 From Las Vegas, it's theCUBE. Covering VMworld 2018. Brought to you by VMware and its ecosystem partners. Okay, welcome back everyone. This is the live CUBE coverage here in Las Vegas for VMworld 2018. Two sets, nine years of coverage. This is our ninth year. A lot of games changed. We've seen the movie play over and over again. Infrastructure's supposed to be dead, it never goes away. Storage is supposed to be dead, never goes away. Data protection, recovery, never going away. It's only getting better, the cloud is here. I'm John Furrier with Dave Vellante. Next gets Peter McKay, co-CEO and president of Veeam. Big party tonight, massive success story in the industry. Year over year, they kind of kept it quiet. I don't know why, but in the past two years, the numbers starting to come out. The chart is up to the right. Competition is going down. Congratulations. Why, where's the growth coming from? What's the success? You know, I mean, we've been on a trajectory, as you guys know, for many, many years. Because we're not public, because we're not looking to go public anytime soon, we never published the numbers. But when we realized, look at it, we got a lot of success going, the momentum's going, we think people should know what's happening, especially our customers who invested. So, you know, we've just continued to execute really well on a multi-segmented approach from the large enterprise, the medium, mid-market and the SMB. All of those three segments are growing double digits. You know, different value prop, different message, different solution in each one, kind of the way we package. But they're all going really well. Europe, the Americas, and now APJ is growing faster than any other region. Well, it was interesting, you said this morning, was, you know, people had the perception that you guys were SMB, and you said, no, we just went after the VMWare guys, the virtual buyer, and it was, I think you said about a third of your business is small, about a third is commercial, and about a third is large. A third, a third, is the breakdown of our revenue. And so, it is true that we didn't focus on a particular market. We focused on whoever bought vSphere should buy VM. And so, whoever sold it, whatever the channel partner sold it, we wanted them to sell VM. Whoever bought it, we wanted them to buy VM. It wasn't that complex. It was fairly straightforward. Just execute on following wherever VMWare went, we went. We became the number one backup, the backup vendor, virtual backup. Number one VMWare backup. Now we added Hyper-V, and now we're in Acropolis with Nutanix, which is the latest. Is the type of buyer now changing as you sort of enter some of these new markets, go more deeper into the larger enterprises? It's gotten a lot more complicated today. And you remember we bought this company N2WS, which is really interesting, is native backup for AWS. And that was fantastic. We started as an investment, we bought it, and this business just keeps doubling and doubling. And really what it taught us, when we had an event that we would go to, all the people, our customers were going to the booth and they didn't know who Veeam was. And so we're like, wait a minute, you have Veeam in your business? Well, we didn't know that. So we were totally different buyers. They were looking to backup for the cloud offering, then traditional backup, or even your virtual backup. And so, it really expanded an opportunity that we never knew that, hey, this is a whole group of people we weren't talking to. So that is expanded. So you got that group, you know your traditional backup buyers, your virtual, but now it's line of business. It's so, it's much more complicated than ever before. So you're sharing some numbers. You mind sharing how many customers you have, the kind of renewals, and what the bookings numbers look like. We ended the year at 300. We passed 300,000 customers. We're up to, what, 320 or so now. We added about 133, on average over the last few years, 133 per day, 4,000 a month. Customers, new customers. New customers, that has been our kind of trajectory. And it's all goes back to, we have a 73 net promoter score. We do a really good job making our customers successful, making it easy to buy, easy to deploy, easy to manage. And we constantly just stay ahead in the roadmap in what we're doing. And it's, you know, it's- Nice business. It's not that complex. It's just- What's the bookings? So last year, we ended at 827 on our goal of 766. So we blew away our goal last year. This year, we put a stretch goal, we'll get to a billion. We're well on our way to do that. That's, I think there's only 34 companies that have got there, got over a billion, but that's our goal. And as a co-CEO, one of your jobs is sort of identify opportunities for TAM expansion. You've done that. You've up leveled the messaging big time. So that's been great to see that progress. And then talk about the TAM. People think, okay, back up, tiny little, you know, five, six, seven billion dollar market. But your TAM is much larger. Talk about your market. So we call what we're doing intelligent data management. So data management, managing your data, protecting your data, but doing it in an intelligent way, right? Not, you know, reactive, more proactive, more from policy-based to behavior-based. So that message is really resonating in the market. And so I think there's a lot of, when we looked at the space, backup and recovery is really just one piece of it. There's email backup, right? Office 365, SaaS applications, you know, more and more, e-discovery, there's endpoint backup. So when we look at that, and then back up in the cloud, from the cloud infrastructure, when you add up all that addressable market, it's about a 39, just in the high 30s, billion dollar market opportunity, growing at almost 10%. So some of that we'll do organically. We'll build ourselves, some of which we'll buy like N2WS. And some of it, we'll just partner where it makes sense to do that. But that's the market we're going after, intelligent data management. How are you using machine intelligence and leveraging that to go after intelligent data management? You think of, we call it five stages of intelligent data management. So this is a journey that people go from backup to aggregation of all the data to visibility, orchestration and automation. When you get to orchestration and automation, it's around doing things smarter and getting more insight from what you've been doing in the past, like learning how you've been able to managing your backup to the cloud, from the cloud, between clouds. But now when you start adding things like security, like there's a ransomware that you've found, find a clean backup or move, bring, restore to a better version of your data into the environment, or a weather pattern, something's happening, back up to a different location versus, so you can start feeding in external different, third-party data into our machine that allows us to be able to protect and manage your data far better. So that's a huge opportunity. I mean, this is a very competitive space. You've been, as a company, so successful while others are declining or flattening out. Why? I mean, ease of use, what specifically is the driver? I mean, think simplicity? Was it just the product itself? What it was, I mean, it's hard to break into this market and kind of have the numbers you guys have. Yeah, I've been amazed early on. I mean, it is, the product is that good. You know, we used to have a tagline that it just works, and that came from our customers, being it just works, and it does. I mean, I would say first and foremost, the technology is that good. I love to say it was sales, execution, and everything else, but it is the product. You see the sale problem that was just good. It makes it so much easier when the product is that good. So that, I think the way we approach the ecosystem, it's a channel model, it's very leveraged model. We added alliances into the mix, so we just announced our Cisco Hyperflex. So Hyperflex with the first and only solution, the intelligent data management solution that is bundled with Cisco Hyperflex that we announced today. But Cisco can now resell as one SKU, HP can now sell as one bundled SKU, NetApp can sell as one bundled SKU, and we've got others that are coming. We've been hardware and software, hardware agnostic, cloud agnostic. And when other companies like Commvault and Veritas and Dell all have an appliance solution, Cohesity, Rubrik and others, it's really driven the rest of the ecosystem to the company that has been Switzerland of all of it. Because a lot of these companies have hardware that they already have. So we leverage, hey, we'll work with what you have, and you know we're going to work with what you're going to have, because we're not locking into any hardware. That's what you've always done, yeah. And it's been so good product, easy to use. Common sense approach. Common sense, and then focus. We haven't tried to do more than what we're, I mean we want to be best in the world. Started with virtual, cloud is our, cloud was the next physical. We had the physical component that we were missing in. So virtual, physical and cloud, single pane of glass, orchestration, automation. It's not that hard. And the product side as you got, we've got a couple of minutes left. I want to get your thoughts on the growth strategy. Obviously machine learning, if you're doing intelligent data, you've got to be using ML and AI. It's going to be core to the product. How is that looking? What's the story there? You know it's almost vertical dependent, right? Because what we're finding is in certain verticals, the ecosystem is different and how we learn from a lot of the channel partners are driving us in this direction. Alliance partners are driving us to this direction and learning, moving from this kind of reactive mode to proactive mode. And so that's kind of opening up a broader ecosystem for us on how do we leverage more of the knowledge that's outside of our world and into making what we do in the managing of data? Because the accumulation of data is, as you guys know, it's doubling every two years, right? It's everywhere. Data is all at end points and edge devices and it's coming from all over the place and it's far more critical. And so we're kind of in the middle of all that. And so now how do we better manage that data for you and adding more machine learning into that is critical? Well thanks for taking the time to stop by theCUBE. Congratulations on your success. Just works, when you have product excellence it's pretty nice to have that. A lot of companies don't have that luxury. Congratulations and thanks for coming by. Peter McKay here on theCUBE beam, very popular product in the VMware ecosystem and of course they run the greatest, they're one of the best parties here, some say the best. Tonight. We'll be checking it out tonight. Peter, thanks for coming on. Stay with us for more coverage after this short break.