 Live from Las Vegas, Nevada, it's theCUBE. Covering AWS re-invent 2016. Brought to you by AWS and its ecosystem partners. Now, here are your hosts. John Furrier and Stu Miniman. Okay, welcome back everyone. We are here live in Las Vegas for AWS Amazon Web Services re-invent 2016, their annual conference, 32,000 plus attendees center of the tech universe, changing the cloud game, expanding the tech on the consumer cloud, now enterprise cloud. Our next guest is Stephanie Teyengos, the senior vice president of operations at Logix Works based out of New York City. I'm John with Stu Miniman, my analyst and co-host this week. Welcome to theCUBE. Thank you for having me. So the big question is, Amazon is replacing data centers. That's the vision of Andy Jassy. Accenture has a 300 person practice, just to rip data centers and put them in the cloud. How real is that trend? And what are customers thinking about this? You know, we do see this all the time where we have customers who are on AWS and they're looking at some of the older workloads they have. We've had one customer who actually had a managed service provider that they were working with give them one month notice that the data center that they were in was going to close. One month. One month. Eviction. Total eviction. I think they were going out of business. They really had to move something quickly. They were already running some workloads with us and they really came to us, not exactly in a panic, but with a very, very clear timeline that we have to get out. And we were able to help them transition because the type of automation that we're already doing on the AWS platform helps us launch the designs that we have for clients very quickly and then help them really migrate. Steven, take a minute to talk about what you guys do because I think this is an important conversation. This is a trend we're seeing, not just the emergency shift which you guys helped a customer out with, but just in general the concept of how data centers and hosting and how the infrastructure's changing. So take a minute to spend a little bit of what you guys do. Sure. So LogicWorks is a premier partner of AWS. We actually do cloud automation and we're also a managed service provider. So what this means to us is when you are making a transition, you might be running some relatively traditional workloads in your data center. We don't really want to just lift and shift things to the cloud. We really want to help people get the agility out of the infrastructure and really use the services that are part of the AWS platform, not only the infrastructure pieces. We'll help with everything from the design, the deployment, all the way into operations, ongoing optimization, and then the 24-7 managed service is really about giving people the assurance or almost the insurance that they know that they're being operated in the cloud well and they have the right support to really react to emergencies. Stephanie, I had a chance to talk to the cloud migration services team in Amazon. They talked about the six Rs and as you said, everything from kind of the lift and shift that's like relocate to retire to refactor. Changing applications is a tough thing to do but moving what you had to something new, we know doing the old way on a new tool or something like that, definitely isn't getting optimized. How do you balance that? Changing applications is super hard for companies. So what do you really see? Maybe you could give us an example or two as to what customers are really doing. Yeah, no, absolutely. There are so many different ways that our customers have to look at their own significant use case, right? You're going to find some customers who will still say, I have this application, I need it to remain up and functional but really it's not something that's changing our economic status. It's not the core of their business. It doesn't make any sense to move it. Those are the pieces that are going to tend to just be moved elsewhere if they're closing a data center but aside from that, we usually take the tactic that clients should aim for as much automation as they can because it really helps with both resilience and security. From there, when we give our clients really the reference designs that we have we'll really collaborate with them pretty closely to kind of step it back to where they can actually automate. We know that there are plenty of applications out there where it doesn't make sense to completely refactor it but you might be able to do some things that really give a little bit more benefit. I got to ask you about, first of all, great service. I think a lot of people in the enterprise aren't looking for just wake up one morning and taking a new Instagram picture of their data center and moving it to the cloud. I think there is a process. So I want to get your thoughts on the DevOps movement as it's grown such mainstream, how enterprises are looking at the operations and the dev piece. Certainly as Werner Vogel said on stage, the dev test dev is still huge. Andy Jassy calls that Tronge one of consumption of the cloud, Tronge two is much more advanced services. So you're in the heart of this. What is DevOps for the enterprise actually mean today? How would you describe that? Yeah, it's interesting. I've been at the executive summit as part of Reinvent this year. A lot of the messaging in the executive summit is about helping executives in those global 1000 companies figure out what is the best way to really adopt AWS in the way they're going to get the most gain out of it. And what they're really talking about is agility. How are your teams going to be able to operate in a way that's going to give you the agility you want? So there's this entire cultural transformation that needs to happen within the enterprise. It's not solely a technical problem. This is really a culture issue and it's something where you really need to teach people or allow them the space to learn. What level, because we're hearing multiple things and my comment I'm hearing in the hallways, hearing on the cube here, that actually it's more in the management layer than it is in the trenches. Is that, does that work for you too? Do you see it that way or is it all everywhere? Mindset kind of thing. You know, it really depends on the organization, right? Some organizations are building a center of excellence that has some backing from the executives and they're able to push these initiatives, show some success and have other people come to them and say, oh, we'd like to be doing what you're doing. There are other companies that are doing a complete top-down initiative and that's working for them as well. I think a lot of this, again, comes back to that culture piece. What do people within your culture really respond to? And you'll be- So it's case-by-case basis on culture of the company? Yeah, no, absolutely. And we've really seen enterprises where it might be a security team that's really pushing these initiatives because they want that automation around security. And we've also seen teams that are really development teams, that are really the ones who are able to say, this is how we want to operate. We've got one company with us that relaunches their entire development stack 20 times a day. Stephanie, I mean, you brought up some great points there. I mean, we know training is such a huge issue. Something everybody's been looking about is Amazon's going to do about a thousand new significant features this year. I mean, just this week, the AI, the machine learning with MXNet, the serverless ecosystem is huge. When do your company determine, okay, we're going to hop on this next one? Oh, wait, are we ready for IoT or oh, we're going to really focus down on serverless? And how do you start permeating that to your customers and all the various constituencies? Yeah, training is a big question for everybody. We as a company that has really been in business for a long time, we came out of the public or the private cloud space before we started doing managed workloads on AWS. We had a lot of engineers who were not as familiar with the platform as other engineers who had joined us as full stack developers later. We really take the approach that everybody needs to be learning all the time. And when I say that we have engineers that weren't necessarily up to speed on AWS three years ago, these are all people that have stayed with the company and continued with us and are now also working with DevOps tools. We really look at all of these people who are really engaged in what is out there as new to be constantly doing research and development on those new things that AWS is bringing out. For us, we're actually involved in a lot of the betas that AWS will do. So we're ready when they do that launch on stage to say, we're able to provide the service to you. And usually, if we see something in beta that we think is going to be generally applicable to our clients, we are going to do a certain amount of work on it at that point to make sure that as soon as it's really ready for general availability that we're able to provide that to clients. There's so many really interesting new technologies coming out which get people interested. What about the reverse of that? Kind of those blockers and those barriers. I feel like we've gotten over some of those, the cloud's not secure discussions, but I have to think, I mean, compliance still comes up. Certain industries have certain specific regions. So I see either, there's some people that are like, oh, I'm in the retail business. I can't go to Amazon because of that dynamic, but healthcare has very specific in turn to other industries. What do you see as some of those blockers that stops and how do you help along those lines? Right, I think you will still hear people saying that security is a blocker. But if you watched, I know you guys have been doing interviews all day. I'm not sure that you've got a chance to watch the keynotes. We did. But you know, Vogle said today, it's like, security is number zero on that list, right? Protecting your customers at all times is really at the heart of what you need to be doing. When we're talking to customers, we really are trying to educate them on how much better the AWS platform is as a baseline for security on top of which they can build. So security is definitely one, governance is another, but I think if you have the right tools, the right mindset, and the right approach to providing support to your customers, you can give them that real assurance that they know, you know, if I have problems around these areas, I have these trusted advisors that can help us do that. You know, it's the interesting thing about, you know, I had a sense that Andy Jassy is exclusive and he does with the learning organization as well. But the interesting thing that came up in our last interview with John Engates in the CTO of Rackspaces, that brings up something that we see all the time which is the risk of hiring people that build code and then leave is huge. And so if you're going to be agile and fast, your data center example also kind of plays into the, oh my God, the guy who runs the code just quit. And security, another problem, how fast can you keep up with some of the speed of services? If the cloud is doing that in communities in open source or managed providers like yourselves, this seems to be the table stakes for operation. Can you elaborate on this trend? Do you agree with that? Do you see it the same way? Are people nervous about hiring, the cost of hiring, cost of losing someone? Yeah, I think it depends, again, you know, this comes down a little bit to the organization. If you're talking about a small startup and they have very small headcounts to begin with, they might have one DevOps engineer and that really is a risk for them. So, you know, they're going to look for people that can back them up, if they lose that engineer, they're going to be somewhat covered. For an enterprise, they can really train their entire engineering staff over time to really have that skill set. So I think it's a little bit dangerous there and it really is going to help those enterprises make sure that they are still leaders in their fields and that the startups don't actually take their lunch. Right? As far as keeping up, you know, I think this is one of the pieces that's probably important when you consider how much you want to do yourself on AWS and how much you want to partner with other organizations. We're lucky as a service provider that we're seeing so many different use cases for the cloud. As a customer-driven company, if people are asking us about a particular service, we're going to concentrate on that for them. But in the background, we're already doing R&D on a number of things that kind of give them that leg up by the time they come and talk to us about it. One of the things that can sometimes get a little skewed coming to an event like this is like, oh, you know, a year ago, we were talking about Lambda and everybody's talking about it and using it. You talked to lots of customers. Wonder if you have any data on two specific points. Number one, containers. We've been talking about it for years, but where are we with adoption and usage in kind of your customer base? And same thing, kind of serverless, but I would expect this a little bit behind containers, but love any data points as to awareness, usage, you know, interest on those. Yeah, we do have a lot of clients who are already using containers. If they don't really have an opinion on what they want to do in terms of orchestration, we're going to point them right to AWS, ECS, for the orchestration piece. But we also have clients who are very sophisticated in their use there and are really using Kubernetes to manage a lot of that as well. So we are definitely seeing it, you know, they talk a lot about when you're trying to figure out placement for the different containers that you need to think a little bit different about operations and how you have a contract with your developers so you know what each of those containers is doing. And then really on the serverless side, we're using Lambda for a lot of our management functions and we're stitching things together for our clients using it as well. So while we've seen a few people go forward and try to do completely serverless media applications, we're not seeing that as overwhelming yet, but it's definitely coming and we're, but it's definitely coming and we're actually really excited about Lambda. Yeah. Do you have customers asking, you said the Kubernetes piece, is that a tension point with Amazon? It was something I heard is that they were really hoping to hear a little bit more of an embrace of Kubernetes. Yeah, I don't think it's a tension point with AWS. You know, the particular client that I'm talking about that's been working using Kubernetes, he's actually had a lot of interaction with the ECS team to let them know these are the things that we're missing. And you know, they really do listen to customers all the time. And I think that blocks is a fantastic step forward. I think this is a, this is something that they're really trying to address where customers are giving them feedback that they'd like additional features. Well, on their track record is clear when there's demand for something they added. Absolutely. A native service there. Stephanie, thanks for coming on the queue. Really appreciate it. You're awesome. Great to hear the DevOps angle. Final question for you, the folks watching, share the perspective of what's happening here. 32,000 people, up from 19,000 last year, always are packed. They can't even move around. What's the vibe of the show? What's the key takeaway? Now, there's just so much energy around this space. You know, even myself coming out of the keynote earlier today, there was such a flood of people. You can kind of feel like the excitement about, you know, all the new technologies that are coming out. Everybody's rushing off to the different sessions to learn the next new thing. On the other hand, I feel like I'm playing Frogger. Every time I have to get through the hallways, it's that crowded. The show has really grown a lot. You got to really be aggressive. I had to fight my way through my, it's like swimming upstream. But a lot of stories for us, as we say, a lot of salmon for us to grab, as we say in our queue business. Thanks for sharing your story and your knowledge here on theCUBE. This is theCUBE. I'm John Furrier, Stu Miniman. We'll be right back with more after this short break.