 Live from the Computer History Museum in the heart of Silicon Valley, it's theCUBE. Covering OpenStack Silicon Valley 2016. Brought to you by Morantis. Now, here are your hosts, John Furrier and Lisa Martin. Okay, welcome back, everyone. We are here at Live in Silicon Valley for wrap up a day one of OpenStack SV. This is theCUBE, our flagship program at SiliconANGLE Media. We go out to the events and extract the signal from the noise and I'm John Furrier with my co-host, Lisa Martin, for today and tomorrow, Lisa. Great day today with a lot of great guests. Fantastic day today. Really just incredible buzz on the program today. I think my favorite takeaway today is the number of times John used the word zigzag in context, really just a tremendous amount of collaboration, a lot of innovation, a lot of opportunity and just overall the momentum of the day was a very, very pro OpenStack open source. It's very timely on the zigzag comment but basically we were right on our intro this morning and that is that the community is at a point of introspection where they're looking at moving past the survive stage to the thrive stage and I think you can almost feel the energy of the winds shifting, the winds of opportunity, mainly monetization and that is coming around Docker and Kubernetes really as the big wind, detail wind for this ecosystem and certainly is going to change the game on some of the deployments. I would say that not a lot of end users here because it seems to look at a lot of industry but it's clear that microservices was the theme of the day. Kubernetes, Docker, applications on top of OpenStack in whatever form is the key theme. Exactly and I like that you said that thrive versus or survive versus thrive and I think that was one of the messages that we heard this morning in the keynote was that really when OpenStack started six years ago there was a lot of debate and for the probably the first few years is it going to survive? Now we're seeing a community that's over 54,000 members with supporting partners over 620 million plus lines of code have been written and I think that what we heard today across our guests and from sessions was that in order to move forward from OpenStack to harness the momentum that's coming from new technology they need to be more agnostic, more open to Kubernetes, to Docker and we're seeing some of the ecosystem partners that are really jumping on that bandwagon and driving more of that innovation that OpenStack needs to participate in. Yeah, the thing I was impressed today, Lisa, was that obviously the leadership at the OpenStack Foundation, Jonathan's on stage they have a good pulse of where the market is. These guys at the top and the team of people in the governing body they understand what's happening in the industry so they're very much aware of the big picture in cloud and then they have to come into the machinery of the community and get it done but again I broke this down into six key areas I mean five key areas that I was looking at today community, operations and consumption of the cloud production and deployments, business model and then successes so each one kind of felt differently certainly the community is doing well and I think you're going to start to see some breakout winners, Miranda's obviously is one but you're going to see some other companies I think come out of that. On the operations consumption side still stuck in my mind because the Kubernetes Docker is going to enable and we're going to see how that plays out but certainly it's looking good and looking much stronger. On the production deployments I think you're going to see move from early adopter to production and then also in the business model side that's driving a lot of what we heard Rancher Labs here saying that you used to be able to do million dollar deals in the old days not anymore so you're seeing that's going to be a challenge on the monetization and the success cases. Not much other than what we heard with NFD. Some talk about IoT and SaaS but no real signal there. Right I think AT&T for a while has been the poster child of OpenStack success. They tout that as one of their leaders in this space and really helping to grow it even more but some of the burgeoning use cases I'm interested in hearing as we go forward in retail and financial services I think that there's hopes that it's going to be going in that direction leveraging some other models that NFD and telecom is really driving towards. One of the interesting things that we saw today were our first guest from Walmart Labs. Most people think of Walmart as a retailer. Walmart Labs being their tech engine and how they're leveraging OpenStack. They've been very public about that to really combat challenges with e-commerce through.o. They wouldn't get into specifics today about the big jet.com acquisition but clearly from what I think the analysts like yourself John and others would say is that's a direct hit against Amazon in a direction that they want to go in and really being fueled by the open source community. And I think some of my favorite guests was one was Lisa Kaywood from the ecosystem development Open Daylight and I always joke with Stu Miniman about this. I'm like Stu Open Daylight's so boring. Come on, it's like it's not as sexy as some of the other projects but what's interesting about that in the Linux Foundation is a lot of these projects that have kind of been around for a while are really popping with value and the positioning and the timing of some of these projects like Open Daylight could be a great opportunity for both entrepreneurship and also big companies to take that code and use that software. So that was one of my favorites. The interview with Joe Weinman was spectacular. He was brought a lot of analysts like Mojo to the interview. He's written two successful books. One, Cloudomics, which was a couple of years ago and then now one, the digital, shoot if you have the name of it, digital playbook or something like that. Digital disciplines? Yeah, digital disciplines. Yes, yes. But what he understands is he understands that the realities and the common sense deployments of the cloud and digital transformation was compelling and I thought he brought a lot of insight to that interview. So that was probably my favorite. I've seen him around some of these events. He does a lot of keynotes but what he talked about the China Silicon Valley, the dynamic of the global economy and that if CEOs don't have buy-in to the digital transformation, then nothing's going to happen. And I think that is a fundamental truth at the cloud level and then at the application level. The CEO doesn't get behind it and doesn't understand that this is a new way that will happen if you don't get out in front of that next wave of your driftwood, as we always say. And he talked also along that line about the need for the collaboration from the CEO who wants something to happen now to the CIO and the team on the CIO office and the alignment that's essential. Focusing on what is the problem that we're trying to solve and how do those two get on board to facilitate that transformation? You know, and the thing that Joe points out that I think doesn't always get translated in trenches is it's, oh yeah, you got to move to the digital transformation. But when you look at how to make it happen, it's always challenged. You mentioned culture a bunch of times to the multiple guests. But it was Matthew Lodge, a former VMware guy that kind of teased it out. And that was a little bit of a nuance for the interview because I know his background at VMware. He was in the cloud group and he said something compelling on that. It's the architecture that matters. So even though you might have a dream or hope to go somewhere into the future with digital business, but it's really an architectural thing that has to be decided. And that drives everything. And obviously microservices and cloud were a part of that. So, you know, you can hope for digital. You can aim for it. You can aim for it. You get there. But if you don't have the right architecture, you might not, you might not get there. So I thought that was a nice tie-in. And I'll see Alex Friedland at Mirantis. Very candid, very colorful on the cube. Too bad we couldn't get any more. We tried. Spill the beans a little bit. But over all, great day. Absolutely, I think it was a great day. One of the things that I always interest me about technology is that so many companies are technology companies. And it's very transcendent. Going back to Lisa K. Wood on the show, she talked about SDN. And how not only is it enabling new revenue streams and really you talked about showing value for the channel, but one of the use cases she brought up was in K through 12. And how they're leveraging SDN, sexy, maybe not, to actually humanize the teacher-student experience. And I really thought that was a very transcendent thought that tech companies are really pervasive and having in order to really reach that human element. Well, that's a great point. And that's a great point because what that highlights to me is what we were just talking about. And Joe made a comment, Joe Weiman. Oh, the tech guys will go figure it out. The CEOs can't say that. But the boring nature of SDN and open daylight, all these things that we call boring are going to be abstracted away. So once they're abstracted away, they should be enablers for many use cases from, you know, K through 12 to finance or whatever vertical. So to me, I think that's the most compelling thing that you see in this digital is that there's no general purpose anything, the software enablement from the infrastructure to the applications. And that really points to what we've been saying all along, the developers are in charge. I think that's why Martin Casada's keynote, he had a specific slide, the developers are in charge. And it's a buyer led journey, not a supplier dictated journey, meaning the vendors aren't in charge anymore. That's actually an interesting dynamic. So if you're in marketing or sales or whatever, if you're going to have an orientation, that's you're leading the charge and trying to sell or market or engage somebody, that's not the way the market's reacting. Today it's a buyer led journey. So I think it really points to Martin Casada's slide was awesome. I think that one slide was probably the most profound thing I saw today. So what are some of the things that you're excited to hear about tomorrow from some of the guests that we have on the show? I'm excited to get Lou Tucker on who we went down and took a photograph, Lou Tucker at Cisco. He was a luminary in the industry. He actually is a living legend because he actually has a product here in the computer history museum. And Seth and I got a picture with him last night, hopefully get a nice cube cut out of that. So Lou is always going to be good to talk to. He's phenomenal. Looking at the list here. We have Microsoft on the show tomorrow. We have Puppet Labs, Luke's been on before. So Puppet and Chef has been really to me the pioneers in configuration management. That is essentially the building blocks of what now is being called automation. So I think that's going to be very interesting to get his perspective there. Lou Tucker, James Staten from Microsoft, former analyst, he's a strategy guy at Microsoft. Love to get his chessboard of what's happening with Azure and Microsoft. So it should be great to hear tomorrow. Absolutely and Rackspace is going to be on as well. So it'll be interesting to hear from them in light of their recent Beat the Street announcement, but also what's looming over for them in terms of their direction, how that's going to impact the open source community. And of course we did a story on their recent rumor about private equity, taking them private. We'll see if that's any truth to that as well. So this theCUBE here live in Silicon Valley, day two wrap up, OpenStack is stable, it's healthy, it's surviving and soon to be thriving, seems to be the sentiment. I'm John Ford, Lisa Martin. We'll see you tomorrow for day two, day one of rap. In the books, thanks for watching.