 Live from Las Vegas, it's theCUBE covering HPE Discover 2017 brought to you by Hewlett Packard Enterprise. Hey, welcome back everyone. We are here live in Las Vegas for theCUBE's exclusive three-day coverage. We're on day two of HPE, Hewlett Packard Enterprise Discover 2017. I'm John Furrier with my co-host Dave Vellante our next guest is Susan Blocher, Vice President of Marketing, Data Center Infrastructure Group, part of Hewlett Packard Enterprise. Welcome back to theCUBE, great to see you. Great to see you both again. So a lot of great stuff. So I want to just, a lot of buzz, gen 10, a lot of new capabilities. Let's get right into it. Hard news, what's the update? What's going down? We made the magic happen for this Discover. It's just really exciting. So hard news, we really focused on three areas for our customers, new levels of agility across their hybrid IT infrastructure which means automation, better performance enhancements, taking things that used to be very manual and making them sort of run seamlessly. Number one, number two, security. And we're talking breakthrough security. So this is where we've been able to leverage some unique opportunities like the fact that we build our own silicon to put a silicon root of trust or an immutable fingerprint right into our silicon that can never be changed and that fingerprint will not let infected firmware start up. So no matter, you know, as long as the firmware is the right firmware, it'll boot up seamlessly. If it's in any way been compromised, you will, it will not let that server boot up. So super secure infrastructure. And last but not least, our customers were telling us economic control. We need economic control. We need cloud like economics. We need pay as you go. We need the ability to get capacity on demand. And so those are the things that we really innovated on for this year. And one of the things that's coming out, we had Bob Moran on the security thing and James Morrison, I'm going to call him Jim Morris. I respect his name, I'm sure he gets it all the time. But the security on the silicon is interesting to me because now you're seeing things like blockchain, these immutable environments where people have this trust relationship. And that really hits the ransomware side of things, really in a big way. What else is that hitting? I think that is to me the big news is the security at the server level because there's no perimeter anymore in this cloud like environment. So this is kind of a cool way. Explain more, just take a minute to talk about the security piece because I think to me that's game changer. Super fascinating. And you know, I'm quoting somebody else so I'm blatantly stealing somebody's line, but I was reading an article where somebody said, firmware is a cesspool of Trojan horse opportunity for cyber attackers. And I really, that took me back because I was like, boy, those are some strong words there. But really with all of the investment that companies have made over the years in data security, application security, network security, no one was focusing on the servers. And frankly, there's a million lines of code, and I'm sure Bob said that, there's a million lines of code booting up to get your servers up and running that no one has protected up until now. And so we recognized about two years ago that this was a huge threat and increasing every day. And boy, you know, two years later, we are in the nick of time to give customers really the peace of mind of that security. One of the things that Wikibon just put out in terms of reports on research, that I find fascinating that ties into this trend I want to get your reaction on is, I think the only research firm that put this out actually is they actually size the true private cloud market at about 260 billion. And that's not included in the hybrid piece. That means on-prem cloud-like capabilities for on-premise data centers, which means, hey, that's not really going away. So it points to that narrative that, oh, data centers are moving to the cloud. So that's kind of probably not going to happen anytime soon. But the cloud-like capabilities are there. But one of the interesting stats is that there's billions of dollars in cost shifts from labor to higher differentiated yield or differentiated stuff inside the organization. So IT's not getting smaller, it's getting changing. That's right. So how are you guys taking the Gen10 and other things and helping customers abstract away those tasks? Yeah, exactly. So look, you know, all of our customers are really doing hybrid IT now. And so they're doing some things on-premise. They're doing some things off-premise. And you know, frankly, it makes sense. But Frank, there's a tremendous amount of compromises that they have to make on both sides of the coin. And so what, you know, we've been talking about a new compute experience, and that's really what we mean. It's really, it's not saying you should have everything on-premise or you should move everything to the cloud. It's really saying, how do we give you the best end-to-end experience across agility, security, and economic control so that the trade-offs that you're making are not trade-offs on, you know, the pros and cons of those silos of IT, but really looking at it from what kind of business outcomes do I need to drive? And that's how I make my decisions. So if you go back to around 2010, John, we would talk in the cube about a couple of observations. And it sort of coincided with the ascendancy of the public cloud. We said that the hyperscale guys will spend time, engineering time, to save money and automate stuff. But the enterprise guys, they'll spend money to save time. They don't have all those engineering resources. And we talked about that for a while. And it kind of got old and sort of boring. Fast forward to 2017 and that's exactly what happened is vendors have put in a lot of effort to create cloud-like capabilities. And to John's point is you're seeing a shift in staffing away from undifferentiated stuff. So talk about what that means for the data center infrastructure group, sort of how you position and how you talk to customers and message them about your role and how you add value. Yeah, absolutely. So look, first of all, we don't talk about just data center infrastructure. I think that's really where it starts because frankly, customers are talking about their data. They're talking about their applications. They're talking about how to bring intelligence to their hybrid IT experience. And so what we're talking to them about is really how do we bring that together for them? We're talking about software-defined intelligence, how we're leveraging HPE OneView to automate the deployment of applications across what could be a complex topology but doing it absolutely in an automated, seamless way. We're talking about how we're taking ILO and building the security in, but we're also doing things like intelligence system tuning where we're partnering with Intel and really figuring out how to take what is the Intel turbo boost mode from their processors and make it even better. And so a lot of applications can't take advantage of the turbo boost mode because there's a bit of, when you hit that high frequency, you get a little bit of jitter and that jitter creates latency. And so a lot of applications like core banking, video streaming, high frequency trading, they can't use turbo mode because of that jitter that creates latency. We've been able to figure out, partnering with Intel, how to dampen a little bit of that speed but still get turbo mode and eliminate that jitter. So no latency for the first time, these applications have been able to take advantage of turbo mode. And what we figured out is even though we dampened it a little bit, they actually perform better with that little bit of dampening than they would have if we had shot them up with full turbo mode, right? So super exciting innovation like that. Sounds like Piper. Hahaha. But this is the kind of innovation that's going on in the systems world and the other observation we're seeing on theCUBE is you know we go to a lot of events is that systems is back. Like there's kind of an undercurrent going on in the industry where hardware and systems, operating systems folks are now part of big transformations whether it's hyperscale or in service provider and enterprise. So how are you guys looking at the compute differently if the notion of a server is shifting and they're maybe consuming IT differently where the channel partner might become a provider and all these things are going on. How do you guys look at this new style of computer or how Meg says the changing landscape of compute? The changing landscape. It's all about really understanding our customers and who they are and how we can look at their unique needs and then segment our value and our portfolio toward them. So you talked about hyperscale, users like service providers, cloud service providers, small and medium sized businesses, enterprise customers, telco environments, high performance computing, super computing. What we realize is that one size does not fit all and that's really what it comes down to and that's one of the trade-offs of the public cloud environment. There's lots of good things about public cloud but one of the trade-offs is it's kind of commodity hardware and one size fits all but if you're trying to do any kind of mission critical applications, like I said, high frequency trading, you need super computing capabilities, you need deep analytics, machine learning, whatever the case might be, you really need to specialize the infrastructure and HPE is right there working with our customers regardless of their needs and their segments, we've got the solutions that will help them do that. So one of the things I'm inferring from some of your comments is, I want to ask you about marketing. I always struggle with marketing. You're shifting the message from product, product, product to business impact, okay, that's clear. What else is working in marketing these days? Is it, you know, it's never one silver bullet but there's belly to belly, there's events like this, there's obviously, you know, old school email marketing, there's social media. What are you finding as a marketing pro? We talk a lot about digital transformation for our customers but digital transformation has come to marketing. So that's the biggest thing. We have made a huge shift at Hewlett Packard Enterprise in digital marketing. So everything that we're doing, used to, I mean, even an event like this, which is physical, but it used to be kind of a one-off, we'd do all this prep and, you know, the week would go by and it would disappear and that would be the end of it. We're learning to build snackable content assets that have life after life after life, we're really embracing the social media, we've built a whole new digital marketing platform, we've shifted from what I would call traditional demand generation to really reaching our customers through digital marketing in every country globally. Huge, amazing metamorphosis and frankly, with the announcement of the new HPE compute experience and the Gen 10 platform and the world's most secure industry standard servers, it is the perfect timing of bringing all of this incredible innovation of technology to market at the same time that we're innovating around marketing. So it's going to be the next 12 months, it's going to be super exciting. Eating your own innovations. That's right, that's right. Congratulations on the Gen 10 launch and all the great goodness you guys had going on. The security thing, a big deal. Big deal. Looking forward to following up on that further after the show to keep it going. Certainly the digital assets here in theCUBE will be available on youtube.com such as SiliconANGLE, of course the CUBE gems and highlights all available. Thanks so much for joining us on theCUBE. Really appreciate it. More live coverage from HPE Discover 2017 after this short break. Stay with us. I'm John Furrier with my co-host Dave Vellante. We'll be right back.