 Live from the San Jose McKennery Convention Center, it's theCUBE at Open Compute Project U.S. Summit 2015. Okay, welcome back everyone. We are wrapping up live here in Silicon Valley for day to day, wall to wall day coverage of the Open Compute Project Summit 2015. This is theCUBE, SiliconANGLE's flagship program. We go out to the events, they extract the signal from the noise. I'm John Furrier, the founder of SiliconANGLE showing Jeff Frick, general manager of theCUBE, business here, Palo Alto office. And this is theCUBE, we go out, we do this all the time, 50 year running, thousands of interviews. Again, like we will go to where the action is and the action in Silicon Valley is at the Open Compute Project Summit. Jeff, we did it years ago when we first started theCUBE at Hadoop World with Cloudera, OpenStack Summit. You name it, we go to where the action is. EMC World, VMworld, IBM events. We cover the enterprise in depth, like it's nobody's business. We are not going to stop, no matter what people say. We're not stopping, we're going to go out here. Again, not a sexy kind of like topic, but innovation-wise, off the charts, innovation. Hardware coming together, software coming together. Just great, great content. Yeah, yeah, exciting. I mean, Cole Crawford literally ran on stage. He's so excited, launched his new company, the former executive director of the Open Compute Project. John, I'm just fascinated. One of the questions I had coming into this in general is kind of open source for software is easy to understand. Makes a lot of sense, but open source for hardware? And what we're seeing really is that the open source hardware effort in the architectural design and sharing of best practices is really letting people act like software companies in the hardware space. The other thing that I think is tremendous validation, which Jeff Kelly brought up at Big Data SV talking about open source and the impact of open source is how innovation can be driven by the practitioners and not necessarily just the vendors. And a great example obviously here with Facebook building their own infrastructure and deciding to enable their corporate mission of connecting people all over the world to let that out to the outside world. And then to have Microsoft who has been proprietary software forever in their operating system and office, servers to take their technology from Azure in the hopes of fostering more cloud computing and to open source that as a phenomenal movement. So I think it's pretty exciting. And then as Cole Crawford again in our last interview talked about by everyone focusing on the 80%, standardizing on the 80%, bringing great economics to the 80%, that gives the opportunity for the entrepreneurs to focus on the final 20, the high value final 20%. Pretty neat. And the thing that impresses me is that an ecosystem is developing. They got a DJ, it's cool here. It's like a homebrew computer club. I mean, they got to hand out drinks but this is about innovation. And there are unicorns out here. There are startups. There's big time Amazon type companies out here waiting to be developed. Open compute gives them instant scale, solving all the large scale complexity problems. To me, the number one thing right now is if you're a tinker or you're a hacker, you can bring large scale software and look like a hardware company. We talked to Jay Sree at Arista Networks years ago at VM where one of our favorite guests on theCUBE, founder of Arista Networks. Back when she started Arista Networks you would have needed 40 million in venture capital to get up and running to compete on a global scale in networking in these cloud plays. Now with open compute, with the ecosystem that they have here, as an entrepreneur you can come in immediately, stand on the shoulders of giants in front of you with open source and get reference, implementations and architecture out of the box in the open and build a viable technology straight away that has large scale global impact. To me, that is so freaking disruptive and exciting. It's going to be fun to watch. Yeah, and Kishagra from Microsoft talked about that now when you're an entrepreneur it's really putting together things that already exist in a different way to solve a unique problem. It's not necessarily being a really deep expert in a particular technology, but how do you bring them together in a different ways? And I think we had another guest too that talked about liking to talk to candidates and potential workers who have experience and play on the edge of a lot of different technologies and really can see a broader way to bring those things together as opposed to laser focus on a particular item. And I think it's a really exciting time once again. It's why I love being in Silicon Valley. It's why I moved here a long time ago and you've seen it, I've seen it over and over and over these refreshes of waves and again, this thing powered by the Internet of Things is just another great wave crashing on the beach. The next wave is clearly a cloud for Internet of Things. It's clearly a new type of hardware device. Cole Crawford brought up Nest. We had other guests earlier on talking about the engineering marvels that are going on in software and really the software defined data center is really where it's all about. We have scaleties here. They make a great software solution. This is what's going on. This is now the new normal. HP's huge announcement. Antonio Neary, Senior Vice President of HP, a great leader, a great executive stood up on stage. My favorite moment, Jeff, our guy, our friend, Cube alumni, Antonio Neary from HP, stood up there and said, we are HP. We want to compete with the open source, not compete, we want to be with the open source community so we can compete with our competitors and bring value to our customers, new style of IT. They have the right attitude. HP is smart. Microsoft, kill them with kindness, right? Just donate here. Kill me with kindness, win the market, bring goodies. Bring the goodies to the table. Microsoft's done that. Let's see what HP can do with this new Cloudline product. And again, Facebook, system on a chip. This is the future. Tapes to storage disk in memory, flash in processor. System on a chip is a big deal. Now what do you think about this too, John? Because we've had, there's a school of thought around the data center that says there's only going to be a few really large mega ones. And yet, there's another school of thought that's actually, as they quote, another cloud is forming and it's a data center on the edge and really pushing that out on the edge. Two different visions. I think they can coexist. What do you think? I think my prediction is there's going to be a long tail distribution of opportunities, meaning there will be some common ground. We had an expression on the Cube today, burn the boats. That's in reference to the old expression where they land on the beach, they burn all the boats, they can't go home, they're stuck to make it work on the island. The island of the land is the platform. There are a lot of open source platforms out there that people can build on. And I believe that there's going to be opportunities for proprietary differentiated products, software stacks, that can function in a long tail, meaning you could have the big clouds and then go down into the long tail. They have niche applications. Because at the end of the day with virtualizations in the cloud, it's about the workload. And the value will come from the apps. And the apps have to be global, large scale, data driven, all that great stuff. So it's a huge opportunity. And just continue disaggregation, continuing to just break down the components. I think there was another funny comment on the networking side where all the networking boxes were closed boxes that had the tape on the back that said if you crack the tape, you void your warranty, right? But now the trend is to continue to disaggregate and then to reassemble back with parts that have specific applications for your workload. So you don't have just one single system. You have a system of components that you can apply to a specific workload. And again, the thing that comes up over and over as we're getting ready to really launch into our kind of run of open source shows is the pace of innovation when you open up the covers. You let engineers expose what they've been working on. You let them be in a peer review group of other people that have the same skill sets and like-minded concentration to focus on a particular problem just drives innovation faster. So what's your take here? What's your vibe? You've seen a lot of different shifts. What's going on in your mind? Again, it reminds me of, and I think I mentioned it earlier, of our drive to Portland a few years back for OpenStack. It's kind of small, no one really knew what was going on. We weren't really sure what was going on and it's turned into something. This to me feels very, very real. You look around the room at the size and the scale of the sponsors at a little tiny 3,000 person show, continuing to drive that disaggregation. It's just going to be interesting to see how far down the openness goes. I think you're going to see the next billion dollar valuation from a startup. The big whales are here, Intel, Microsoft, HP. They're all here and it's just a great event. I mean, Intel, Facebook, HP, Melanox, Broadcom, Cumulus Networks are startup. Hi, Netflix. This is what's going on. It's a global fabric. So it's super exciting, Jeff. Great to be on the ground on theCUBE. Again, talk about what's going on with theCUBE in Silicon Valley, give us an update, next shows. Yep. It's great. We're growing our team, John, in Silicon Valley so that we can really quickly come out and cover these things right in our backyard. Santa Clara Convention Center, Moscone Convention Center, San Jose Convention Center so we can get the guys out and go. The open power is coming up next week. Let me pull up my calendar. We've got, as we said, OpenStack Summit and Vancouver is coming up. We're ready for that. DockerCon, John, one of the hottest topics ever. They're having their first show. We're excited that theCUBE's going to be there to participate. IBM Edge looks like we're going to be there. HP discovers the classic that we go to every summer. So we're getting into our heavy season. It's going to be a lot of CUBE. A lot of action going on. This is theCUBE. Again, on the ground, live in Silicon Valley, excited to bring you all the data. Share that with you. How many events did we do last year, Jeff? 60. It's 60. We're a week 10 and we're at about 10 events so far. But like I said, we're getting into the heavy season. This is the new media model. We are here proud, humble, bragging always because you know what? We're proud to bring all the data to you guys. And again, I want to just say on a real, sincere somber note, our hearts go out to our comrades at GigaOm, which shut its doors down yesterday. And if anyone's watching from GigaOm, drop us a line. Welcome to hire. We hire you. We'll make room. We'll figure it out. A lot of people supported you guys. We'll support you. And to the folks out there, like Jeremiah O-Yang's vlog, was trashing me for telling them about what we're doing. I'm just proud. I'm not necessarily bragging about our company. We've done some good work. We've built a business. And you know what? Not a lot of people know about it because it's not your fancy VC-backed company. So hey, you know what? If people don't like that, it's going to hurt my business, then be it. But for the folks out there at GigaOm, they know, we care. And we want to help in any way that we can. We respect your work. And I'm sorry to hear the news. So Jeff, just to wrap up here in Silicon Valley. Everyone, thanks for watching. The party is starting. Again, on the ground, we will go wherever the action is. The action here is the Open Compute Summit. Thanks for watching. And stay tuned for theCUBE.