 Live, from Las Vegas, it's theCUBE! Covering AWS re-invent 2019. Brought to you by Amazon Web Services and Intel, along with its ecosystem partners. Hello everyone, welcome to theCUBE. We're here live in Las Vegas for AWS re-invent 2019. I'm John Furrier, host of SiliconANGLE's flagship theCUBE. We're extracted signal from the noise, leader in event coverage with Dave Vellante, my co-host and Justin Warren, tech analyst, Forbes contributor, guru, cube host. Guys, keynote for Jandy Jassy. First of all, I don't know how he does it. He's just like continuous hit to mark. Love the live music in there, but a slew of announcements. This is a re-invention of AWS. You can tell that they're just essentially trying to go the next level on what the cloud means, how they're going to bring it to customers. And you know, they've been criticized for, you know, kind of not, I won't say falling behind, I would say Microsoft's been probably praised more for catching up. And there's been a lot of discussion around that, the loss of the Jedi contract, variety of enterprise wins, Microsoft has the field sales force, Google's just kind of retooling, but Amazon clearly the leader, with a little pressure for the first time in the rear view mirror, they got someone on their tail, not Gwen and Microsoft's far back, but this is a statement from Jassy and Amazon of, okay, you want to see the Jets? We're going to turn on the Jets and blow past everybody. Jassy is cocky self. Justin, what do you think? Yeah, I saw a lot of signaling to enterprise that it's safe to come here. This is where you can have everything that you need to get everything that you need done, you can get all of it in one place. So there is a real signal there to say enterprise, if you want to do cloud, there's only one place to do cloud. Enterprise customers, they tried out some big names, Goldman Sachs, not a small enterprise. They had all the classic born in the cloud, but you know, we put out this concept on our SiliconANGLE post called, reborn in the cloud, almost born again, enterprise. You start to see the telegraphing of what their core message is, which is transform, just don't kick the tires and fall into the Microsoft trap, go with Amazon and transform your business model, transform your business, not just run IT a better way than before. Well, yeah, I mean, I'm impressed they got two CEOs, the CEO of Goldman Sachs, David Solomon, the CEO of Cerner coming to the show. It's kind of rare that the CEO of your customer comes to the show. I guess the second thing I'd say is, Amazon is not a rinse and repeat company at these shows, although they are when it comes to shock and awe. So they tick the box on shock and awe, but you're right, John, they're talking a lot about transformation, I would sort of think of it as disruption. Here's what I would say to that. Amazon has a dual disruption agenda. One is it's disrupting the horizontal technology stack, and two, it's disrupting industries. It wants to be the platform which startups in particular, but also incumbents can disrupt industries. And it's in their DNA because it's in Amazon's DNA. And I guess the last thing I'll say is, Amazon is the retail, Amazon retail is the, you can buy anything here store. And now to your point, Justin, Amazon web services is you can get AWS anywhere at the edge in the little mini data centers that they're being at on outposts and of course in the cloud. All right, I want to get you guys reactions to a couple of things I saw and I want to just analyze the keynote. One is we saw Jassy come out with a transformation message. That's really more of their posture to the market. You should be transforming. We're going to take Amazon as a center of gravity and push it out to the edge without post. So kind of a customer company posture there on the industry. Then you had the announcements. And I thought that the SageMaker studio was pretty robust, a lot of data in the announcements. So you had the transformation message, a lot of core data. And then they kind of said, hey, we're open. We got open source databases. We got Kubernetes and multiple flavors, couple sneers from the Twitter crowd on that one. And then finally outposts with the edge where they're essentially, four years ago, Dave, they said, no more data centers in 10 years. Now they're saying, we're going to push Amazon to your data center. So, you know, a posture for the company, a lot of data centric data ops, almost programmability, almost a dev ops field to it. What's your reaction to that? I think the most interesting part for me was the change, there was a bit of a shift there. I think he made the statement of rather than bringing the data to the compute, we want to bring the compute to the data. And I think that's acknowledging reality that data has gravity. And it's very difficult for enterprise particularly, if you've already invested a lot in building a data lake, like being able to just pick that up and then move it to any cloud, let alone AWS, just moving that around is a big effort. So if you're going to transform your business, you have to kind of rethink completely how you address some of these issues. And one of that would be, well, what if, rather than let's just pick everything up and move it to cloud, what if we could actually do something a little bit better than that and we can pick and choose what we want to suit our particular solution. And to your point, Dave, I think that's where Amazon Strength comes from, is that they are the everything store. So you can buy whatever you want, be it this tiny little piece that only five companies need or the same thing that everyone else on the planet needs, you can come and buy everything from us. And that's what I think they're trying to signal to an organization that says, look, if you want to transform and you're concerned that it will be difficult to do, we've got you, we've got something here that will suit your needs and we will be able to work with you to transform your business. And we're seeing, you know, Amazon years ago wouldn't talk about hybrid and now they're going really all in on hybrid and it's not, Outpost is no longer just this thing they're to do with VMware. It's now a fundamental piece of their infrastructure for the edge. And I think the key point there is the edge is going to be one with developers. And Amazon is essentially bringing its development platform to the edge with Outpost as the underpinning. And I like the strategy much, much better than I like what I'm seeing from some of the guys like HPE and Dell which is they're throwing boxes over the fence with really without a strong developer angle. Your thoughts? Yeah, I mean my big takeaway was I think this is key knows about a next generation shift on the business model with that's the transformation. He didn't come out and say it, I said it in my post but I truly believe that if you're not born in the cloud or reborn in the cloud you'll probably be out of business. And as a startup we're going to ask some of the VCs this question, how do you go after and target some of those people who aren't going to be reborn in the cloud and have the scale advantage? But the data announcements was really the big story here because if you look at DevOps, infrastructure as code, programming infrastructure. We've seen that, that's of now an established practice. Now you start to see this new concept around data ops. Some people call it AI ops, whatever but data is now the new programmability. It's almost a DevOps culture to data. And I think what got my attention the most was the IDE for SageMaker which kind of brings in this cool feature of what everyone wants which is I want machine learning but I can't hire anybody. I got to make, I got to democratize machine learning. I got to make application developers get value out of the data because the apps need to tap the data. It's got to be addressable. So I think this is a stake in the ground for the next five to 10 years of a massive shift from increasing the DevOps mission to a data layer making that manageable. Multiple databases, he's totally right on that. It's not one database. If you want time series or real time graph for network constructs, it's pick your database. That shouldn't be an inhibitor at all. So I think the data story is real. That's the top story in my mind. The data future, what that's going to enable. And then the outpost is just a continuation of Amazon realizing that the center of the cloud is not the end game. It's just a center of gravity. And I think you're going to start to see edge become really huge. I count 10 purpose built databases now. And Jassy was unequivocal. He said you got to have the right database tool for the right job. You're seeing the same thing with their machine learning and AI tools. It's a bunch of dozens and dozens of services, each with their own sort of unique primitives that give you that flexibility. And so you can disagree with the philosophy, but their philosophy is very clear. We're going to go very granular and push a lot of stuff out there. I think there's two bits at play there that I can see. And I think you're right on the data thing. And something that people don't quite realize is that modern data analysis is programming, like it's code. So if your data scientist know how to code. So there was a lot of talk there about notebooks going in there, like they love their notebooks. They love using different frameworks to solve different problems and they need to be able to use. For this one I need TensorFlow, for another one I might need MXNet. So if you couple that idea that it's all about the data and you couple that with developers, and AWS knows developers really, really well. So you've got modern enterprises wanting to do more with the data that they have. The age old business problem of I've got all this information, I need to process, I need to do BI, I need to do data analysis. Do you couple that with the power that AWS has with developers? I think there's a pretty strong story there. You know in my interview with Jassy, I asked him the question and I stole the line from Steve Mulaney from AVatrix. He would take the T out of cloud native, it's cloud naive. And I think what I've been seeing is a lot of customers have been naive about what cloud is and essentially have been buying IT. And so they really don't, are not sensitive to the capabilities message. So I asked Jassy, I'm like you got these capabilities, that's cool, if you want to go to the store and buy everything or look at everything and buy what you want and construct and transform, check, no problem, I buy that. However, some customers just want a package solution and Amazon has not always been great on having something packaged for customers. So he kind of addressed that and this might be an Achilles heel for Amazon as Microsoft has such entrenched sales presence that they might be pushing a solution that frankly customers might not care about capabilities. We did see one bit where there was a little bit of a nudge towards ISVs and systems integrators and I think that really for me is there needs to be a lot more work done by Amazon there because that's what enterprise need. Enterprise is used to dealing with systems integrators that will help them to use the raw materials that AWS provides to solve that problem. Well he said, I'll quote Jassy, he said there are two segments of developers and customers, one that wants all the low level building blocks and others want simpler, faster results with abstractions, aka packaging. So they're going down the road, but again, they're not shy, they're like hey, we're just going to continue to build, we're not going to try to move off our trajectory, they're going to stay with adding more power and frankly, some digs at Snowflake I fought with Redshift and I thought the dig to the Kubernetes community with we code our own stuff, wink, wink, we don't have to slow down, was a nice jab at CNCF, I thought because he's saying hey, you know what? We're not in committees deciding features, we're just listening to the customers and implementing them. So a kind of a jab, I'm not sure how that's going to resonate over. I would say in regards to Snowflake as sort of a copycat separating compute from stores, that's what Snowflake's been doing forever, but he did take direct jabs at IBM, Oracle, and obviously Microsoft with Windows. So I like to see that, you know, usually Jassy doesn't do that, it's good, take the gloves off. There's so many announcements out there, you got to go to silkenangle.com, we'll have all the stories, but one of the top stories coming in to reinvent that we didn't hear anything about, but if you squint through and connect the dots on Jassy's keynote, it is pretty evident what the strategy is and that's multi-cloud. So obviously multi-cloud is a word that Amazon's not using at all on stage, as you can tell, they're one cloud, they don't really care about the other clouds, but their customers do. So guys, multi-cloud is a legit conversation, how they get multi-cloud is debatable acquisition, sprawl, but at the end of the day, multiple clouds is reality. I think Jassy was kind of predicting and laying down some early narratives around the multi-cloud story by saying, hey, we have more capabilities, we're faster, we're doing more stuff. So I think he's trying to seed the base on the concept of, hey, if you want to go look at other clouds, try to go apples to apples, man. Other than that, he didn't really address at all multi-cloud. What do you guys think about multi-cloud? Yeah, well, it's pretty much that if you're going to have multiple clouds, at least one of them is going to be AWS. So they're going to get some of your money. Okay, maybe I can't get all your money, I'll get at least get some of your money. That's reasonable, but I think part of the multi-cloud conversation is that enterprises are actually trying to cloudify their existing way of doing things. So cloud isn't a destination, it's not a physical location, it's a state of mind. It's a way of operating things. And that's the transformation part that enterprises are trying to do. So transform the way that they operate themselves to be more cloud-like. So part of the multi-cloud piece, I think that people are kind of missing, is well, it's not just Amazon or some of its competitors, it's existing on-site infrastructure and making that into a cloud, which I think is where something like Outpost becomes a really strong proposition. And I've said a million times, multi-cloud is more of a symptom than it is a strategy. That'll start to change, we'll see an equilibrium there, right cloud for the right job. But today, it's a problem that CIOs are asked being asked to clean up the crime scene. All right, let's wrap up by summarizing the keynote and each of you guys give me your take on. I'll start. I think this was a inflection point for AWS and Jassy in the sense of they now know they have to go to the next-gen cloud. It's Amazon Enterprise, it's data, it's Outpost, it's all these things. It's truly next-gen. I think this is going to be all about data. It's all going to be about large-scale infrastructure and data scaling. And with Edge and Outpost, I think is really an amazing move for them in the sense that's going to probably put in motion another five to 10 years of continuing architectural reshifting. And I think that if you're not born in the cloud or reborn in the cloud, you're going to be naive to the fact that you're not going to have the capabilities to be successful. And I think that's going to be an opportunity for entrepreneurs and for companies pivoting to the enterprises. So I think this might go down as one of the most packed keynotes, but I think it'll be looked back as one of the instrumental transitions for Amazon. So I think he did a good job. Again, he had to rush 30 announcements in three hours, marathon, but overall I thought he did a great job. I think I would agree, Jassy always does a good job. He's giving a message to CEOs, as opposed to the CIO. And he had two CEOs on stage. I thought there was quite a gap between that message of transformation and then sort of geeking out on all the new services. So there's still some work to be done there. But I think it's- There's a lot of developers in the audience. I think you've seen them. Tell your boss to get on the train. It's a very hard keynote to serve both audiences. But so it's a start, but there's a lot of work to be done there. Justin? Yeah, I agree with that. I think this is probably one of the first keynotes maybe last year, but certainly this year. There's like AWS is very serious about enterprise and is trying to talk to enterprise a lot more than it ever has. It still talks to developers, but we didn't see anywhere near as much interest in kind of the startup ecosystem. It's like, no, no, no. Cloud is for serious companies doing serious work. And I think that we're just going to see Amazon talking about that more and more and more because that's where all the money is. Yeah. Next generation cloud, new architectures, all about the enterprise. Guys, this is theCUBE opening day for three days of wall-to-wall coverage. Keynote analysis from Andy Jassy in Amazon. Andy Jassy will be on Thursday at three o'clock. We've got a lot of top Amazon executives who will help us open and unpack all these mega announcements. Stay with us for more CUBE coverage and go to siliconangle.com, cube.net for the videos. We'll be right back after this short break.