 We're back. This is Dave Vellante from Wikibon.org. This is SiliconANGLE.tv's continuous coverage of sapphire now. 2012, I'm here with Jeff Kelly, Wikibon's big data analyst. Jeff, this is our third year at sapphire. You know, great events, and we're seeing the transformation of SAP. You know, SAP obviously known, Jeff, as we were talking about, for ERP and supply chain, and you know, very well known for that, but over the past couple of years we've seen a major transformation. One of those pieces of that puzzle was really the acquisition of CyBase, which when I first heard it, I said, wait a minute, what was that all about? And now we're learning, and we've learned over the past year or so, it's really about mobile. And we're here with John Sims, who's the president of CyBase 365. John, welcome to theCUBE. Thanks. Thanks for coming on. So tell us about CyBase 365. You know, you're telling us off camera, you know, what you guys do, the B2C angle. Talk about that a little bit. Well, CyBase 365 is really all about mobile. That's everything we do. And we specifically focus on delivering mobile commerce solutions to our customers, cutting across a number of industries, historically focused on the telecommunications industry, mobile operators, and banks. But we're also now, because of the involvement with SAP, we're starting to expand into other industries like utilities, retail, consumer packaged goods, that kind of stuff. All focused on the consumer. Yeah, so talk about how you relate to the traditional CyBase business. I understand you guys own the whole SMS business or not own it, but you have a very large proportion of that. And that's you guys, right? Yeah, so there are really two parts to CyBase 365. There's the mobile commerce business that I mentioned a moment ago, and there's also our messaging business. And our messaging business, really, we do two things there. We interconnect operators around the world so that if you send an SMS message to another person and they happen to be on a different network, it goes through our hubs, and we route the message, make sure it gets there. And we do that for about a thousand operators around the world. We process about two billion messages a day through our hubs. So it's big volume business. And the other thing we do, because we have that connectivity, we provide those messaging services to enterprises. We want to engage their customers through the SMS channel. So if you're a large retailer or a large bank and you want to be able to engage the customer, then they come to us and we make sure that they get the delivery of those messages to the customer. So what are the big mega trends you're seeing in mobile commerce? Talk about what's changed over the past five years and what the big drivers are. I think, you know, if you go back five years ago, people mostly used the mobile channel simply to provide information to their customers. What we've seen change is that people are really using it now to transact with customers and build loyalty programs. So start to make their customers depend on them more. And so it's really become a much more engaged sort of channel. And that's been the big transition. That's been the change. And as that happens, then there's just a ton of information that exists, data about who the customer is, what they're doing, where they're going, what they like, what they don't like. With SAP and Sybase's analytics capabilities and HANA, you have a way of delivering even more value for customers from that customer engagement. Talk about that a little bit. Are those pieces actually coming together? I mean, I talk about the vision and talk about what's real. Yeah, so today around the world for banks and for mobile operators doing payments, and when I say banks, I'm talking about banks in the developed markets like the U.S. or North America, but also banks in underdeveloped markets. So one of the customers who's here, Dutch Bangladesh Bank, is a Sybase 365 customer. And they're providing banking for the unbanked population in Bangladesh. And so they're doing this already. They're allowing people to make transactions, build loyalty. That information that's coming in is now allowing them to target their customers for potential cross-sell opportunities. And one of the key things is that the people who are now running these retail banks are now carrying sales quotas. That never happened before. Their goals were all about whether the channel was up and available, stickiness of the customers. Now they're being tasked to cross-sell different financial products to some of their customers. There was a lot of talk several years ago about micro transactions. I mean, is that actually starting to take hold? Is that a big part of the mobile commerce business? You know, it's interesting. We sort of live in a bubble in the U.S. because we sort of say, you know, it's not quite here yet. You see a lot of things going on with mobile payments in the U.S. experiments, almost. Google Wallet is doing their thing. PayPal is doing some stuff. The company Square has introduced some capabilities. I mean, these are all kind of going on here. They're a little bit still in the experimental phase. But internationally, it's happening. I mean, we've had a customer in Austria, Paybox, who is working with all the mobile operators in that country, a number of the banks in that country, and they're providing mobile payment services where you can pay for everything from a taxi cab to buying goods online by a lottery ticket, by physical goods and a merchant. You can pay for parking. So you go and drive up to the parking meter, park the car, and you pay for your parking. And then when you're in the meeting, you know, like we all are in San Francisco sometimes, and we know the meter's running out, you get a tax 15 minutes before it runs out, and you can top it up right there on your phone. So that kind of stuff is happening. Yeah, yeah, yeah. I was in Arlington last week, and the meter made, said, ah, don't worry about it. I came back, there was a ticket on my car. I need that app. Go ahead, Jeff. It strikes me that we're just seeing the whole, the evolution of the mobile computing around Facebook, for instance, their whole mobile presence, they're trying to kind of revamp that. I think more than half of interactions on Facebook are close to that now, or through their mobile application. So, you know, I mean, talk a little bit more about kind of the cultural shift people expecting to be able to compete in meter. Expect to, about the whole... Well, I think, you know, you look at it, and in the world, there are 6 billion mobile subscribers, right? That's a big number. And in the U.S., we tend to only think about smartphones because there are a lot of them here, and the penetration is high, but there's only a billion smartphones in the world. So, there are 5 billion feature phones in addition to those smartphones. And so, companies are recognizing that their customers live in a mobile environment. What they're finding, though, is a smartphone app isn't sufficient. It's part of the solution, but the rest of these customers, they exist in SMS, or in some countries, they have this technology called USSD, I guess, used. So, Sybase 365 provides a solution that covers all of those channels. So, that becomes very important, particularly if you're a large global bank or a large global product brand company, you need to get to your customers, whether they're in the Philippines, India, the U.S., Canada, wherever they are, and we can provide that whole set of services across all those channels. The people who live in a mobile environment, you've got to go engage them there. So, the other thing that strikes me is this is very much a big data question. So, tell me a little bit about... So, I mentioned our messaging business where we're processing 2 billion messages a day. That's where we're starting with using HANA and starting to learn HANA as an organization, insight SAP, embrace it, learn it, learn what kinds of things we can do, what value we can bring, and have, to be honest, an internal use case that when then I go sell to customers in the mobile commerce space, I can say, look, we're doing it over here. This is what we're doing for our customers in the messaging space, and so... But when you think about it, if we don't find those opportunities to get value, then I worry as an industry, not as SAP, but as an industry, you would worry about can mobile payments really work in the U.S.? Because if you look at it, we also like credit cards. It kind of works for most places. And so, just replacing that action that's happening at home is a limited value. But if you can deliver for the purchase, a lot more, it can cement the investment that needs to be made to get new terminals on their countertops, train their staff, and using them in, you know, SON. That's interesting. It's more than just, you know, something I have to always keep plugged in that I have to plug in my credit card, but other value that gives us this incentive. So, John, my last question is, we got to run to the Del McJervis coming on. You know, and come back and talk to you about what he said. But my last question is, talk about the milestones for you. You're running this division, very exciting in space. What are the milestones that you're going to measure yourself and your team against over the next, you know, four to six months, and then longer term? What are you shooting for? So the key thing that we're doing right now is we're integrating and teaching the broad SAP organization about the capabilities we bring to market. We have been sort of a well kept secret, if you like, within not only SAP, but within CyBase. And we're now, we sort of had our coming out party a few months ago, and we're just ramping that up. So one of the key milestones for us is to get the message out across all of SAP. That's it. And then the other is to migrate into these other industries that are looking for consumer engagement and start to take our capabilities to those industries. Those two things in the next four to six months, we will be very successful and we and SAP will be very happy. Well, and you'll get a lot of leverage from that whole SAP and its broader ecosystem. Absolutely. John, thank you very much for coming on theCUBE. Thank you. Great story, and good luck with everything. Thank you.