 Okay, welcome to theCUBE. We are live here in Santa Clara Convention Center. This is siliconangle.com and wikibon.org. This is theCUBE, our flagship program. We go out to the event, extract the ceiling from the noise. I'm John Furrier, the co-host. I'm joined Dave Vellante from wikibon.org and we're here to bring you two days of live coverage. We'll have Jeff Frick, our other co-host, jumping in here and there. But for the most part, we are live for two days wall-to-wall coverage of O'Reilly Media's Velocity Conference. This is where all the action for web performance operations. This is about the future around operations, devops, application support. Think Facebook, think Google. This is the kind of conversations that everyone wants to go to. All the corporate enterprises that we've talked to all want web operations. They want a scale, hyperscales. We've called it on siliconangle in theCUBE. It's essentially all the technology under the hoods. Again, John Furrier, the founder of Siliconangle, joined Dave Vellante. Dave, welcome to the kickoff for Velocity Conference. What's your take so far, the keynotes, and what's your feel for the event so far? Thank you, John. Good to be here, as always, with you and the rest of the CUBE team. So yeah, we're here at Velocity, and we're talking a lot of web programmers here. Guys running around in t-shirts and serious geeking out. But here's the thing, John, time is money, right? And when you talk about the web, you talk about web performance. Web performance means dollars, whether you're retail shop, we heard today from the Obama for America folks, how when they were able to reduce page load time, it meant more conversion, 14% greater conversion in their specific example, which meant tens of millions of dollars for the campaign. And we always ask the question, is the web getting faster? In some ways, it feels like it's getting fast faster, but the web is also getting more complex. Our network's getting faster, our page load time's getting faster, our browser's getting faster. It seems like the big challenges are increasingly being solved, but in little increments, because of complexity on the rise. So there's this constant tug of war between complexity and speed and performance and risk. Well, Dave, I think one of my observations here, immediately at Velocity, is the distinction between alpha technologists, guys who are doing infrastructure, and then the vendor kind of deal. So like there's other events, when we, you know, GigaOM is having an event they call structure, that's kind of where the vendors go, right? We got, you know, VMworld and other folks out there, you know, they're hawking their messages out there, they've got Amazon. That's the competitive landscape for kind of the business side. But the real action is being defined at the technology level. We were at the GE event yesterday. GE had the cube up there, and they were talking about the industrial cloud, the industrial internet. This is the future. The trends that are really driving the growth in the marketplace are coming from the tech community. We heard the guy talking about the Obama campaign. We're talking about companies that are going to be the next Facebook, the next Pinterest. We had the co-chair here from Estes. This is a company that's built up their web operations to handle massive scale. And there is no doubt, Dave, in my opinion, the IT enterprise will go hyperscales, already going that way, moving from commercial off-the-shell software like Oracle and general purpose computing to specialized devices, specialized commodity hardware. The open compute initiative that we cover at the cube. That's a future direction that aligns with this show. Velocity conferences about what technology is powering the infrastructure of the future. And to me, that's the key message that we're seeing early on in the keynotes. And again, we're going to have a lot of conversations here throughout the day and tomorrow to dig into it. People talk about DevOps, developer operations. What we're going to hear from Theo who's been on the cubes and talk about ops dev. Operations and web development are merging. It's collapsing together. And that's the new future. That's the new normal. And what we're seeing is the kinds of technology. So what's interesting about the velocity conference is it's not going to be catchy buzzwords. It's going to be really meat and potatoes technology. And I think that's the difference between what you're seeing here at velocity and what's happening at other events around the world right now. Well, I think the other thing, John, is we're going to hear from leading edge developers. I mean, these guys are dealing with some serious challenges, right? The average web page size is now 1.5 megabytes. That's pretty large when you start thinking about it. And as well, when we start injecting things like cloud and mobile into the equation, that adds complexity. And on the one hand, cloud is great because you get this wonderful platform that you can write to. But on the other hand, as you start to get things like hybrid clouds and the like, it increases complexity and web developers have to deal with that. Add to that, John. As you mentioned, we were at GE yesterday, the whole notion of internet of things and specifically the industrial internet. All this machine data coming into the equation now and feeding a lot of these websites. How will that increase complexity? Will it certainly willing increase complexity? How will developers deal with that from the standpoint of the user experience? So John, you've been in the heart of Silicon Valley now for a number of years. You've seen the web evolve from the back in the days of the dot com era when things are pretty simple from a web design standpoint. What do you see as the major trends in this space? I think a couple things on that question, Dave, that's interesting, that relates to velocity conference is two vectors that I'm looking at. One is the startup community and two is scaling out operational infrastructure for large enterprises. Now large enterprises being defined now as capacity needs. If you look at what SD's done, for example, that's a great one, Google, Facebook. When Google and Facebook really set the tone for hyperscale, specifically Facebook, because they had to ramp up very, very quickly, you saw developers really drive the operations. And one of the things that's interesting about Silicon Valley right now in the startup community is that the ability to get scale is much faster than it was ever before. What that means is, and you're seeing the VC community react to this, it was a post by Andreessen Horowitz partner, Jeff Jordan, who said the series A is the new series B, meaning seed financing for less than $500,000 is the normal for a seed investment. They're expecting companies with $500,000 to essentially be at scale with validation in terms of either revenue or adoption on the application. So what's interesting about the velocity conversation here is that the startup community is very much impacted because the tech guys, Dave, they're the ones who can take the technology and validate it to the next level. And I'll tell you right now, gone are the days of PowerPoint, series A, series B financing, if you're a startup, you have to take seed funding, do more with less, have leverage at scale, either proof points of the revenue or proof points in terms of application, performance and adoption. And right now that chasm is huge. And if people don't cross that, startups don't cross that chasm, they will not get that B round. So series A financing, Inventure Capitals, now the new series B, the scrutiny and the requirements to get that funding, five, eight, $10 million in funding is now the new normal. And that is about technology. So the stuff they're talking about, web page load, operational performance and capacity planning, scaling, using the cloud, DevOps, all that relates to that entrepreneurial advantage. So this is not just for large enterprises and scale, this is about the entrepreneurial community. Entrepreneurs need this tech and the new winners, the next Facebooks, they're the ones who are going to be doing the DevOps. Well, the thing I love about this crowd, John, is you're talking about startups, you're talking about starting companies, you've started a few, I've started a few. When this crowd starts a company, they don't start by firing up a word doc, they start by writing code. And that really is, I think, what sets this crew apart. All right, so we had a big day today. We're going to be going wall to wall with all kinds of guests. And we're going to start it up with John Alsbaugh, who's here and he is one of the conference chairs and he's going to take us through what we heard this morning in the keynotes and what we can expect for the rest of the day, John. Okay, we'll be right back. This is theCUBE at O'Reilly's Velocity Conference. Use the hashtag VelocityConf, C-O-N-F, Velocity-C-O-N-F, and tweet to us any questions you have, any commentary you'd like to see us go down, any conversation. This is about bringing the conversation. This is theCUBE, our flagship program, where we go out to the events, extract a suit from the noise. I'm John Furrier, Dave Vellante. We'll be right back with the co-chair to talk about Velocity Conference and the impact to entrepreneurs, the impact to infrastructure and businesses. We'll be right back after this short break.