 Live from Orlando, Florida. It's theCUBE, covering Sapphire Now. Headlines sponsored by SAP HANA Cloud, the leader in platform as a service. With support from Console Inc, the cloud internet company. Now, here are your hosts, John Furrier and Peter Burris. Back everyone, we are live in Orlando, Florida for a special presentation of theCUBE at SAP Sapphire Now, it's theCUBE SiliconANGLES flagship program. We go out to the events and extract the signal from the noise. I'm John Furrier with my co-host Peter Burris. I want to give a shout out to our sponsors. Without them, we would not be here. SAP HANA Cloud Platform Console Inc. Cap Gemini and EMC, thanks for your support. We're really excited to be here. Wall-to-wall coverage, three days. Over 40 videos, going to be hitting YouTube. SiliconANGLE.com slash YouTube. Our next guest is Daniel L.V.P. of SAP HANA Cloud Platform Product Marketing. Welcome to theCUBE. Thanks for having us. Thank you, John. You got all that out without a stumble. That was fantastic. I memorized it. That's great. Without our sponsors, we wouldn't be here. Thank you very much. Thanks to you. And it's been a great support from you and your team. Really appreciate it. Welcome to theCUBE. Yeah, I love being here. You guys have something very unique in how you bring a play-by-play but from an analyst perspective. Very, very unique. Someone called me Pat Samaral and Peter John Madden yesterday, which is great call because the highlights are ESPN. And I like it. It means all the battle-looking ones. Exactly. It'll be an NFL game day. But the game is on. Who's a guy? Boom! Boom, the cloud is here. Boom, the cloud is here. It's the whiteboard. But all seriously, it's a great conversation. And one of the things that's emerging out of the whole Haunted Cloud platform ecosystem play is that it's really buzzing. And it's not like sizzle, but it's a steak on the grill as well. So there's a lot of meat on the bone. And the thing that we're seeing is that SAP is basically putting themselves out there with tech and not trying to do the land grab. Not saying, hey, we're SAP and this is all a marketing program to get more SAP share for our other stuff. There's clear separation between SAP stuff, whether it's whatever the customers are buying, and then an open way for developers, both SAP developers, and now mainstream developers with iOS and Apple. So huge shift and the ecosystem's super excited. So I got to ask you, how do you guys separate out the market? Explain for the folks out there how this all fits in? Because the Haunted Cloud platform is more open. It's really non-SAP in a way. And there's other clouds out there and let's face it, you guys weren't getting the buzz a little bit late to the party and you got the product in good position right now, but you got Amazon out there as your Microsoft was here, doing relationships with you, your partner with Apple, IBM was on, Cisco, all the big guys are here working with you. Separate out what it means. Slowly back up. Let me back up and give you all the Haunted Buzzwords. And we've been very confusing to the market on how we've branded the different Haunted products. So there's the Haunted database, data management platform. We came out with that in 2011. Very similar to Oracle from a SQL interface standpoint, very different from a technology standpoint, all in memory and everybody knows that by now. Then we have another initiative called S4HANA. That's taking all of the applications, porting them on to the Haunted data management platform. So that's the AppStack. So Business Suite is now S4HANA. So data management with Haunted, S4HANA, AppStack. Then we have something called the Haunted Enterprise Cloud. And that's just basically a managed service. You want to take your landscape, give it to our data center, let us manage it for you. For SAP stuff. SAP stuff. Yeah, not any of the red stuff or anybody else's apps. But some of the partner extensions. But some of the partner extensions, yes. And that has to be certified, but basically it's a managed service. So you want to give your data center over to SAP, guarantee that it'll run, well upgrade all of the apps and enhancement packs and that kind of thing. So that's Haunted Enterprise Cloud. And then finally, Haunted Cloud Platform is something different altogether. It really is our offer, open platform as a service. So any of the applications that SAP is shipping today, whether that be business suite, S4HANA, success factors, Ariba, Concur, Cloud for Customer, you name it, can be extended or integrated using Haunted Cloud Platform. So Haunted Data Management, HEC, the managed service, S4HANA, the new AppStack, HCP really the extension platform for that SAP ecosystem. Now I say that, it's an open platform, it's Java-based, can you believe it? It's not ABAP-based, it's Java-based, Node.js, all open systems, we announced at the show that we're shipping Cloud Foundry with Node.js runtimes, scripting languages like Ruby and Python and PHP and Go, databases like Mongo and Postgres and Redis. It's open systems, baby, right? All the tools that they are offering are all in. They can do that, yeah. So any programmer under 30, we can now approach and have a conversation with. They don't have to learn a German programming language. Now, whether it's good or bad, it doesn't make any difference, it's open systems. And so that's kind of the framework of what we announced. What's it mean to developers? Okay, let's take that forward. Okay, open Cloud Platform, okay, great, under 30, or just open source is so good now. I mean, all the Q and A, all the questions are on stack, overflow and all these Node.js and technologies are all out to be reused, so that's what people want. Okay, what's the impact to me? I'm the developer. What does it mean? What's in it for me? Do I have access to all the SAP stuff? I'm used to dealing with all these different tools to put systems together. That's the beauty, John, is all of those tools that you use as an open systems developer, you can now, through HANA Cloud Platform, get to the backend systems that we didn't expose before except through an ABAP stack, right? You don't have to learn Bappies, you don't have to learn ABAP. You can use your Java capabilities using Eclipse if you want, if you want to do it on your desktop device or use a Web IDE as Java-based, right? What you're exposing these through API and microservices? Exactly, exactly, through either APIs or through integration services, through a direct connect back to the back ends, and we not only expose data, but also processes as well. So you can take advantage of a process. One of the things we announced this week was the API business hub. So now we're going to deliver a catalog of APIs where we'll publish into an open system developer can say, oh, what's with that management accounting services? That hooks back into S for HANA. I just need to call the API and take advantage of those management accounting services. Very cool, very cool. So on the Apple relationship, which is an iOS-based thing, the developer can then go to the enterprise customer so let's take the ecosystem now. Okay, I'm a developer, I have a white space, I see some unique thing that I could, a problem that my customer has that I could solve, or I'm an entrepreneur and say, hey, you know, I have a unique idea, I want to solve that problem. I code it, but I might rely on SAP data, say in ERP, I could tap that. You can now tap it. And integrate it in seamlessly. Yes, and show it natively in an iOS device. That's what we're delivering through the ACP software development kit, SDK. So you're an Apple developer today. Well, you could develop the next Snapchat or some consumer-to-consumer app, but interesting, the bulk of Apple devices or the bulk of the devices in the enterprise are Apple devices. They're not Android devices. Apple's done some work on that. Upwards of 75% are actually Apple devices. So now, you're a developer, you want to get access to all of those different applications that SAP has delivered in beautiful 1990s master detail today. Well, I mean, let's face it. I mean, we had this comment on the queue which we concurred with. The user experience of enterprise software is dated and old and people are bringing their phones to work. It's really kind of you to say dated and old, okay? I would have said old and crappy, okay? But, I mean, no one wakes up and says, hey, I can't wait to download my enterprise app and use it on the weekend. My master detail, exactly. I have to use it, it's like root canals. You love it, but you need it. Part number 0-0-0-7-4-3-X-P. Okay, so now they can get into all of those processes without having to know the back-end process. We're through the SDK, we're going to expose all of those. Here's some data on some of the onboarding. I know you had a lot of early adopters and now the program's ramping up. We've talked over the past year and you guys are tweaking the process. You want to make sure the product was solid. That was key. Might have been delayed a little bit, but the timing of the Apple announcements, perfect. But I can imagine that the developers are excited because certainly in the ecosystem out there in Silicon Valley and beyond, there's a softening that's kind of a bubble bursting if you will, on the consumer stuff. So there might not be a couple more unicorns. There's a few unicorns that come along in every cycle of innovation. But the enterprise is hot. So the buzz on the street is the enterprise is hot. That's where you make money. And that's as everyone works for a revenue model, you got to break even. So there's a big focus on that in the entrepreneurial ecosystem. So is there an uptake that you can share or any stats on the kinds of new onboarding that you guys are doing? Yeah, so just this week we also announced that IBM is taking all of their mobile firsts for iOS applications. They're going to participate in the SDK and they're going to move all of their applications onto the HANA Cloud Platform. They had a beautiful UI that they built for a hundred little mobile apps that were enterprise ready, but not enterprise connected. So now they're going to connect all those hundred little apps like find and fix and parts manager and that kind of thing. I can see the slogan now, enterprise ready to connect. Exactly. Connecting. Exactly, connect in. It's pretty decent validation of some of the things we're talking about here. Exactly. And the HCP play in it for SAP is that's the gearbox to get them back to all of the SAP apps, whether they be on-premise business suite, on-premises for HANA, workforce management with success factors and field glass. It's the gearbox to get them back to all of those. So I asked the question, you're in product market, so you get your eye on the prize and the market you're forward facing, but also you got to work with the product teams and deal with that. Do you see a window of opportunity right now because the timing of having the product ready with HANA Cloud Platform plus the Apple relationship and the IBM stuff, which is more validation, a window opportunity with the, the wind is at your back, it's a window. You got a short window to kind of go out and win. Are you worried about that? Are you guys investing heavily now? Do you see it now at a time to throttle it up and pedal to the metal, straight and narrow, 90 miles an hour? You know, I actually see it as the wave is forming, okay? I don't think our customer base knows that much about HANA Cloud Platform. It really had its coming out party at Tech Wave last October and now it's have, it's now exposed to the business group. It had the techie outage, now it's the business outing. I see the wave starting to form, okay? And we got to catch the wave and we got to ride the crap out of it. And there's a lot of stuff on the product side we have to deliver. There's a lot more that we have to do for integrating into our existing systems. We have to provide more, not direct connects. We've already got that piece, but more integration with the processes, right? I would say we're not all the way there yet. And so we have to push our product management and engineering teams to do that. And that's not always easy at a big company like SAP that has all these different divisions building processes, right? And then the other hard part is we got to make sure that our sales reps are introducing us into every single customer account as the gearbox, as the agility platform, right? So that's starting to happen. So I would say, I wouldn't even say we're on the wave yet. We're starting to catch the wave. So let me build on that. I got two quick, well two questions. I don't want to say they're quick, but here's the first one. Here's what our CIO clients are telling us. One of the advantages of everything you said, platform, a lot of entry points means that their business can pick their own roadmap for how they go to S4HANA. As opposed to having a single one way and that's the only way in, that'll extend the adoption cycle. Do you see that being a positive thing ultimately for not only SAP in getting this message and getting this product out, but also all the partners and the ecosystem to drive this whole thing forward? Let me answer the customer part of that first. The way we have set up S4 and HCP is S4 is the core that you really don't want to touch that much. You don't want to customize that much. You don't want to extend. You do that in HCP. Why would you want to do that? Well, as we deliver new enhancement packs and we're delivering every couple of quarters on the S4 platform, every time you do a customization inside the app, when you have to upgrade, you got to do regression tests. You got to check the customizations against the new rev. It becomes, in technical terms, a hairball, right? It becomes a huge hairball. Take that off the plate. Just do it on HANA Cloud platform. And so that's the customer angle to it. The partner angle to it is very simple and it's a win-win for partners and for us. They can, and for customers as well, they can build a little app on the platform, snap it into S4 or SuccessFactor to C4C and make it look like an app that's part of our SaaS application, okay? The customer doesn't have to provision anything. The customer takes a tile and puts it on their SuccessFactor application. We win because they're consuming it on HCP. So we're monetizing that too. So the partner has an easy path, the customer gets something easy, we help monetize on that. It's a great story and a lot of folks are looking for it. So for example, some of our clients are telling us, we are looking at the S4 platform, S4HANA platform, or we came to it through analytics. So here's an interesting question, Dan. You've got a lot of background in database. So the old way of thinking about building a database application is you didn't want to write an application required more than 80, 90, 100 disk IOs. Yeah. Now we're talking about in-memory databases, common organization, provide any number of different straightforward common interfaces from a view standpoint back to the application. But we're talking about what used to be or the equivalent of hundreds of, tens of thousands, maybe even hundreds of thousands of IOs. What does that mean to the types of applications that we're going to be able to build in the ecosystem over the course of the next few years? So you're right in that all data's immediately available and memory ready to go. But here's the cool thing that I think you were getting at. You can build a structure one time, you build a table structure one time. On top of that, you just build views, view logical views, and then your queries or your application looks at the logical view, right? Now logical views aren't something new. It was horrible to do it on a disk-based database, right? You had to do tons of optimizations. In a memory database, it doesn't matter, it's all there. You just look at the logical view. So we're going to see people stacking up more and more and more logical views, specifically in the analytics use case, we see that all the time. From a partner standpoint, they're going to build their table structure and then mix and match new different application types using logical views. And you know in HANA, we provide calc views and attribute views, so we, even better ways to do that. But the bottom line is the way you get to that ability to take a tile and drop it into a system and add that functionality is because that underlying platform can support that view in an almost unlimited way. Exactly. Whether the data is in HANA in the cloud or whether the data is still on-premise through a direct connection back in the existing HANA system on-premise. Of course, unstructured data complicates the database equation, but also they have to coexist with the schemas and the structured databases out there. That's right. Has that thrown a curve ball at you guys at all or not a problem at all with HANA? So, you know, we've got an answer for that with Vora. I don't know if you've talked to any of the Vora folks, but you know, what Vora brings to the party is it brings in-memory capabilities. It's an in-memory index for Hadoop data. So instead of pointing your SQL query or building a MapReduce or using Hive or one of those technologies. Or data lakes, just say data lakes. Or whatever, you just pointed at Vora and it's already indexed in-memory, right? So our plan and our hope is that soon Vora will be on the HANA cloud platform. So that's just another piece of technology, it's another service that we provide for generating a view on top of Hadoop data. That's key. So talk about the ecosystem innovation because one of the things I love in McDermott's opening keynote, and I love the term business model innovation. Is that just really speaks to a whole new level of innovation, usually it's like tech innovation. We love to get disruptive enablers, platforms. At the end of the day, the application of the tools and platforms, however they're developed by whomever, impact something. That's the business, that's the revenue. The new, these new processes that are emerging. I mean, IoT's a great example. It's kind of an unknown process. It's hard to automate that workflow because it's evolving in real time. What innovations can you point to that you see and that SAP sees as key mile markers, if you will, that shows that these things are being innovated on the business model side with the ecosystem. Yeah, I'll give you two examples. One that's kind of just a speed up and then I'll give you one that's a business model. So Homburg Port Authority is the port authority for Homburg, the second largest port in Europe. And for them to keep up with the competition, they're going to have to double and triple in the next 15 years the amount of goods going through their port. They have nowhere to build out. They cannot make their port bigger, it's surrounded by a city. There's nowhere for them to go. So they're using Hanukkah platform to basically create a grid. They're creating a utility or a cell network grid of all the containers that are sensorized, all of the trucks that have telematics information in the trucks, and they're also bringing in traffic information so that when the container comes in, they can bring the exact truck in that needs to get it in the right path into the port. If you think about that, that's a cellular network and that's what they've built using Hanukkah platform. So that's, it's a semi-change in business model for the technology. Seconds matter to them, literally, right? The faster they can match up the container with the truck that's going to move that container, the better off they are. They've got to clear the inventory, sounds like a business problem. Exactly, right? And think about it, they're probably going to sensorize the ships as well. They're going to stage those guys coming in over time, right? What's the other example? The other example is really interesting. A small company in Germany that builds forklifts. There can be nothing more pedantic than a forklift. It picks up a pallet, it moves the pallet, it puts it down, right? Okay, so here's what this company's done, it's called Still Forklifts. They are using Hanukkah platform to match up their order system, which is an SAP, with the forklifts that are sensorized on Hanukkah platform so that the order system will send the order to get picked by the forklift. And the forklift and the order system have the maps of where everything is in the warehouse. This is the client's order system. The client's order system, okay? And they've also now, they haven't done it yet, but they're working on a forklift, a forklift integration so that if this guy's over in this part of the warehouse, he has to pick something up over here, this forklift is over here, they meet in the middle, trade some product, get it out to the docking station. So the forklift is an IoT device to the order system, and it opens up the possibility of greater automation within the warehouse forklift. And they've changed their business model. They're no longer selling forklifts, they're selling pounds of goods moved within the warehouse, from in the warehouse to shipped, and they're billing on a monthly basis based on pounds of goods shipped. They're not selling forklifts anymore. That is pretty cool. That's a complete shift. That's a business model shift. It's an outcome shift. Yeah, absolutely. They're selling the outcome. Exactly, exactly. Okay, so, and they had to think differently about their business, right? You know, they had to think we are not a forklift operator, we're a goods mover operator. To your business model, we were a forklift operator, now we're goods mover. Exactly. An in warehouse good mover. Exactly, exactly. That's a great example, enough to give innovation, because now, as the key knows we're saying, people are afraid to go out of business. And so the opportunity for the ecosystem is, put one of those guys at check. Exactly. They'd have been to check, if they don't move, you take their territory. Exactly. So it's a nice cycle. Exactly. I guess they can win on both sides. On both sides, yeah. All right, yeah, I got to get to the question. So, plans for this year, you got the Apple, you got the cloud platform, you have all this goodness going on. What's the plans for the year? Give us a taste of some of the things that you want to achieve this year out in the market. And what KPIs are you looking at? Yeah, what are we going to be talking about this time next year? I think we're going to be talking about what did you guys do in the area of Cloud Foundry? Have you guys really delivered on your Cloud Foundry promise of going open source and moving toward portability? So next year, if we're fortunate enough to speak again, that's what I want you to ask me. Where are you guys on delivering Cloud Foundry, pushing open source, open development for developers even further as we talked at the outset of the interview. And then secondly, where are we on the API business hub? What is SAP doing to expose the thousands of business services that we have to our customers to be able to use the HANA Cloud platform with a catalog of business services that we're exposing to help them extend or modify or build out new applications. And new onboarding numbers, having numbers showing growth. That's right. Now what that means from a revenue standpoint, it means we got to double or triple our business next year. We're not talking a 10%, 15% growth. We're talking an order of magnitude growth for our part of the business. And so you'll be investing more in marketing, training, tools. All of the above. All of the above. Hey, companies want to get into the enterprise and the existing enterprise suppliers want to stay in the enterprise. Exactly, exactly. It's a good time to be an arms dealer. Exactly, and we'll supply it with the HANA Cloud platform. Dan, thanks so much for sharing your insight here on theCUBE. Really appreciate it and great to meet your team and everyone here, it's been fantastic. We are live here in Orlando. The theme is live here at SAP this year. And of course we got the live coverage from theCUBE. This is theCUBE. I'm John Furrier, Peter Barris. We'll be right back. You're watching theCUBE.