 is where they share their ideas. Everyone in the tech industry knows that what they see on theCUBE is relevant to them. We get access to interesting people and ideas that no other market research or consultancy gets. Become an institution in the tech industry. From Las Vegas, Nevada, it's theCUBE. Covering Accelerate 2017, brought to you by Fortinet. Now, here are your hosts, Lisa Martin and Peter Burris. Hi, welcome back to theCUBE. I'm Lisa Martin, joined by my co-host, Peter Burris, and today we are at Beautiful Cosmopolitan in Las Vegas with Fortinet at their 2017 Accelerate event. We're very excited to be joined by the founder, chairman of the board and CEO of Fortinet, Kenzie Ken, welcome to theCUBE. Thank you, Lisa. Thank you, Peter. It's great to have you here. Your keynote was very exciting, but at first I kind of want to start back with your background, did some investigating. You have a very impressive background. You started your own, and your first network security company, CIS, SIS, back at Stanford in the 90s, and then onto NetScreen, and then just about 17 years ago, you started Fortinet. So congratulations on that 17th year. A great event. You talked this morning in the keynote, 93 countries, over 700 partners are here. There's end users here as well. The theme of the event, No Limits. What does No Limits mean in today's world of information, the proliferation of mobile, IoT, et cetera? What does that mean to you? What does that mean to your partner community and to your customers? Okay, thank you. First, Network Security, probably the only thing I know, that's all the three company from SIS to NetScreen to Fortinet is all about. You can also see the change in the last 25, 30 years in the network security space. From very low priority in IT spending, now become a top one to priority in IT spending. And a lot of data information are transferred over the internet, and our daily life, and also a lot of business have to conduct over the internet. So that's making, there's a huge opportunity going forward. And what's interesting about security space, really, is constant changing. It's never stay still, and you need to keep in learning, keeping changing, and follow the change. So that's why today we are now, we're starting getting the third generation of network security. Interesting, my two previous companies, one involving the first generation, now security, one involving the second generation. And now we're starting getting the third generation. And this is all about changing from secure, just some system or some connection now to secure the whole infrastructure. Because what happened in the last 17 years since we started Fortinet? There's a lot of mobile devices now, everybody has maybe multiple, and there's a lot of data go through the cloud, which not happened before. And a lot of other IoT, everything connected. So how to secure all this data become an issue. Like in the past, Internet not that popular, you can just secure a few connections good. And nowadays, data's everywhere. So that's where we need to keep in changing, follow the trend, secure the whole infrastructure. Can you expand a little bit more? You talked about the security evolution in your keynote this morning. Can you expand a little bit more about the third generation of security and what that means for healthcare companies, for financial services, and some of those industries that might be at the greatest risk? I may go back a little bit. The first generation of now security is very simple, just control the connection. Who can connect, who cannot. So that's the far what do the job. And then VPN just encrypt connection. So make sure people are not typing the traffic. Because the data is very simple. There's a not very rich, not very executable, and not very active content. And then 17 years ago, when we started Fortinet, we see the data get much richer. There's a wide data, there's active executionable data. The virus starting to transfer from the connection no longer floppy drive. So just the connection no longer enough. You get infected by virus out from permitted connection, which people you know, and the San Diego Samsung get infected virus. So we need to look at the inside connection. The content, the application, even the user device behind. That's the second generation. But nowadays, even control the connection no longer enough because the data no longer just follow one connection. The data no longer just sit inside a company. They no longer just sit inside a server. It's everywhere, on your mobile, in the cloud, in all kinds of things. So that's where we need to go to the third generation infrastructure. Especially you mentioned a few applications like healthcare, finance service. So you can do the banking on your mobile device now. You can also check your whatever health appointment or the report on your mobile device. Which a lot of days are also in the cloud. It's no longer in the hospital, no longer in your company anymore. So all this need to be secured. So that's where changing the whole landscape. Just a few connections no longer enough. So you need to look at where the endpoint is, where the access is, where the connection network is still important there. And also what's the application? Like healthcare, different finance service, different e-commerce. And then also the cloud IoT is at the end. So it's quite a big landscape, big architecture, big infrastructure to really apply together now. One of the things I read, Peter, in your recent research is security at the primer, which was kind of one of the things done back in the 90s, no, it's no longer successful. Can you expand a little bit more upon that? Well, it's necessary still. You have to be able to secure. But one of the ways that I would at least generalize one of the things you said, Ken, is that the first generation of security is about securing the device and connection to the device. There's a trial side and trial side. Right, exactly. The second generation was securing the perimeter, and now we have to think about securing the data because a digital business is represented through its data. And it's not just going to do business with itself. It has to do business with customers. This is a major challenge. And what it means, at least from what our research shows, and here's the question, is that increasingly, a digital business or a company that aspires to do more things digitally needs to worry about how security travels with its data, how it's going to present itself. In many respects, security becomes part of a company's brand. If you ask Target or anybody who's had a problem the last couple of years, security becomes a crucial element of the brand. So as you look forward, as we move from security being something that was what I used to say is the office of know with an IT, to now a feature of strategic business capability that can liberate new opportunities, how is Fortinet having that conversation with businesses about the role that security plays in creating the business opportunities? Yeah, that's what we, today we just promote, we call it a security fabric, right? So that's where, because the data is, like you said, everywhere. No longer just there's a trust side and trust side. You just want to make sure the data in the trust side. Now, even within the trust side, like inside a company, there's all different way you can connect outside and the data no longer stay inside company. They go out to the cloud. They go out to your mobile device. You need to bring home. So that's where we need to look at, and data, like you say, is so important for all the company business there. So we need to see how the data flow and how this information, all this infrastructure actually handle all this data. So that's where we need to apply all the security, not just in the network side, also from access part, authentication part, to the endpoint part, to the IoT, to the cloud. So that's all need to be working together. A lot of time you can see, there's a one part probably more secure working well, but then there's the other part not communicate each other. Maybe belong to a different company. Maybe it's totally different part of the device. They don't communicate. So that's where the fabric give you some much broader coverage. Make sure different part cover communicate together. And also they also make sure they are fast enough. Don't slow down the infrastructure. Don't slow down your like a connect the efficiency. And then the third part really, you also need to be automated, handle a lot of thread protection there, because like you can detect the intrusion from your sandbox or from your endpoint. Now how to communicate to network device which they can starting kind of all this attack. So all this has to be working together, starting getting more like infrastructure play now. So businesses today are looking for companies that can demonstrate that they are rock solid in that first generation, that connection, that transaction. Rock solid on the perimeter, trading partners want to make sure that your perimeter security is really, really good. You still have to be able to have that, but increasingly that you can put in place policies and security elements and capabilities that can move with the data. I'd even say that you're not just securing your data, you're securing your business's value. Exactly, because like you say, the data keep moving around everywhere now. So now we also need to follow the data because all the values in the data. So you need to follow the data, secure the data, protect the value. Yeah, and that's what we regard digital business, we says essentially the recognition by businesses today that how they use data to differentially create and sustain customers is crucial to their strategy. And you want to be able to say, oh, new way of using data, but then the security professional through that fabric needs to be able to say, got it, here's how we're going to secure it so that it sustains its value and it delivers its value in predictable ways. Yes, I know it's a perfect audience of value. And one other thing, and this is very important, I know you talk about intent-based security and we've talked about the notion of plastic infrastructure that the lag between going after that new opportunity and then being able to validate and verify that you are not sacrificing security is a crucially important test of any security vendor's proposition to its customers today. So how is Fortnite stepping up to be a leader in collapsing that time between good business idea, validated security approach to execute it? Because right now we talk about infrastructure. In the past, it's only a system or just a platform which on have their own kind of a sense inside the box. So now we have a multiple box across different infrastructure and a lot of time, the business intention not quite reflect, because being is also keeping changing daily, but you don't see the infrastructure changing that quick. That's what you talk about like intent-based or elastic-based networking, all these kinds of things. So how to follow the business chain, how to have the scalability and also how to make sure the infrastructure best fit for the data needs. So that's where the same thing for security and security also follow the infrastructure. So without all this automated, without this intent-based, like if you still have the old infrastructure and you apply some security there, they may not follow the data efficiently. So that's the both part as we're working together. Automated and also make sure they can follow the change. The other part also, you also need to react very quickly. Sometimes you detect the intrusion from one part of the infrastructure. So how to apply that one quickly to the whole infrastructure? That's also important because today there's a business policy, there's a device configuration policy. It's two different language. How to make two different language communicate, translate to each other, quickly react to each other. That's how they intend all the elastic networking has to be working together. So in this age of hyperconnectivity that you talked about, being in this third generation of security, the network conversation, the security conversation are no longer separate. It's critical to your point, Peter, about data bringing value. It's essential that organizations like Fortinet ensure or help enable a business to have that digital trust. With that said, and what you've talked about with the Fortinet security fabric and why enterprises need that, what's kind of the last things that you'd like to leave us and our viewers with today? I see a lot of value in the data and now because data everywhere, not on your mobile, in the cloud and they're still in the server and you need to protect the whole infrastructure. Follow the data, protect the data and the fabric is the best solution to do that. So you have a much broader coverage, a much powerful compared to system and powerful and also a lot of automated change needed to make sure the fabric can adopt towards the data flow is. Fantastic. Well, Kenzie, CEO, founder and chairman of the board for Fortinet, thank you so much for joining us on theCUBE today. Thank you, Lisa and Peter. Best of luck with the rest of the No Limits conference and we look forward to having more of your colleagues on the show. Peter, thanks for your commentary. Thanks so much. Thank you for watching theCUBE. We'll be right back. I remember.