 Live from the Moscone Convention Center in San Francisco, California, it's the CUBE at Oracle Open World 2014 brought to you by headline sponsor Cisco Systems with support from NetApp and now here are your hosts John Furrier and Jeff Frick. Hello everyone welcome to the CUBE. We are live in San Francisco, California at Oracle Open World. This is the CUBE, our flagship program. We go out to the events and extract the signal from the noise. I'm John Furrier the co-founder of SiliconANGLE Media. I'm joined by my co-host here in the Cisco booth on the floor is Jeff Frick, my co-host. We are going to be covering Oracle Open World 2014 like it's nobody's business. We have two live concurrent CUBE operations here within the Cisco booth and also on our other channel at the CUBE Logic booth. This is our fifth year covering Oracle Open World with the CUBE. Over those five years Jeff we've interviewed 3,500 people in IT and tech and tech athletes. I'm super excited to be here because we are in the fifth year of documenting the Oracle transformation. Larry Ellison's keynote. Always a pleasure. The Twittersphere lighting up. Great to be here. Good to see you. We're kicking off here in the Cisco booth. Let's wait for the folks why we're in the Cisco booth. Yeah so we're expanding our presence here at Oracle really John for the second time as I think you know to all year we actually have two concurrent CUBEs going at the same time. The demand is up. People have a lot to say. They want to get their stories out there and they know the CUBE is a great way to do it. So we're down here on the exhibit floor. It just opened up a ton of people. A ton of energy. They got the World Cup votes out front. John if you remember last year they're actually racing those boats and Larry missed the keynote. But he did get an intro keynote yesterday and there were some other intro keynotes. The meat of the show kicks off today but they did have some of those big keynotes yesterday. So John I wonder if you could give us your analysis on what you saw on yesterday's keynote. So Jeff the big story last night was Larry Ellis's keynote speech but he was also you know the warm-up band was suffered from cats. The new CEO Mark Hurd the other co-CEO gave a keynote this morning. But Renee James and Intel gave a big keynote really highlighting Intel's presence at Oracle Open World. Again Intel Intel inside is really winning with the cloud. They made some great investments over the years. We're going to hear from Kim Stephenson shortly here the CIO of Intel and then Larry Ellison came on and here's the bottom line. Oracle is in the midst of the major transformation to the cloud and this is the year that you're going to start to see the meat on the bone. Larry Ellison was teasing out essentially push button database essentially private cloud in the public cloud offering native apps and SaaS and Oracle wants to have a presence at the infrastructure as a service platform as a service and software as a service where at each level of the stack Oracle will have a competitive offering and disrupting the competition at the infrastructure level they're going to commoditize they view the commodity of the infrastructure as a key part of the strategy they want to go at Amazon web services directly and commoditize and offer the lowest cost possible. At the platform as a service that's about database portability application portability and orchestrating all the key things in the platform as a service and finally software as a service that's the marketing cloud he introduced and the human capital manager was basically the competitor against Salesforce so Jeff bottom line is you're going to see two things happen they're going directly at salesforce.com for the SaaS business and now the emergence of social media mobile social and big data big data you cannot ignore it's native in the platform as Larry Ellison said very similar to our crowd chat application cloud that we have and this engagement cloud this marketing cloud is Oracle's new front but they are aggressively investing in this is going to be one of those areas that we heard a little bit of a teaser out from Larry Ellison the marketing cloud but that's going to sit on top of their existing investments in software as a service and basically offering all Oracle applications in the cloud so again big story the transformation to the cloud so that customers can have on premise and have native Oracle in the cloud that's ultimately the biggest story here. Yeah it's interesting it just continues on the trend that we've seen you know we've been covering the AWS show for years and they really kind of pioneered and spearheaded the cloud movement but just you know last week we're at in forum 14 run by Chuck Phillips formerly of Oracle and you know they announced that they're moving all of their really industry focus kind of smaller scale apps to the cloud and so this move by Larry really co-opting the cloud message and getting all the the Oracle application stack to the cloud really validates cloud as a legitimate enterprise delivery vehicle for applications. Yeah so the marketing cloud has 884 new SaaS products 29 of them are new you talk about data security Oracle is essentially building in what he talked about three years ago as the iPhone for the data center what they want to do Jeff is they want to be the Apple for the data center and even Larry Ellison yesterday made reference to his walks with Steve Jobs to kind of bring up that impression and kind of in Larry's own little vanity way let people know that he and Steve Jobs were really really good friends and that ethos of designing hardware and software at the same time really is a core tenet of Oracle strategy so the entire Oracle cloud vision now executing out is all about bringing that kind of software and hardware integration into the cloud so you know again Larry talked about the new applications he talked about essentially the core of a cloud platform which is the cloud database service the Java Java cloud is a service and then on top of that mobile social analytics and identity this is their architecture and again they're moving the entire Oracle suite onto this cloud architecture and again grounded in big data mobile and social so so before we go John just we're going to get going with Kim stevenson a minute your impression of sapphire cats I think that was probably her first keynote in a new position she's a veteran right so she's very understated and I think she did a great job and she's humble she's not the grandstander you know she's she's a perfect fit for the Larry model mark her the operator sapphires the the numbers person of course you got henley inside the technology and Larry overseeing everything else so no real change the Oracle but they you know their earnings have been down their last quarter so what you are seeing is not so much a bump in the road for Oracle financially but an absolute transformation so you know I think Larry set the table for his successors sapphire cats and Mark heard and you know the big joke prior that announcement was you got herding the cats you're in reference to a lot of Twitter action on that a lot of reference to what it takes to be successful in IT and of course cats being the last name and mark her and being the last name herding the cats is the theme all joking aside two good leaders both different complementary skill sets and in classic Larry fashion competition for the CEO job so you know Larry you're taking a sailing mojo to the table brings it out and you got two co-ceos what better way to create some competition amongst two different candidates within Oracle so again I'm really bullish on Oracle and three years ago it was really at the at the lull in Oracle's business Jeff it was the it was the calm before the storm Oracle woke up and realized damn we actually got to get to the cloud pretty fast and if we don't we're gonna be screwed and I think it was a wake-up call because that prior year Oracle had the same old BS rolling out and then all of a sudden Larry had the cloud mojo and said you know cloud is here and since then past three years Oracle has shifted their entire business to cloud architectures because ultimately Jeff customers want right and Amazon is showing the way and certainly Oracle is not going to let up their market share without a fight so we're going to be here covering on the ground is the cube interviews all day here besides the Cisco booth we write back here live in San Francisco at the Oracle open world 2014 join us on crowd chat at crowd chat dot net slash oh w 14 that's our crowd chat engagement cloud our engagement container will be storing the conversations ask us questions looking for your virtual hosts out there to join us is the cube we write back it was short break