 Live from Orlando, Florida. It's theCUBE, covering Cisco Live 2018. Brought to you by Cisco, NetApp, and theCUBE's ecosystem partners. Welcome back, I'm Stu Miniman, and this is theCUBE's coverage of Cisco Live 2018 Orlando. Getting to the end of two days of three days wall-to-wall coverage. Happy to welcome to the program Wayne Ogazale, who's a cloud architect with Cisco. From my neck of the woods up in New England. Thanks so much for joining us. Pleasure to be here. It's getting towards the end of the day, which means thundershowers will probably hit for about an hour or so. Exactly, it's sunny in the morning, I brought an umbrella, who knew, right? Absolutely, so Wayne, you've been with Cisco for a few years, why don't you give us a little bit about your background before we get into it? Sure, I've started out with Cisco as an engineer. I was actually, before Cisco, a rocket scientist at Raytheon Company, so I had all sorts of fun before I got hooked on the internet stuff. So, I've been a data center architect, spent quite a few years in the media area, providing mobile applications as well as some of the, you know, content development side of the media part of Cisco. And now I'm into service provider markets, which is fantastic. So before we get into the service providers, give us your impression of the show this year. You know, it'd been a few years since I've come, and it's changed quite a bit. You know, big crowd here. We're in the DevNet zone, definitely some of the buzz of the show here. What's your impression of the show so far? I feel a huge amount of energy. I deal with service providers, and we've had so many service providers come by our booth. There's a huge amount of excitement about bringing new managed services to market. DNA Center launch was huge for us. We're showing live demonstrations of that at our booth as well. And I feel like it's almost at a tipping point where we're going to be talking about software-defined networking and NFV. It's been a long time coming, but now we're actually kind of crossing the chasm, hopefully, where we'll be sharing with you some pretty big announcements very soon on large customers deploying those exact services at massive scale. Yeah, so we love talking about service providers, talking to service providers on theCUBE, because when you talk about scale, when you talk about pace of change, when you talk about pressures of financials, well, you know, there's very few places where they all come together for the service providers. So why don't you tell us the product solution set that you're working on and what the news is here at the show? Sounds great. So I'm part of the managed service accelerator group that has developed a new cloud product that's been around for a couple of years. We've had some major deployments, namely at Verizon and Vodafone and a couple other tier ones, a couple of huge announcements coming out very shortly. But managed service accelerator allows service providers to deploy many different services across a multi-tenant platform that runs exclusively in the cloud. So we'll talk about what cloud native means, what some of the services are, but we're able to bring services to market much more quickly than you were able ever to do in the past. We're able to go from, you know, service creation to actual service deployment in literally weeks at some of our major SPs and those services span a wide range of opportunities like deploying Meraki or deploying a Vitella SD-WAN or deploying a managed routed service or even deploying DNA center for a managed SD access. So it's a broad spectrum of services that we can help service providers bring to market very quickly. Yeah, I love that because if you look at the service providers, the applications are so critically important. In some cases- It all starts with the apps. You don't have a compelling app, nobody wants to buy it. Look, the public cloud players are adding new application and new services on practically a daily clip these days. And service providers, many of them partnering with the public cloud, but there's still lots of things that they need to do themselves locally or in certain verticals. So give us some insight. What are some of the things your customers are looking for? How do they keep up with that pace of change and how does this offering help them do that? So the cool thing about MSX or managed service accelerator is it provides a service provider platform for multi-tenancy, many different customers in one platform, many different services from both Cisco and third party vendors. And those services span both physical devices, traditional ISRs, ASRs, third party, Juniper boxes, whatever, as well as VNFs, virtual network functions. That run in a public cloud like AWS or in your private data center as a service provider or in a universal CPE or virtual branch or for Cisco folks, ENCS, enterprise network compute system. It's a virtual branch, x86, where we can run service chains down there. We provide a wide range of services that provide the ability to configure and deploy multiple services toward a single customer all from one place. Some of the challenges that our service providers have is that they have many different service offers, but each of those service offers is in its own silo. And every time they want to bring a new service to market, they have to spend many millions of dollars trying to integrate with their northbound OSS or BSS system or integrate with a new set of vendors. We, from the single cloud platform, allow them a single platform to integrate many different services from one place in a beautiful sort of cloud-managed way. Yeah, well, wait, wait, there's a large portfolio that customers need to sort out. One of the areas that we're hearing a lot of discussion about has been the SD-WAN. How does that fit into this whole discussion? The SD-WAN service is one of our most popular services. It's being deployed at scale at Vodafone and Verizon. The Viptela acquisition for Cisco, Cisco SD-WAN now that is named, has been very popular in that it allows customers, enterprises, to have a choice of MPLS, internet, or even 4G or soon to be 5G backbone networks that they can run the traffic of their choice across. Enterprises want SD-WAN, not just for the ability to choose policies and map applications to certain overlays or tunnels, but they're also using it to lower their costs significantly. So they can, from the cloud, kind of like a Meraki cloud, manage many different devices with a single click of a button. I can push a new policy down in a software defined way to a hundred different devices and maybe move Netflix that might have been running on an MPLS circuit to an internet access circuit with a click of a button. That's the power that SD-WAN provides and it provides enterprises that capability natively. Service providers offer it as a managed service. Enterprises can log into our MSX platform and be able to control the traffic they want and steer it with clicks of buttons, not large amounts of configuration. Okay, Wayne, you've mentioned a couple of very large customers that are using this. Is this something that is geared for the top 20 large service providers or will it hit hundreds, thousands of service providers around the globe? It's really both. It's targeted, and I can say that because architecturally, it's a cloud native platform. It's built with Docker containers, Kubernetes, microservice framework. When Google, it's built on a similar architecture of Google. So when Google is rolling out 1,500 services a year, the MSX platform's goal is to get more than 100 services a year rolled out in this platform. So the service creation portion of it allows large service providers like Verizon or Vodafone or many others to be able to offer those services more efficiently from the cloud and manage them. But the smaller guys are also able to tap into these services because we offer kind of a pay-as-you-grow model. We offer a one-year or three-year term license to purchase the product, which is very small. And then there's like a little $3 to $5 a month management fee for every device you have under management. So there's a very low cost of entry that you're able to tap into this powerful cloud management platform and offer any sort of service that you want for both large service providers as well as small service providers. Yeah, you touched on some of the pricing there. How does that work today? Look and feel like most cloud models today really more of an OPEX than a CAPEX? It's a tremendous OPEX savings. This is really an OPEX play when we look at it from a service provider perspective. Service providers are challenged today because they're trying to offer many different services, but each service is a unique silo. And they've got to integrate a wide range of different pieces of that silo for every new service. So in a multi-tenant environment, I need to have billing, I need to have northbound OSS-BSS integration, I need to have a consistent user interface, I need to have notifications, I need to have tenancy, user roles, single sign-on. Do I really want to integrate that uniquely for every new service? Or do I want to have managed service accelerator manage all of that for me and then the service provider can focus more on the service? So it's an OPEX play to allow them to not only bring new services to market more quickly, but once they're brought to market through both REST APIs and our network services orchestrator, configure them very rapidly. I want to step back for a second. When we look at this whole kind of cloud discussion, for a while there was discussion of like, oh well, maybe how much is really going to go to the public cloud or fighting the public cloud and the service providers were caught being pulled from the old world and the new world. I don't think we've really hit equilibrium yet, but service providers really understand and the message that I've heard from Cisco this week and really for the last year or so has been that hybrid multi-cloud world is where we live. It's not going to be an answer. We always know everything's additive in IT and nothing really ever dies. What do you hear from your service provider partners? How are they feeling? What do they think about the changing dynamic of this world and yeah. Like John Chambers used to say, we need to deal with the world the way it is, not the way we'd wish it to be. Service providers realize that it is a multi-cloud environment. They need to be able to accommodate different services and different service models based on what their customers are looking for. They also need to be able to achieve operational efficiency when they're rolling out those services to be able to make it commercially viable. So what we're hearing from our service providers is that they want a multi-service environment that MSX or managed service accelerator provides them where they can manage maybe deploying a device in AWS to front-end an application space for a particular tenant and then connect that device, whether it be a Meraki virtual managed device or a Viptela V-Edge device to an SD-WAN that's connected to the rest of their enterprises. And then when they walk out of one of their branch devices and they get it on their mobile network, we can enable through Cisco the connection between 5G slicing and an SD-WAN service so that the service that they get on their phone and the policies that are applied on their phone are identical to those that they've worked so hard to deploy actually in their branches, in their headquarters, in their campuses or in the cloud. It is a multi-cloud environment, almost every single application domain, spans all of those components. MSX or managed service accelerator allows you to kind of centrally manage all of those functions from one place. Okay, so Wayne, MSX, new branding, some new features, some new customers, gives a little bit of what we expect to see through the rest of this year with this solution. You're going to see some pretty big announcements of some new service providers doing some new services with MSX. Those new services include the deployment of new SD-WAN networks. Very exciting on our virtual branch platform where our ENCS or x86 based branch will be rolled out at large scale with a couple service providers where you can decide what VNFs you want to put on there, what service chains they represent and how you want to monetize them. Been talking about universal CPs for a long time. This is the year it's going to happen at scale using MSX and ENCS. And then you're going to see managed devices, cloud connect to AWS and a wide range of other services including Meraki and others that build out the portfolio. The bottom line with MSX is we know our service providers want a diversity of services. It's a service creation platform. We expect service providers to bring their service to the table. We can accommodate it, monetize it, bring it to market very rapidly. And I would expect to hear a wide range of wonderful announcements from Cisco and the MSX team in the next few months. All right, well Wayne, really appreciate you bringing the service provider angle to us. We're at the end of two days of three days of live coverage covering all the angles from Cisco Live 2018 here in Orlando. Be sure to check out thecube.net for all the replays as well as all the shows that we will be at in the future. For Stu Miniman and my co-host John Furrier, thanks so much for watching theCube.