 We're back here in Las Vegas, this is HP Discover winding down day three and getting ready to wrap this up, but towards the end of the day we still got some more action here. This is theCUBE, SiliconANGLE exclusive coverage, HP Discover, I'm John Furrier joined with my co is Dave Vellante and Sean Daugherty, Vice President of Business Development of Enterprise DB, collecting trophies here at HP Discover. Welcome to theCUBE. Thank you very much. So first of all, tell us why you're here and the awards you guys have won. So Enterprise DB and HP have been partners for several years now and we provide, we're the Enterprise PostgreSQL company, so we provide a certified supported database distribution based on Postgres and yesterday HP awarded us the Alliance Won Partner of the Year for mission critical computing category. So Postgres has been around for a while, it's still very popular, certainly not anywhere close to being on the downward trend, although other databases have and we've done so many CUBE interviews over the past couple years, our fourth season. My favorite sound bite around the database world was it's now really trendy to be a database guy. You go back five years, you're a database, now it's like the hottest thing. Data science, databases are now really killer because with big data, you can store it on a drive, variety of different formats, Postgres, HP, DynamoDB, you name it, there's a lot out there and some are rising, some are falling, but at the end of the day, the world's going software, so the database layer is in the essence, pick your tool, pick your platform. So with that all going on, how do you guys see your place in the market there? So we've really seen kind of a renaissance for Postgres QL over the last year, it's really the only open source relational database option for the Enterprise. People will say, well there's MySQL, but MySQL wasn't really built to replace Oracle or replace DB2 or Sybase, it's more of a kind of a web presentation, read mostly, read only database. And so with the three legs of the infrastructure software stool, you've got operating system, middleware and database, we've already seen two of those three fall from expensive proprietary solutions to open source. And so now that the same phenomenon is happening with database. So you saw the Unix to Linux move, you saw the WebSphere and WebLogic to JVos and Tomcat move, and now you're seeing what Skype is all on, Postgres, Instagram. We have large companies like Korea Telecom moving from Oracle to Postgres. So the momentum is really gaining. So why are they moving? Help us understand that a little bit better. Well, the move is really two-fold. One, companies don't want lock in, they want flexibility and choice. And so when you're locked in, especially when you're locked in for really high dollars, imagine Oracle's list price is $47,000, a core, plus 22% maintenance. So the second thing is in cost savings. So the value proposition for us is offering an enterprise class database for about 80 or 90% cost savings. The similar cost savings customers we're seeing moving from Unix to Linux, the performance is as good, but you have more money to either spend on things that help your business grow or put it to the bottom line. So I understand, Sean, if you really negotiate hard, you can get that 22% down to 21%. That's right, that's right. Well, you know, it costs a lot to fund a Hawaiian island and an Ironman franchise and yachts. Thank you for doing your part. So all kidding aside, so tell us more about Postgres, because a lot of people might not know, so it's an object relational database management system, right? So talk a little bit more about its roots and how it's evolved, it's acid compliant with all the things that people or Oracle's world love, but maybe just give us a sort of background. So the history of PostgresQL dates back to the late 70s. Michael Stonebreaker, who created Ingress, also created Postgres out of UC Berkeley. And Invertica founder. Yes. And so that's Postingress is where the name Postgres comes from. And actually it was born from the same IBM white paper that Oracle originally used to create their database. So you have a lot of kind of inherent similarities. As you mentioned, it's an old project and it's a very mature and I wouldn't say cutting edge. It's unlike some open source projects where if you're using the open source version, you're risking a lot of, you know, potential around support or crashes or what have you, the open source community with Postgres is, they're very conscious of making sure that it's something that enterprises can use right out of the box. And then what we do is we add on top of that for our enterprise class customer. And it has many of SQL's attributes or standards that have been adopted over time. That's right. Multi-version concurrency control and as you mentioned, acid compliant. So it's really built to, I'll give you an example. So Korea Telecom, as I mentioned earlier, they were on Oracle and they were rewriting their mobile phone pre-order system. And so they moved to a new set of DL380s from HP and moved from Oracle to Advanced Server in time for their iPhone 5 pre-order. And in fact took over 30,000 processes in the first 60 seconds of that being live with not a single issue. So the fact that it's inexpensive is one thing, but it still has to work. Otherwise, no one cares what it costs. So what do you actually, so talk about the business model a little bit. So it's open source projects. So you build tools on top of that, presumably, right, and services? Well, what we do is we integrate additional features into PostgresQL in four main buckets. We add performance enhancing features. We add additional security. We add management tools. And then we also add Oracle Database Compatibility. So with Postgres Plus Advanced Server, our flagship product, you get things like partitioning included. You get XDB replication server. You get Postgres Enterprise Manager. And then you also get the Oracle compatibility technology. So we've actually built PLCQL syntax into the database, along with most of the stored procedures and functions and triggers. You would take advantage of when you're writing your application to Oracle. Okay, so the main competitor is Oracle, right? Your customers are coming from Oracle. Yeah, they have half the database market. So that market's about $30 billion. They have about 47% of it. It's growing about 9% a year. So their customers are keeping us busy. It's funny that a lot of us at Enterprise DB are from Red Hat. And we remember the Solaris to Linux migration. And the difference then was, even though the cost savings was so big and the performance was so good on Linux, people like Sun. The Sun customers were loyal and happy, but they had to move anyway. Well, we don't really find that same phenomenon now. So we're getting a lot of both the PostgresQL users that are doing more with the database and Oracle users that just can't believe how much you're spending. You're getting a lot of new blood in there. Obviously Postgres has got a really big following. You talked to a lot of the alpha peaks in the database, where all Postgres is the preferred solution, for a variety of reasons. But what's interesting, you might not know this, is that Silicon England will keep on up and really focusing on the hyper scale market, which was called web scale, Facebook, Twitter, Zing. These guys build their own stuff. They mentioned some of the clients you have, you know what I'm talking about. So those guys have built their own open source scale out as been the theme. So we love scale out open source. That's a direct contrast to Oracle. Scale up, commercial software. So pay, general purpose computing, general purpose software, all our license. And even HP is talking more open multi-fandom, open stack, so you got on one to the spectrum, Oracle, scale up, gear, commercial, page to software. And then the guys like Facebook, and these guys who build their own open source software, contribute it back and put it on commodity gear. This is big fat part of the middle. That's kind of where Moonshot goes to, it's where HP's sitting. And so that's your opportunities. Did I get that right? That is right. So we have builds for, for instance, specifically with HP for not only their x86 server line for Windows and Linux, but also HP UX on itaniums. So, you know, particularly outside the United States are still a lot of large enterprises that have invested a lot of money in their super domes, and they are going to continue to invest money in their super domes. And so we give them the ability to have a database solution that can be on their blades, on their low end servers, all the way up, all the way up to their big boxes. So we can scale up or scale out. And in fact, we have sharding that will be coming into Postgres Plus 9.3 in later this year, so you can shard your database for really great performance and scalability. John, I love this line, John. You said 10 years ago, five years ago, you go to a cocktail party. What do you do? I'm in the database business, I haven't seen it. It was just kind of a boring, market all of a sudden, it's just taken off. And a lot of that is, of course, the no sequel action that's going on. So what do you see as sort of what's going on in the database market? You gave us some growth stats, you presume that includes maintenance. Well, his cocktail party, they all, oh yeah, come on in, you're a database guy. Yeah, yeah, yeah, that's really cool. So what do you see as the big, sort of gestalt trends that are going on in database and how are you guys capitalizing? So, you know, what we see is, and no sequel, it's got an important place to play in the database world, but right now, we kind of consider it the big shiny red button syndrome. So, companies don't exactly, Don't push it, yeah. Companies don't know exactly what to do with it. And I talked earlier about MySQL being more for read only or read mostly. And so imagine you're on amazon.com and you're looking for a book and you find the book, you read a review, you read another review, it tells you, it recommends another book to you. You go to that page, all of those pages, all of that work being done by the database is perfect for MySQL and it's also perfect for no sequel databases. But the minute you hit check out and you wanna actually send your credit card information over the web and then that transaction has to go to the bank and then they have to, as quickly as possible, make a determination on whether they're gonna allow you to make that purchase or not. You're gonna use a no LTP database for that. You're gonna use Oracle or PostgreSQL or DB2 or Sybase. You're not gonna use something that isn't asset compliant because it's money. And you know, when we talk about mission critical, there's two things that are mission critical. Really, our health and our pocket books. And so when it comes to database, you wanna make sure that you've got the security and reliability that you need around particularly those two things. So, John, what more can you tell us about the company? Any stats, any progress you're making? Sure, sure. Gross margins, no, I'm just kidding. No, just share with us some of the key. Yeah, I'll give you a little information. So we've been around for about eight years now. We've got over 2,000 customers around the world. We grew 62% revenue in 2012. We're looking to do at least that for 2013. We are on a subscription model for our product Postgres Plus Advanced Server, which, so imagine, you got 47 grand a core on one side plus maintenance and you've got $5,000 a socket per year on this hand. And that includes the license to use along with support, maintenance, upgrades, updates, et cetera. So, and of course, we also offer follow the sun support. We also offer training services and consulting services both. And what's headcount? Pardon me? Headcount? We have 135 employees around the world and we partner very, very closely with our big brothers like HP. In fact, HP in many countries, you can now purchase your Postgres Plus Advanced Server from HP and in fact, also get support from HP as well. It's nice that you have that HP relation because they're obviously enterprise cloud, value cloud and like public cloud, commodity cloud, some call it. So I got to ask you, Dave and I love to talk and we do research with CIOs and the enterprise and obviously we also cover cloud era, Hortonworks, those guys in the big data space, HP, and Duke market and you know, it's obviously a lot of buzz on that for a lot of reasons, but it's early. So when we talk to customers, big banks and big enterprises, insurance companies, they got a billion dollar operating budget. We asked them about Duke and these things and they go, great, we love it, we got some POCs going on but they're scratching their heads. They have to put a square peg in a round hole to kind of make things work. Little things, ANC compatibility. I got a redhead over here, I got a NetApp file or I got some EMC, I got some HP servers. I got OpenDue Network, all this stuff. They're multi-vendors so there's legacy, right? Right. What can you share with us about what you guys are doing and some of the things that are check boxes, minimum features to have are table stakes as you go in and want to do big data in the enterprise. What have you guys found? So what we do with big data is we park. So for instance, you know, we stick with, you know, the very, what I would say, unsexy kind of your typical relational database management services. But what we do is with Postgres Plus Advanced Server for instance, we have a Hadoop connector so that you can connect to your Postgres Plus Advanced Server database to a Hadoop data repository and query from that data that's in Hadoop. When it comes to cloud, we have a product offering called Postgres Plus Cloud Database that we launched in January of 2012. That's available on HP Cloud Services, it's available on AWS and it's also available, there's a cloud stack build also for Citrix and with our Postgres Plus Cloud Database, you have a cluster manager console that automates virtually all of the DBA tasks. So you have auto scaling of read nodes based on customer parameters that they set. You have auto scaling of storage, you have the ability with one click to add or subtract nodes, upgrade your database and the real benefit is you can either spin up database clusters of open source Postgres QL or our product Postgres Plus Advanced Server and the real difference between ours and whatever else you would spin up as a database in the cloud like Amazon RDS is we didn't change any of the database code. All of the value in and how we do the orchestration is in the cluster manager console. So you can literally take an application that's using Postgres QL in your physical data center and simply point the load balancer to the cloud database version of that and you have no changes needed to the application because it's the exact same database code. Are you available or contemplating being available on Amazon? We're on Amazon. Yeah, yeah, yeah. So we use Amazon as kind of a dev and test and then we help customers that want to be in production as well. Sometimes on Amazon, sometimes on cloud stats. So that's an Amazon offering. Yes. Swipe the credit card, get your. That's right. And you would get build, you would get build right through your Amazon account. Yeah, of course. No doubt. That's a total control freak. They're good at that, yeah. They're good at that. In a good way. In a good way. And then we'll have a bare metal build this year as well so that we can really help customers that want a private cloud solution. Are you planning to be on HP's public cloud? We're on HP cloud services now, yes. It's in beta right now and we're working with them around their OpenStack framework to go from beta to GA. Any others that you can talk about that you're on? Yeah, we also, through CloudStack, which is Citrix's open source cloud framework, we signed a partnership deal with Contigix. So they're a hosting company based out of St. Louis that also now does cloud hosting. And so we'll be GA on Contigix very soon as well as their, basically as their relational database service. Awesome. All right, Sean, well listen, thanks for stopping by theCUBE and enlightening us on what's happened in database land and really appreciate your time. My pleasure. Okay, this is theCUBE at the prize DB here inside theCUBE. Big award from HP. Congratulations. We'll be right back with our next guest after this short break.