 is about what our youth is and who we are today as a country, as a university. Congratulations Reggie Jackson, you are CUBE alumni. From the Walt Disney World Swan and Dolphin Resort in Orlando, Florida, it's the CUBE. Covering Splunk.com 2016 brought to you by Splunk. Now, here are your hosts, John Furrier and John Walls. And welcome back to Orlando, here on the CUBE to continue our coverage at Splunk.com 2016. We're back again, so it's about 5,000 attendees. Keynotes, well attended, a lot of enthusiasm here on the show for a lot to talk about here on day two. I'm John Walls along with John Furrier. John, good morning to you. Good morning, great night last night, great party. Obviously, Splunk always does it right at these events. We're two days of wall-to-wall coverage. It's been great so far day one, packed with a combination of Splunk executives around the key areas of their growth strategy as well as customers. Before we get on, you said great night last night. You were like a roller coaster maniac last night. I went on one time. Greg Stewart actually went on one of them. We did the tower. Actually straightened my back out a bit. I'm getting old, so I feel good. It's going to a chiropractic and throwing around. But certainly Splunk rents out the entire Hollywood studios for their customers. Really a top shelf event. Splunk celebrates their customer activity at these events. And they have a rapid customer base. They're very active. Certainly happy customers growing with Splunk. Splunk is doing well as a company. A new way to do things. Splunk always has a bar that they always seem to go above every time. They pride themselves on working hard, playing hard. It's the ethos of the company. All great people. All great time. Everyone's smiling. Everyone's having a good time. I think that's what life's all about. You're in the tech business. You feel good about it. If you're doing good stuff, Splunk is obviously doing well. The company has a lot of firm ground under their feet with big data. The trends of big data. And of course, cybersecurity is really the core issue. In my opinion, their opportunity. Yeah. You're talking about a new way of doing business. We talked yesterday about the adaptive response of an issue. This collaborative effort. You talked about partners here. You talked about the business climate. You talked about customers and it's also positive. But collaborative. I mean, it's cliche, but it really is true. It seems like they've got an olive branch out for everybody. Well, it's at every level. I mean, just as a highlight, last night I was with Nick Sturio, who's been on the board for 11 years or so. Maybe more. I forget the number. But he was a board member. He's now long, long on the board. He invested not a lot. Under $10 million investment. Made like $600 million. Great investment, obviously, for Nick and Ignition Partners. One of the best VCs in Silicon Valley and Seattle. But it shows that he comes to the event. He still is part of the community. I met with a lot of these Splunk experts. They wear the hats to show that they're, you know, the Splunk experts, they're so engaged. The employees are engaged and the customers are super happy, but it's collaborative. And I think that this is an indication of the opportunity that they have because it is collaborative. The customers are now using Splunk in a way that they never thought they probably would be using it. If you ask Splunk employees and customers just five years ago, if this would be the outcome of how Splunk has kind of hit a trajectory. So like how so? I mean, what are they doing now? You think they didn't think they'd be doing three, four years ago? Well, it's classic case of a good growth strategy with innovation and innovation strategy built into the growth strategy. And that is the secret of these tech companies that I look for is, is their growth strategy pegged to just financials and execution? Or is the growth strategy execution plus innovation strategy intersected together? And Splunk has both. And I'll give you an example. The company has been using customers and using the Splunk product for, you know, log data, big data at that time. But it's more than it's trajectory. So they're building on top of the functionality, layering on more capability more and more as the years go on. Splunk continues to make announcements in a way that helps customers. But now this opportunity that Splunk has is what I call the fabric of this new digital technology or transformation. And that's security. And so what's happening is interesting. The Splunk customers are using the Splunk product to extract data and surface it real time and into applications. But also a new dynamics coming together where we tease it out yesterday where we observed in kind of first ones to call this publicly and pointed out is that the customers are coming together to form a social network. So this adaptive response announcement today is interesting because it shows the proof points that Splunk is connecting the dots on a growth that probably wasn't in their playbook a few years ago. And that is using the Splunk fabric to bring together multiple companies in a collaborative way to fight cyber, which is fraud, threat detection, and potentially the impact of fraud and breaches, which is can be catastrophic for business. So this is forcing companies to change the way they handle data and really, really brand new dynamic has traction. And it's super exciting. I mean, if you're a Splunk customer, you have a lot of headroom and you're an employee, you got to work harder because you have more growth. So, you know, it's a challenge on all fronts, but still, I think Splunk's up for the task. Well, let's hit the cyber thing because we heard again from some guests yesterday, we heard keynotes this morning, but here's from some guests this afternoon as we continue our coverage here. If you don't have that security, if you don't have safety, if you don't have peace of mind right in operation, you got nothing. You have the best data analytics in the world, but if you have intrusions and threats, whatever. So you say they're all in and reflected that in how they've formed their enterprise, security, enterprise security, and what they're doing with Etsy and all those things. Well, I mean, the thing that's going on in the industry right now for people out there watching and in either industry or customers of Splunk or other vendors is that the data analytics business has always been about what happened. Hey, let's look at the data and figure out what happened. But as technology progresses with real time in memory, all these new abilities to surface disparate data from different databases where applications can take advantage of the data. It's a lot more than just what happened. It's about what's happening and then using predictive and prescriptive techniques, AI and machine learning, however you want to classify it, to get in front of what's going to happen. So you have the evolution of what's happened, postmortem kind of analysis, to what's happening, to what is going to happen and what can I do to protect that. So that is to me a significant real dynamic that's going on. People are fired up about it. And it has to do with the combination of the data, the fabric that we talked about, and also getting in front of it. Because security isn't about what happened. Because when you figure out what happened, you're already done. You're toast. It's already happened. In fact, most people realize that they've been hacked after the fact. So all the top security brains in the industry, entrepreneurs, we're going to talk to one today, the one that was invested by Splunk, are doing new things. They're providing a cat and mouse kind of software game where they're actually creating new techniques to thwart malware and the techniques that the bad guys do. So you're starting to see the leveling up of the technologies because you have compute, you have cloud, and virtual machines, and other techniques where you can actually spin up techniques to thwart the bad guys. So when you hear, I heard this yesterday, I thought about it last night, that many people in the space think we don't have the talent, the firepower in terms of talent, we got to leverage technology better. We've got to be disruptive in how we approach this because the old way of doing it, it's not cutting it. Yeah, the old way of doing top down, this is our policy. This is our data policy. Boom. Security policy. Build the door, put a mode in there, gone. You're starting to see the combination of top down policy from organizations with a bottoms up collaboration and enablement with technology like Splunk systems to create a dynamic of polar area between organic execution and top down. Well, what does that mean? That means, yes, they're going to be undermanned in these cyber attacks and security threats and intrusion and fraud. However, with machine learning and automation, you start to see the beginnings of an AI like approach where you can scale up the human interaction, the policy with organic collaboration, which Splunk's doing, with an algorithmic approach that can scale up with the cloud with machine with virtual machines and other network type techniques where you can start getting at these bad guys. So you essentially create a clone army, if you will, kind of like Star Wars, the Clone War, right? I mean, you can create clones. You can create situations where technology can work for your benefit. That is where the action will be. That is where I think the hot stars will come out of. That's where the big companies like Splunk will start to really start to take advantage of that execution. And that's going to be the key spot. The old way of just throwing bodies at it, done. Not going to work. Not going to work. You know, one thing that we haven't worked, we hit on yesterday just a little bit, but I want to touch on it before we get ready to enter our guest lineup today. The Splunk for good. A hundred million dollar commitment over the next 10 years. It says a lot, does it not about the kind of the DNA of the company and how it sees or what it sees as its role in terms of providing for, I guess, a foundation for good stuff to happen? I mean, I think this is a really big deal and I'll tell you why. I think it's a big deal. The Splunk for good is a highlight of an industry trend that's going on. We're starting to see authentic philanthropy and good being done by companies and individuals, even SiliconANGLE, the small little self-funded, self-financing growth company, us. We're doing some philanthropy. We have a fellowship with the tech truth. It's a nonprofit part of our business where we're using dollars to fund journalism. You're starting to see other companies do it. We saw Oracle at Oracle Open World doing the same thing. It used to be philanthropy. It was a checkbox, get a tax write off and say, hey, we're doing good. We're not the evil corporate guys. But now in the age of social media, we are all social animals. So the combination of the psychology of doing good feels good. It makes your life better, but more of the impact of it really matters. So you start to see companies weave in these initiatives that actually make sense for their business, that actually do good for people and actually help the employees and customers feel good about it. And what that does, it creates a great place to work. It creates a great environment for collaboration. And again, it's a social dynamic. We're all social animals. It's humans. And I think this is a new dynamic. Mark Zuckerberg donated $3 billion into securing all diseases. And of course, that's authentic because they're going to start applying some machine learning. And of course, if you live longer, you can use Facebook longer. You can argue that's authentic. But this is a new dynamic. And I don't think that the Splunk for Good is a throwaway initiative. People are pumped about it. I heard that from a source inside Splunk was a standing ovation at the All Hands meeting inside the company. This is a real initiative. And I think if table, it will become table stakes. Reed Hoffman, who was the founder of LinkedIn, who's now a partner in Greylock, I just saw an article on Business Insider that was talking about his philosophy of living a good life. It was kind of out there touchy-feely. But you know, Reed's a solid guy and his philosophy is always give back. And that's the karma of Silicon Valley. I think when you have that quid pro quo goes away, where it's implied, I don't want anything in return, good stuff comes back. So I think we're starting to see that network effect of how we're all connected and companies now are taking advantage of it. It's a really big deal. I'm super proud of Splunk for doing it. We're doing it. And it makes sense for business. Well, I think it's the right word, authentic, right? It's got a real feel to it. So you get that feel about the company here. So more about Splunk coming out. Of course, we have partners. We have customers. We got a lot of Splunk people coming on as well. Here on theCUBE as we continue our coverage from Orlando, back with more in just a bit.