 Hey, welcome back everybody. Jeff Frick here with theCUBE. We're at the Zora Subscribed Conference, 2017, downtown San Francisco. A thousand, two thousand people talking about the subscription economy. I think it's like the sixth year they've been doing the show. First time we've been here, we're excited to be here. But we're joined by a company that we spend a lot of time talking about IoT and the industrial internet. And that's G, but a new guest, Gaitis Bardukas. He is the head of Predix product management for G Digital, welcome. Thanks, Jeff. Thanks for having me here. So you guys, I mean, we were there in 2013 when Beth and Bill launched the industrial internet initiative at the Jewish History Museum just across the street. So you guys have been in this space for a while, the G Predix cloud, industrial net cloud, you guys have been doing a lot of stuff there. So give us kind of an update. Where are you? Obviously, pick to highlight one of the key stories here. People probably don't think of GE as necessarily a subscription economy type of play. But- So why are we here? Yeah, so why are you here? Well, we're here because we are a subscription economy. I mean, what we're really focusing on with Predix is building a platform that allows third parties and first party applications to be built around the industrial space. And so a lot of what we're hearing from our customers is that they want to subscribe to those services, right? They want to subscribe to either the production of the services, but more importantly, maybe the different elements that bring together a solution. So thinking about the concept of like a digital twin, a virtual representation of a physical asset, a lot of times what people want to do is they want to build twins specific to a specific asset, but they want to bring together the analytics and the data associated with that, maybe some environmental factors that they subscribe to from a third party, bring those all together, do an analysis, right? And then basically give that stuff back. So they want to subscribe to things like analytics. They want to subscribe to data and the inputs. So that's why we're here. We've been using Zora as part of our subscription service since we kicked off G predicts last year. We went GA in February and it's proven to be a very flexible solution for us. So the part that I don't think gets enough talk and there really wasn't a lot of talk in the keynote is how a subscription relationship changes the way that you engage with a customer. Because if you just sell them something, here's the transaction, go off, go run your jet engine, go run your turbine. But if you have a subscription and it's an ongoing value delivery to pay for that ongoing money that they're giving you, it's a much kind of deeper relationship than kind of a single transaction. Well, it can develop to get a much deeper relationship. I think the thing that allows you to do is it allows you to experiment a little bit, try a couple things, figure out what works best for you as a customer, right? And then invest in those areas. You don't have to make a big purchase order, right? You don't have to go off and spend a lot of money on a bunch of software that may eventually go away, right? You can almost try before you buy or try as you buy. It's probably a better way of putting it, right? And so what we're seeing is we get people the ability to experiment. I think, you know, we talk within GE about productivity, right, and the impact we can make on productivity. To me, it predicts us as much about innovation, right? It's giving people the ability to try different things, to try and see what happens when you bring in environmental factors, right? Or usage data, right? Or operational data. Or, you know, we talk about jet engines a lot. Looking at the different pilots. How do they operate the engines? You know, so there's all these scenarios you can sort of experiment with on a subscription model, find out what works and then go deep as necessary. And it's interesting, Tien and the keynote talked about what's different now is that you can buy, you can upgrade, you can cancel, you can downgrade. So again, this interaction, as you just described, allows for a bunch of different types of engagement, not just the big bang. And the other thing that's consistent with what we hear over and over, right, is the democratization. Democratization of the data, democratization of the tools, so that if somebody does have a hypothesis, that, you know, we've been looking at obviously a plane operating in the Southwest United States is going to have different characteristics as one operating in Alaska. But as you just said, maybe we should look at pilot characteristics. Maybe we should look at, you know, back in. So when you open up that innovation platform, now you have so many more people coming up with hypothesis, testing hypothesis, and you open up the resources to your company to do so much better. Well, and you have little innovation, like so we have a partner based in Israel, Platin, who's doing some stuff in the manufacturing space with G as we start thinking about additive manufacturing, right, you want to start thinking about the composites and the materials that actually go into the engine, right, and sort of how have those held up over time. So you can build a much more longitudinal view of that. And again, it can be a subscription service where you start experimenting, you start understanding, especially with additive being sort of a mechanism to decentralize a lot of the manufacturing. You don't need to make a huge investment to do those analytics. You put some software alongside the additive systems and you've got the ability to innovate and understand better like what composites work better. I mean, you talk about the operation of the engine, but how about the manufacturing engine? Are there optimal environments, right, where you want to build those engines? And I think we've done great work as an industrial company to understand how to optimize systems and probably even like what the environmental factors are to build an engine effectively, but when you start distributing that, you really want to gauge that real time to understand what the impact could be. All right, so we were on short time leash here, unfortunately, but I want to give you the last word, give a plug for the Predix Transform show coming up as part of Minds and Machines. We went for the first year last year, I think it was 2,000 developers, pretty great turnout for really a development platform for an industrial internet cloud. Yeah, so what we've done this year is we're bringing together Transform, which is the event for our developer community, with Minds and Machines, which is more targeted towards the business leaders, or some of the IT leaders in the organization, and bringing them all under one roof. It'll be here in San Francisco, mid-October. I don't have the exact dates. I probably should, but I think it's like around October. And look up on the internet. You look up on the internet. But we're bringing those together. So we can have a dialogue that spans the complete spectrum. It's the people that are building, and we'll have hackathons, and we'll have places where people can actually work on that. We'll judge those different solutions that are being hacked together, and then we'll be presenting the business value and the impact we're seeing with a lot of the industrial customers. Again, many of them are Gs, existing customers. We've got customers in the auto industry, elevator, escalator industry, fixtures, manufacturing, spaces that we haven't traditionally played. And so we'll be talking about all the benefits we're bringing to those customers, plus some new product introductions, which I can't talk about now. All right, great event. IT meets OT. We went last year. Jeff was there. Beth was there. Bill was there. All the players, a great show. Well, congratulations on your successful Zora, and we look forward to seeing your minds and machines. Okay, thanks, Jeff. All right, he's Gene Assam. Jeff Frick, you're watching theCUBE from Zora Subscribe 2017. We'll be right back after the short break. Thanks for watching.