopt these solutions. All right, so I love the compliance angle. Love the proxy as an ease of use. Take that heavy lifting away. No operational problems and deviations. Now let's talk about workloads. Because this is where the use is. So you got workloads being run large scale, a lot of data moving around, compute as well. What's the challenge there? I think it's the volume of the data. Traditional solutions that were relying on legacy tokenizations would replicate the entire storage because it would create a token vault, for example. You cannot do that at this scale. You have to do something that's a lot more efficient, which is where you have to do it with a cryptography approach. So the workloads are diverse. Lots of large files in the workloads, as well as structured workloads. What we have is a solution that actually goes across the board. We can do unstructured data with HTTP proxies. We can do structured data with SQL proxies. And that's how we're able to provide a complete solution for the pipeline. So I mean, what about the on-premise versus the cloud workload dynamic right now? Hybrid is a steady state right now. Multi-cloud is a consequence of having multiple vendors. Not true multi-cloud, but like, okay, they have Azure there, I have made it up to here, I get that. But hybrid really is the steady state. Yes. Cloud operations. How are the workloads and the analytics, the data being managed on-prem and in the cloud? What's the relationship? What's the trend? What are you seeing happening there? I think the biggest trend we see is pipelining, right? The new ETL is streaming. You have these Kafka and Kinesis capabilities that are coming into the picture, where data is being ingested all the time. It is not a one-time migration. It's a stream. So plugging into that stream is very important from an ingestion perspective. So it's not just a watchdog. It's the pipelining. Built-in. It's real-time. That's where the streaming is. It's another diverse access to data. Data lakes, you got data lakes, you got pipelining, you got streaming, you mentioned that. So talk about the old school, OLTP, the old BI world. I think Power BI is like a $30 billion product. And you got Tableau built on OLTP, building cubes. Aren't we just building cubes in a new way? Or is there any relevance to the old school? I think there is some relevance, and in fact, that's again another place where the proxy architecture really helps, because it doesn't matter when your application was built. You can use Tableau, which nobody has any control over, and still process encrypted data. And so can you with Power BI. Any SQL application can be used, and that's actually exactly what we like to. So I was talking to your team. I knew you were coming on, and they gave me a soundbite that I'm going to read to the audience. And I want to get your reaction to it. Because I love this. I fell out of my chair when I first read this. Data is the new oil in 2010, that was mentioned here on theCUBE, of course. Data is the new oil, but we have to ensure that it does not become the next asbestos. Okay, that is really clever. So we all know about asbestos. I added to the Dave Vellante lead paint, too. Remember lead paint? You got to scrape it out and repaint the house. Asbestos obviously causes a lot of cancer, you know, jerking the side. The point is, it's problematic. It's the asset. Explain why that sentence is relevant. Sure, it's the assets and liabilities argument. You have an asset, which is data, but thanks to compliance regulations, and Gartner says 75% of the world will be subject to privacy regulations by 2023. It's a liability. So if you don't store your data well, if you don't process your data responsibly, you are going to be liable. So while it might be the oil, and you're going to get lots of value out of it, be careful about the flip side. And the point is, there could be the grim reaper waiting for you. If you don't do it right, the consequences that are quantified would be being out of business. Yes, but here's something that we just discovered, actually, from our survey that we did. While 93% of respondents said that they have had lots of compliance related effects on their budgets, 75% actually thought that it makes them better. They can use security postures as a competitive differentiator. That's very heartening to us. We don't like to sell the fear aspect of this. We like to sell the fact that you look better compared to your neighbor, if you have better data hygiene. Back to the- There's the fear of missing out, or as they say, keeping up with the Joneses, making sure that your yard looks better than the next one. I get the vanity of that, but you're solving real problems. And this is interesting, and I want to get your thoughts on this. I read that you guys protect more than 100 billion records across highly regulated industries, financial services, healthcare, industrial IoT, retail and government. Is that true? Absolutely, because what we are doing is enabling SaaS vendors to actually allow their customers to control their data. So you've had the SaaS vendor who has been working with us for over three years now. They store confidential data from 30 different banks in the country. That's a lot of records. That's where the record and- How many customers do you have? Well, I think- Next round of funding is probably, they're lining up to put money into you guys. Well, again, this is a very important problem, and there are people's businesses that are dependent on this. We're just happy to provide the best tool out there that can do this. What's your business model behind? Love the success, by the way. I want to quote that stat to one, verify it. What's the business model? Service, software. The business model is software. We don't want anybody to send us their confidential data. We embed our software into our customers' environments. In case of SaaS, we are not even visible. We are completely embedded. We're doing other relationships like that right now. They pay you how? They pay us based on the volume of the data that they're protecting. But in that case, which is large customers, large enterprise customers- So they pay as you go? It is pay as you go. Everything is annual licenses, although multi-year licenses are very common because once you adopt the solution, it is very sticky. And then for smaller customers, we do our pricing also just on databases, the number of databases. And the technology just reviewed low-code, no-code implementation kind of thing, right? It is, by definition, no-code when it comes to proxy, when it comes to API integration. It could be low-code, but yeah, it's all cloud-friendly, cloud-native. No disruption to operations. Exactly. That's the culprit. Well, some didn't know. Like, non-disruptive operation. No, actually, I'll give an example of migration, right? We can do live migrations. So while the databases are still alive, as you write- Live secure migrations. Exactly, you're securing your data as it migrates. All right, so how much funding have you guys raised so far? We've raised 36 and a half, series A and B now. We raised that late last year. Congratulations. Thank you. Who's the venture funders? True Ventures is our largest investor, followed by Celesta Capital. National Grid Partners is an investor, and so is Engineering Capital, and Clear Vision Ventures. And the seed, and it was from Engineering? Seed was Engineering. Engineering Capital. And then True came in very early on. Green Spring is also an investor in us, so is Industry Ventures. Well, privacy has a big concern, a big application for you guys, privacy, secure migrations. Very much so. So what we are really very strongly in is security's personal, security is yours and my data. Privacy is what the data collector is responsible for. So the enterprise better be making sure that they've complied with privacy regulations because they don't tell you how to protect the data. They just find you. Well, you're not, you're technically a long stuff. Six year old start company, six, seven years old, roughly. So, you know, startups can go on long like this. Still a startup, privately held. You're growing, you've got big records under management there, congratulations. What's next? I think scaling the business. We're seeing lots of applications for this particular solution. It's going beyond just regulated industries. Like I said, you know, it's a differentiating factor now. So retail, you know, and a lot of other IoT related industrial customers are also coming in. Amish, talk about the show here. We were at Reinforce. I see we're live here on the ground, the show floor, buzzing. What's your takeaway? What's the vibe this year? If you had to share your opinion, the top story here at the show, what would be the two top things or three things? I think it's two things. First of all, it feels like we're back, you know? It's amazing to see people on the show floor, people coming in and asking questions and getting to see the product. The second thing that I think is very gratifying is people come in and say, oh, I've heard of you guys. So thanks to digital media and digital marketing. They weren't baffled. They want baffled. They use baffled. Looks like our outreach has helped and has kept the continuity, which is a big deal. And now you're a CUBE alumni. Welcome to the fold. Appreciate you coming on. And we look forward to profiling you someday in our startup showcase. And certainly we'll see you in the Palo Alto Studios. We'd love to have you come in for a deeper dive. Sounds great. Looking forward to it. Congratulations on all your success. And thanks for coming on theCUBE here at Reinforce. Thank you, John. Okay, we're here on the ground live, coverage Boston, Massachusetts for AWS Reinforce 22. I'm John Furrier, your host of theCUBE with Dave Vellante, who's in an analyst session right now. He'll be right back with us on the next interview coming up shortly. Thanks for watching.