 Okay, everybody we're back, this is Dave Vellante and I'm here with Jeff Kelly, we're with wikibond.org and this is SiliconANGLE.tv's continuous coverage of EMC World, we've been covering wall to wall the events here at EMC World from the keynotes of Joe Tucci and Pat Gelsinger, we had numerous guests on, senior executives, we had Sanjay Merchandani on today, we had a number of data scientists on, we had Don Bacilli giving us the start-up angle, Dave Cahill, both of those individuals from Flash Company's violin memory, he's about to go public, $800 million valuation, solid fire just getting started with product in the market and we had Chuck Hollison, it was fantastic, Tony Kholish, who runs EMC services, on and on, just fantastic, Laura Mattingly from Louisville Gas and Electric, a fantastic case study from a practitioner's point of view and we just wrapped up with the data science segment. Jeff, I thought it was pretty useful to hear from Richard Snee, I think they've done a really good job of bringing together a community and providing thought leadership as a source of really great value for that community. You know, it's not contributing code to open source, but in a way, it's like that, right? But yeah, it's definitely delivering value, I mean, we talk about data science as being a team sport and collaborative, that goes for when you're in your office doing the work, but it also goes for collaborating with colleagues and other companies and other organizations, events like this. So I think that the theme of this event is transformation, everybody's got it on their shirts, you're seeing it on the water bottles, it's probably on the hotel, you know. I think it is. Cards, right? I'm sure it is, they got this guy up, transform, it's really all about transformation. So what does that mean? IT plus business plus yourself? Our take on that is, well, IT transformation is all about the cloud, new business models, more facile, agile infrastructure, and it's happening. We've dubbed 2012 the year of the cloud, we're seeing it in our Wikibon survey data that it's actually catching on, right? And more than catching on, it's fundamentally, very few organizations aren't doing something in the cloud, but the more interesting thing to me, Jeff, is this business transformation. What is that all about? We've said it's all about data, it's all about extracting value, mining value from the data, packaging data products, getting insights, and actually becoming proficient in analysis and analyzing data for competitive advantage. I think this to me is the most significant sea change we've seen in technology in a long, long time. You know, it's as big I think as the internet, I think it's as big as the PC was itself because the impacts on productivity are going to be enormous. And I think of productivity as, very simply, revenue per employee is a simple measure of productivity. And I think that we're seeing the masses now being able to potentially tap into analytics. But we're not there yet, are we? I mean, we are in, somebody said it, the early part of the first inning of an extra innings game. So good talk, good ideas, but in terms of people actually figuring out how to monetize data, it's confined to the large web giants and even some of them are struggling like Facebook. But certainly guys like LinkedIn are sort of figuring it out, Bitly is trying to figure it out, clearly Google has figured out, yeah, who's doing a lot of work there as well. But it's very early days, you're not seeing yet the commercial enterprise really take that data, package it, and shift their business models toward a data-centric business model. It's early, isn't it? Right, and there's a few reasons for that. Part of it is the technology. The Hadoop ecosystem is very immature, it's growing, but it's still very early days for Hadoop. The MPP data warehouse area is more mature, but that's still a fairly young technology. So part of it is that. And then of course what we've been talking about all day here today is data science, data scientists, and those professionals that can actually take all that data, have the skills, both technical, business, communication, and the personality type, the exploratory nature, exploratory personality types, to turn that all into insight. And then of course the last mile is translating that insight into action. So, and where most organizations are a long way from that. I've had some interesting discussions today with some of the members of the Green Plum team, some members of the MC business process management team, and talking about integrating analytic insights into business processes. And I think we're in very early days there, because ultimately you've got to take action, you've got to impact how you do business. It's not enough to find an insight, it's then got to be translated into an action that actually delivers value. Well, and you're talking about that last mile. That last mile is all about people. You really can't take the people out of that, that last decision making sequence. And again that's the third part of the transformation that EMC's talking about, it's transform yourself. And they're talking about services that they're delivering educational services and the like, which again I think is really smart. I mean, you see EMC as a company, they get a lot of resources now, they're acting like a much, much bigger player. We've seen that transformation of the company, and now we're seeing the company touch upon all these little pieces that are like a mosaic that fits together. You've got the virtualization piece, you've got the infrastructure, you've got the cloud, you've got big data, you've got sets of services now, focused on new training and new capabilities. You've got some fantastic messaging that the entire industry's getting behind, cloud meets big data, and you're also now seeing with, we just had Richard Sneon talking about the Data Science Summit, EMC really leading the charge around data science and putting together a pretty high quality program. It's pretty impressive. Absolutely, I mean, I think what struck me, day one of the conference here was Joe Tucci's keynote and he led with big data and predictive analytics on the data universe, and it was all about big data translating to business value. And for a company like EMC, for that to be the kick-off, the lead message, I think says a lot about where the priorities are, and they're definitely looking for the future and starting to lay the groundwork. I mean, this is kind of planting the seeds, and this is going to blossom over the years for them as they contribute to the community in the form of these types of resources around Data Science Summit and other resources. So they're preparing their customer base for what really can be a revolutionary approach to data and making decisions. You know, it's interesting to hear Joe Tucci talk about the waves. He's always talking about the waves. And what catches my eye in that year is that it's not just a history lesson, it is, but you get a sense that it's a fundamental part of Joe Tucci's planning paradigm. And here's what I mean by that. He grew up in an era of mainframe and mini-computers where great companies like DG and his old company, Wang and Prime and Apollo, and now Southern Microsoft, all these great companies, digital disappeared off the face of the earth. I mean, these were high flyers changing the world, disruptive innovation, and they just went out of business. Not one of them, they disappeared. They either got acquired, some of them actually went out of business, or faded into irrelevancy. And so, in IBM itself, which had a huge monopoly in the business, people don't realize that in IBM's heyday, it had two thirds of the industry's revenue. The IT, if the IT industry's a $3 trillion business, that's a $2 trillion company. Okay, that's how big IBM was. It accounted for 50% of the profits of the industry. And IBM essentially gave its monopoly up to start upstarts, Intel and Microsoft. And so, we saw that, and we saw just huge massive infrastructures of companies built up over years, just torn down, game changing. And I think that today's executive is highly cognizant of that. The executives of places like Cisco, like EMC, like SAP, certainly Intel and Microsoft, reinventing themselves. Look at a company like Microsoft, who many, many people predicted, rough times ahead for the company. Well, granted, it's not the high flying stock that it used to be, but Microsoft as a company is just still highly relevant and is navigated through many, many challenges and continues to do so with cloud and analytics and the like. Oracle's another one. So these companies, CEOs, I think, are very cognizant of the fact that if they make fundamental strategic mistakes, they could be in big trouble. And so I think that Tucci's driving his strategy with that in mind, trying to take advantage of these new waves. And also recognizing that what's buttering the bread today, the core products is going to change. The value proposition of those core products is going to change. There's going to be attacks from other sectors of the industry. And so EMC is investing in new places, in new growth and bringing in new acquisitions. So it's really building a quite intelligent portfolio and that throws off a lot of cash and is becoming a major force in the industry. Well, the key is, it's a balance when you're a large, successful company and you see the next wave coming. When do you get on that wave? Because you've got your core business that's really paying the bills today, but you know you've got to make the shift. So the key is you get on early. You've got to know when to kind of get on that wave. When we're seeing not just EMC, we were at Sapphire last week. SAP is a company that's moving from their core ERP business on-premise ERP business to, they're calling themselves now a big data company. Very much investing in mobile and cloud. So they've got a balancing act as well. So I think we're seeing this across the board and it's going to be really interesting over the next few years to see which of the big vendors today actually make that transition successfully. Yeah, so I mean, it used to be you would see these startups come out of nowhere and then become extremely prominent companies. Well, that certainly happened with Google and Facebook. It's happening in social and that side of cloud. In the enterprise, the enterprise is a whole different ball game, folks. You're talking about five or six large companies that control the chess board. It's IBM, it's HP, it's Cisco, it's Intel, it's Microsoft. Dell, certainly to a certain extent, but EMC and VMware, SAP I would put in there as well. EMC and VMware, I might have missed one or two, but I don't think so. Those are really the, Oracle is the one I missed. The companies that are really driving the business and when one makes a move on a chess board like EMC buys VMware, wow, that is a major factor. Oracle buying Sun, really shifted things, but these companies have so much money now that they're able to withstand those shifts. They're able to respond fast enough. Their executives aren't foolish enough to think that they can rest on their laurels. Things like Andy Grove said, only the paranoid survive and so we're seeing companies transform before our eyes in really dramatic ways. Oracle becoming a hardware company overnight. EMC becoming no longer a storage company. And focusing on big data. And so you see SAP, we heard them last week, completely transforming the company into mobile and cloud and in memory analytics in real time. These are new value propositions. They're catching new waves. They're risky because they're spending a lot of money and if they don't work, they're going to be left with a legacy business that they have essentially said, we've got to move it in a new direction. So they've got to really pick their spots carefully but I think that these executives have done a very good job of that. These companies are listening to their customers and you're not seeing the massive missteps that you saw in the 80s and early 90s. You're seeing a much more prescriptive and deliberate and intelligent and thoughtful attack on market opportunities. I'm waiting for one of these guys to blow up. But we haven't seen that yet. When Oracle has a hole in its product line or an EMC or whomever IBM, it goes out and acquires companies. So they've been reinventing themselves and I think oligopoly is the right word. And oligopoly is actually, in a way it's good for customers because it's stable. In a way it's less exciting because you don't have as many rocket ship startups coming up and disrupting these orders. But it's good for entrepreneurs because they can sell their companies to these oligopolies. So we're seeing this sort of new shift in enterprise tech and it's exciting. Enterprise tech is hot again. We're here, we're live at EMC World. We'll be back tomorrow with day three. Let me just give you a little sense as to what's coming here. We've got some big executives coming on tomorrow. Joe Tucci has announced that he's going to stay on. As you guys may know, Tucci was going to retire. And basically they said it was going to be internal candidates. So there were three candidates bandied around. Dave Goulden, Pat Gelsinger and Howard Elias. Goulden's the CFO. Gelsinger of course runs basically all products and Elias runs all services. Three seasoned execs. All very qualified. And each is going to be in the cube tomorrow. So we're not going to go into the succession plan because they're not going to answer it. But we can talk about it amongst ourselves. I think that there's some really interesting capabilities that Goulden has. He used to run sales and now he runs finance. Gelsinger obviously a legend. He brings a lot. So he's basically very close to VMware and basically works out of those offices very close to Paul Moritz. Been a lot of talk about Gelsinger's Intel and Moritz's Microsoft. That's the new wind tell. I have said that I actually think that Goulden is the front runner because he's got a more well-rounded background for Wall Street. And at the end of the day, it's customers and it's Wall Street that CEOs spend a lot of time with. Yeah, we like to think they spend time with analysts and media and so forth. But the customers are number one. Employees are probably, the customer's number one. Employees number two and making sure the street is happy is number three. Maybe it's not that right order. But so Goulden knows that game. Although Gelsinger has started to show up on the quarterly conference calls more. So that's kind of an interesting development. I think Elias is probably the long shot here, even though I think he's qualified. But he's, I'll tell ya, since this whole talk about succession has come to the fore, I've seen Elias really step up his game. Very smooth, very on point, very strategic, great leadership quality. So, although I do think he's the long shot, I think Goulden's the favorite, but you never know. So, like I say, we'll be watching that, looking at a silicon angle. We're probably not going to go into it with these guys tomorrow, which just wouldn't be appropriate, because they're not going to say anything about it. We also have Tom Roloff coming on, who runs EMC Consulting. He's a great guest. Always have really enjoyed his discussions on the Cube, Chad Sackich, the Wildman is coming on. So that is really face melting. Brian Gallagher, we had Rich Napalovic, who's kind of on today, his counterpart from the Symmetrics Division is going to be on. And then a number of other folks, technologists, we got folks from VMware, we got folks from Rackspace coming on. It's just, it should be a great day, and of course we end with Howard Elias and then the CTO of VCE. So we're looking forward to that. We'll be covering it. My colleague, John Furrier, is out at the HBase Conference and he's there covering that wall to wall. This is the Cube. This is SiliconANGLE.tv's flagship product that brings you the smartest people in the industry. We extract the signal from the noise. We share with you our community what's going on here. Our goal is to be real time on the floor, cover these events like nobody else covers them, bring an independent perspective. We thank you for watching. We appreciate your tweets. I'm at D. Vellante. He's at Jeffrey T. Kelly. F, close. Jeffrey F. Kelly. Jeffrey F. Kelly, sorry. At Furrier is my co-host. So thanks for watching everybody. Thanks to Alex, Kean, and Mark. And thanks to everybody back at SiliconANGLE, Wikibon, watching the stream. The page is up, the shock and awe page. Jeff, you put that up last night. Indeed. Go to Wikibon, you'll see EMC World 2012 for all the coverage, independent original content from Wikibon and SiliconANGLE. Thanks for watching everybody. We appreciate your support and we will see you tomorrow. So don't miss day three, EMC World will be there, wall to wall coverage live from SiliconANGLE.tv. Thanks for watching and we'll see you tomorrow. Bye for now.