 Live from Washington, D.C., it's theCUBE, covering AWS Public Sector Summit 2017. Brought to you by Amazon Web Services and its partner ecosystem. And welcome to our nation's capital. Here we are in Washington, D.C., theCUBE, coming live from the Walker Washington Convention Center here for AWS Public Sector Summit. It's our maiden voyage with the public sector. So looking forward to this. John Walsh and John Furrier, glad to have you along for the ride, John. This is a very good week. Big fun. Good couple of days. John Galvin joins us. He is the Vice President and General Manager of the Public Sector at Intel. And John, thank you for being with us here on theCUBE. Glad to have you. It's a pleasure to be here. Thank you. Yeah, tell us a little bit first off about your portfolio. Sure. I understand you cover not only the United States, but you have a global footprint as well. So touch base a little bit with our audience with what you're up to. Yeah, absolutely. So first of all, I have to put it in perspective for everyone. People know us as a microprocessor company. They don't always attribute us to going out and calling on government or education decision makers. So we really act as a trusted advisor. We don't sell directly to government or to education entities. And I have salespeople or account execs around the world who are going in and meeting with ministers of education or ministers of ICT. Sometimes it's a school superintendent or district superintendent. But overall, what we're talking about is digital transformation and how technology can be used to advance government or advance education. And that's sometimes at a national level, could be at a state level, it could be at a district level. Well, John and I were talking in our open segment just a little bit ago about maybe a glacial pace isn't fair to say about how government had that reputation obviously for many years about being maybe reluctant to embrace change. What do you see now in that space? Is there this shift going on that there's more of an embracing technology and a more entrepreneurial kind of spirit within the operation of government? Yeah, absolutely. I mean, it is happening so quickly. The categorization of government moving slowly, absolutely true, education the same. But now wherever I go around the world, everyone's talking about transformation and they're starting to launch projects. That might be a pilot or a proof of concept, but they're getting started. The challenge is when you talk about digital transformation, it is so big. So it becomes difficult for governments to really get their hands around it of, what are they going to do to improve citizens' quality of life? Is that going to be a healthcare initiative? Is it going to be a transportation initiative? Sometimes it's an education initiative. And we're seeing them all. I think what is causing it to advance now though is they see proof points that it works. That by making those investments, it really is changing the quality of life for people. And in emerging markets, they don't have existing infrastructure that they have to tear out and replace. And some of the mature markets, it's how do you actually break down those silos? Well, John, I'm really glad you came up. Intel, in my opinion, I've been following Intel for many years. More recently, it's been pretty amazing. But you guys have always been a bellwether for trends, I'd say five to 10 years out. I mean, look at everything that Intel's done with technology. You have that five to 10 year stare instantly in what you're proposing. We've been seeing a lot of the AI commercials with Intel. What is the public sector trends that intersect with the vision of Intel? Yeah, well, you're absolutely right. I mean, if you look at what Intel does, we're similar to the auto industry. It takes us five to six years to produce our next processor. And so we have to be looking that far out of what are the use cases, and really what are those technological boundaries that we're going to either cross or break? And AI is absolutely the conversation today. It's around artificial intelligence, and it's no longer science fiction, right? We're not talking about it in the future. We're now talking about how can we use it today? Machine learning, big, big topic, and not just the role that Intel plays, but companies like AWS, big players in terms of how that actually comes to life in your home. It's not just how it's going to come to life in a big government institution or a big enterprise. And the public sector landscape, I mean, for the folks that are watching or know the public sector, what is the public sector? Because it's not just government, it's education, it's health and human. So what's the layout? I mean, how do you categorically look at it? How should people think about public sector? Not just GovCloud, because there's a GovCloud, but is there a public sector cloud? I mean, how should people think about it? Yeah, that great question. I work as part of a group at Intel that are all verticals. There's a healthcare team, there's a transportation team, there's an energy team. Public sector is completely different because we're all of those things. We're working on transportation projects. We're working big healthcare projects. And so public sector, you have to look at in the biggest sense where it's not just a federal presence, but it is a state presence, it's a city presence or a county presence. And so our opportunity is to be able to connect all of those things. And that's what I think is so exciting about the transformation that's taking place right now is for that vision to be realized, those silos really need to be broken. You're going to hear comments over the next couple of days about forming a data lake, which is bringing in all of those data streams into a single spot so that you can apply analytics and be able to get to insights that we've never been able to get to before. So how did you do that then if you talk about municipal levels, state levels, federal levels, different operating systems, different processes, different procedures, but all great resources. Yeah. How do you pull all of that together and make that an asset instead of a morass? It's all right. Yeah, well, in that question, you just captured how big this opportunity is. And the way that we do it is we work with our ecosystem partners. The strength that Intel has when we enter into those conversations is we work with everyone. We work with the big cloud providers, we work with all the different operating system providers. We're not only working with the computer companies that are our partners and our customers, but we're working now with Internet of Thing companies. And so we have the ability to be able to now work across that ecosystem to start pulling all of those pieces together. The heart of your question though is that those are all different systems that have been built over time. And if you look at what's been happening in enterprise over the past 10 years is CIOs and CTOs and enterprise level have been breaking down those silos and moving more to single systems and big data streams. And now that's what's happening within the public sector is that data has to come together. So I talk about the collaboration between Intel and AWS and what that is going on with you guys. How you guys are working together and what's the impact in serving public sector customers? Yeah, well, we have had a great partnership with AWS from the beginning. We is going to take on this bigger vision is going to have a cloud discussion. There will still be things that they're going to be doing on-premise but it's most likely going to be a hybrid environment. And so with AWS, we really have the opportunity to have a bigger discussion where they can really have that cloud discussion and even some of the analytics layer, they're also doing more at an IoT perspective. We're able to join that conversation in terms of how our technology really plays into it. But I think the other thing we're able to do with AWS is really look for innovators. We're able to identify either those small companies or even some of the cities who are doing some really great things. And then because of their global footprint and our global footprint, we can share that pretty broadly. And the ecosystem is critical. You guys in child's always been an ecosystem friendly company. With that in mind, I got to ask you the question that's everyone's talking about. And certainly we were covering Mobile World Congress this year in Barcelona and you couldn't go anywhere without hearing 5G and these new phones that are coming out. And then under the hood, network transformation hearing about software defined networking, machine learning, AI, a lot of things that you guys are talking about. So the question for you is smart cities. It is a really, really hot opportunity just to even think about the concept of what a smart city entails. I mean here in DC, like other cities, they have bicycles people can take out and ride around. That's a smart city. That's a cool service. But now you bring digital onto it. Imagine Airbnb, you got Uber, you got Lyft, you got all kinds of new digital services, digital experiences. I mean this is a public sector issue. This is an interesting one. How is Intel's view on smart cities? How do you see that rolling out? First of all, we're very excited about what's happening within smart cities. And to the beginning of your question, we think 5G is going to be an accelerant. It's going to cause it to happen even faster than it's happening now. What's interesting about smart cities is that it really does take a lot of different formats. And so we see cities who are really focused on public security and safety. We have examples whether it's Singapore or London of how they're now capturing new data with the cameras that they've put up and can do real-time analytics on it using AI and machine learning. So that it's not just that they have all of these data streams, but they're doing real-time analysis of the data stream to be able to identify potential threats. But we also have examples where we're seeing cities invest in new technology to essentially replace what are the old ways of us being able to communicate and engage with the government. And that could be as simple as there's new information that's available to us. Or as they're collecting all of these data streams, they're making that data public and available for innovation. And so entrepreneurs now have the ability to also build solutions on those data streams. It's an incredibly exciting time. It's mind-boggling and just think about how we live our lives in our cities. I can call the police department, the fire department, call for services in the analog world. Imagine like, okay, imagine video chat. Is that going to go to the certain department? So how people engage? Which side of the street does the cars drive on? Who decides all that? And this is kind of how big this is. This is mind-blowing. Well, it is big and I'm going to answer that. In two ways. Yes, right? The way that we did things before is changing and it's changing rapidly. To your 911 reference, I don't know. Does it have to be a video engagement? Or through video, are we actually capturing real time that there's an incident that the fire department or an ambulance or police need to be dispatched where no phone call actually needs to be made? Real time and analytics. Predictive, prescriptive analytics can come to the table. Yeah, absolutely. And so we're already seeing examples of that. Where that's happening today. What we're not seeing yet is it's not happening at scale but I think we will see it happening at scale. All of those early adopters, they had figured out on their own. But now we have blueprints and we have frameworks that we can share with other cities where they will be able to do it much more quickly. All right, what project really stands out for you and all the things you're looking at in the public sector, because there's so much going on that you guys are doing. I mean props to Intel. Love the AI missions. It really puts a vision in place but also it's reality now with machine learning. What projects stand out for you that you see as real innovative? Collaborative between Intel and AWS. Yeah, so we did a project with AWS where we essentially created a competition for new ideas to be able to come forward. And out of that, what we've seen is some cities really doing some innovative things. Just taking those first steps. What that does for us is it gives us a broader view than we would be able to get on our own. But some of that's basic. So to say exciting stuff, we have exciting examples. The kiosks on the street corners in New York are an exciting example. What we see some of the universities doing I think is really exciting. Universities around the world have an issue with student retention where they just experience high dropout rates at the end of the freshman year in the end of the sophomore year. And the challenge is how do you identify a student at risk? Well, automate attendance and you can now see our students actually attending classes or are they skipping class? Start using sensors and beacons on the campus and you can actually detect what those student patterns are where you just might need to have a counselor step in or a professor step in and really sit down with them and walk them through it. Humans are things too, right? I mean, variables, they've got all kinds of sensors that could be anywhere on-person device too. Absolutely, we have been working with the University of Texas in Arlington exactly on that project. Through a sensor, you can actually capture the emotional state of a student and are they highly stressed and should that be, again, in an environment where... Explain, I mean, how does that work? Through body temperature and heart rate. So biometrics are being measured? Yeah. And with body temperature, respiration rates, all those kinds of things. Medical health is a huge issue in colleges and universities around the pressure. But you can see that, yeah, from a health perspective, you know, the strep throat, right? Sure. It's like the freshman plague. Every freshman gets strep throat. But if you can identify anxiety as it's being formulated, right, before it becomes a problem that manifests itself in academic performance. Exactly. You can treat that as a question. Sure, now you combine that with capturing data from the student cafeteria or dorms of whatever they're eating patterns, what are their sleeping patterns? Are they actually getting enough sleep? So you get a much more holistic view of the student and we have to be careful here, right? Because... With privacy concerns? Right, there's absolutely privacy and security concerns and anyone who engages in these projects heightened awareness of that. So it really is about quality of life and how do you create a better education experience? Not create anything that's threatening, but it becomes a much more personalized learning experience. The convergence or the confluence between IoT and cloud and processing power and software, it's interesting. I was looking on prior to the show coming in, I saw on your website at Intel Farmers in America and then on Amazon site, there was a city on the cloud. Can you take a minute and explain those projects? They're both Intel, I think Intel and AWS collaborations. Can you just take a minute to explain the city on the cloud and the farmers in America? What's the big aha there? Well, so it's a three-year project that we've been working on in collaboration with AWS and the whole idea was for us to be able to identify some innovative ideas within this space because it is still a new area. How do we essentially give some of these entrepreneurs and innovative people a chance to be able to bring their idea into fruition? And so agriculture and farmers in America is a great example because that data is being collected in terms of weather patterns and how they can now essentially access that data to be able to plan differently what they're doing as well as better enable them to share with others what they're finding as they, they're making changes. I mean, farm tech has been hot on the VC community certainly in Silicon Valley seeing people doing farm tech. Yeah. I mean, farm tech is one of those things. Agriculture is a huge area. It has health implications too, right? People are interested in automating a lot of things and bringing tech there. And then so you also healthcare is impacted too. One of the areas in major education but healthcare is another one that you guys are, what's the new thing in there that you guys are doing in healthcare? Yeah, I mean, we're doing actually quite a bit in healthcare around the world. And if you really think about it, the challenge with healthcare is that your records are typically with your doctor or with your hospital. They're not always shared and they don't move with you when you travel. And so the first opportunity is how does that data actually become standardized so that it actually can be shared? But the other opportunity in healthcare is for those CTOs and CIOs to start be using data very differently to understand the patterns of what's happening within their hospitals. And your earlier reference, John, to strep throat within a campus. How do you essentially start tracking that there's a trend and that there's something that you can potentially deal with much more quickly once you have the insights to it? All right, so take a minute as we end this segment here, I want to get your thoughts on. Give us a taste and showcase some of the Intel speeds and feeds, some of the tech. What's under the hood? What's coming out of Intel that's powering all this? Because remember, we're all driving these self-driving digital tooling out there. It's all powered by the Xeons and all kinds of cool stuff. What's the latest state of the art from Intel that you guys are bringing to the market in the public sector? Yeah, well, thank you for that question. I don't normally get it. John loves it. He's a speedy guy. We like to go on the road too much. We get sometimes too much feedback. Well, your earlier question was around AI and machine learning and for us, that's Xeon Phi. And if you look at the power of a Xeon Phi, it's essentially three times the tariff flops of the largest supercomputer that existed 20 years ago in a single processor. And so for us, this is an opportunity for us to again, really be able to advance and accelerate what's happening with artificial intelligence as well as machine learning. Well, it's an exciting new world. Obviously, with a realm that goes from healthcare to ag to education to government and Intel very much at the center of that. John, thanks for being with us. It was great to be here. Appreciate the time on theCUBE. Look forward to having you back. We'll continue our coverage live here from the AWS Public Sector Summit here on theCUBE. Back with more, just a bit.