Hyperscaling IBM Cloud's Growth Through the Data Center | Juniper Global Summit
IBM to customers: How can we help?
After Ravi Amanaganti, VP/GM for IBM Hybrid Cloud Network, reached out to customers to ask them, ‘how can we help?’ IBM got to work solving the answers. In response, IBM is the first company to announce an industry cloud for financial services.
How IBM helps customers migrate to the cloud while reducing operational costs
The three problems every enterprise faces
How enterprises stay competitive amidst continuous change
Who is this for?
0:07 Hello, everyone.
0:08 My name is Manoj Leelanivas.
0:10 I'm the chief product officer at Juniper Networks.
0:13 Today, joining me is Ravi Amanaganti,
0:17 vice president/general manager of IBM Hybrid Cloud Network.
0:21 Ravi, welcome and delighted to have you to join us today.
0:25 Manoj, very nice to be with you,
0:28 and thanks a lot for the opportunity to speak with you.
0:32 Fresh from the press, so to speak,
0:34 IBM is the first company to announce an industry cloud financial services,
0:39 and you made a joint announcement with Bank of America.
0:41 Juniper is super proud to partner with IBM Cloud.
0:44 Tell us more about IBM Cloud offerings
0:47 and what you're offering to customers around the world, Ravi.
0:50 Manoj, thank you.
0:51 I think, first of all,
0:54 it's a great announcement that we made yesterday.
0:56 The partnership has been more than 12 months long,
1:00 and we're all excited at IBM Cloud and, hopefully,
1:03 it's exciting for our partners and customers as well.
1:07 Just taking a look back in terms of what IBM Cloud brings to the customers,
1:13 partners, and people who work with us very closely is we're looking at ourselves
1:19 as kind of catching up with the rest of the cloud space.
1:22 There is no way we can say we are being the first one
1:25 and the market has been set for us,
1:27 so we have to find really a different means to make a place for ourselves
1:32 and in order to do that,
1:33 it took quite a bit of an effort in terms of understanding
1:36 what is it we are trying to serve.
1:38 We did a research on most of the enterprise clients on
1:41 what problems are they trying to solve for their customers?
1:45 What is that they're trying to bring to the market?
1:48 How is that they're competing?
1:49 What trends are they following
1:51 and how can we make up name for ourselves in their journey?
1:55 Then we looked at that.
1:56 There were three problems that every enterprise is faced with.
2:00 They have got this pressure from the board
2:03 that they need to migrate to cloud and, obviously, this is there everywhere.
2:07 Second, they need to compete in the sector,
2:09 whichever vertical that they're participating,
2:11 and they have to always make sure they're getting their digital transformation done
2:16 and reduce the cost of the operations
2:19 because pretty much everything they need to digitize in order to compete.
2:23 The third, they have to bring the teams,
2:25 people along with them because it's changing the way people work,
2:29 especially with the way people are becoming.
2:33 Their jobs are digitized, their processes are digitized,
2:36 and the people have almost been trying to deal with so many technical transformations.
2:41 These are the three things when they get thrown at them,
2:44 and they always come to the vendors asking for,
2:49 "How can you solve them for us?"
2:50 When we look at IBM Cloud, we said, "Where can we help?"
2:54 Here is where we have built IBM Cloud.
2:57 Right now, we've got around 190-plus as a service offering
3:01 and that can span across IaaS, PaaS, and SaaS,
3:05 and most of them are about providing these five value props.
3:09 One is about how do you really help the customer on their application modernization?
3:15 Everybody is in the mode of application modernization,
3:18 most of them have applications stand up in the 50% of their customer apps,
3:22 they've got 35% in pre-packaged apps, and 15% may be in the cloud.
3:28 You can wonder why the rest of the 85% is not in the cloud and this is the reason.
3:32 They've quoted, obviously, I've just been talking about what customers told us,
3:36 that they are worried about data governance, they're worried about security,
3:41 they're worried about really losing control of their data,
3:43 and that's one of the biggest concern.
3:45 The second, they really know that cloud journey is not a one-size-fits-all
3:51 so they always talk about multi-cloud approach
3:54 because they want to make sure they're managing their cloud journey very carefully
3:58 because they do not have all cloud-native applications.
4:01 That journey has to be clearly moderated.
4:03 The third, about while doing it they have to really,
4:06 really meet the governance and security and compliance postures
4:10 and regulations in each country because that's something
4:12 that they have to do otherwise they will not be able to compete effectively.
4:15 The last which is talent, people,
4:18 can they try to have the skills in order to do all these.
4:21 IBM Cloud really brings these things to the forefront
4:25 and we have really picked our niche in going about regulated industries
4:30 because that's one thing that we thought was the hardest problem to solve
4:33 and IBM has got a big brand with most of these financial insurers, healthcare manufacturing.
4:39 We believe that is the best place to start
4:42 and we wanted to really use that as an opportunity and build everything around it.
4:46 That's why we're talking about bringing AI to the market,
4:49 that's why we are talking about bringing quantum computing into the market.
4:51 You can think about those are the value props
4:55 but really 190 services that we offer to the customers.
4:59 Ravi, you covered a lot of ground there.
5:01 You covered the business outcomes you're drawing with your customers,
5:05 you've talked about digital transformation,
5:06 and then you talked about people, taking people forward.
5:10 Three different topics in-depth you covered.
5:14 When I talk to CIOs a year ago pre-COVID,
5:19 people were thinking in terms of digital transformation
5:21 and a journey for like three years.
5:23 Post-COVID the journey has become a three-month
5:27 or a six-month exercise for digital transformation, the big shift.
5:30 Data is continuing to explode, new services are coming online.
5:34 From an IBM perspective especially post-COVID,
5:37 I'm pretty sure that you built a pretty scalable network,
5:41 worked multiple data centers, 50 data centers across 18 regional zones.
5:45 What's your strategy,
5:47 what's IBM cloud strategy to keep up with the external growth driven by COVID
5:50 and all these new applications you said coming onboard?
5:54 Thank you, Manoj.
5:55 I think that question is timely mainly
5:57 because of the environment that we're all around.
5:59 Just imagine like the way we are talking to each other now from homes,
6:03 and this is something that I would have never expected,
6:05 especially for a global cloud summit, or maybe a customer summit.
6:09 I would be in a studio with you.
6:11 This itself is an extraordinary thing,
6:14 but when I think about digital transformation
6:17 this journey has been on even before COVID hit us.
6:20 COVID just transformed that and accelerated their journey.
6:24 I think, in my opinion,
6:26 what it really did is data has been growing significantly for the last five years,
6:30 and maybe even more, but just in the last one year,
6:33 it has probably grown even tremendously
6:36 because of this digital transformation that has accelerated.
6:40 When I look at that, what I really honed in on is not only data is exploding,
6:45 but it is structured data, it is unstructured data,
6:48 but the data silos it has created because of people's approach for multi-cloud
6:54 because the data is not in one location, and it is distributed.
6:58 This is where, really,
6:59 IBM strategy fits in straight there
7:02 because we were always being the champion of multi-cloud.
7:05 We've always wanted to go after this place where we know for sure it's not one-size-fits-all.
7:11 It's always multi-cloud.
7:12 How do you really support that coverage?
7:16 How do you provide the infrastructure across the globe,
7:19 where we build our network, our data centers,
7:22 where they are closest to the customer,
7:23 and provide the infrastructure, our VPC platform and all the services
7:27 that we have, 190-plus services,
7:29 make them available to the customers in that region?
7:32 Every year, we tend to add close to 12 data centers
7:36 that covers almost 3 to 4 regions.
7:39 We try to also bring very small footprints in the Edge
7:43 because we don't want to build data centers everywhere.
7:45 We want to use these Edge locations to bring the customer back into our cloud,
7:50 but really be the bridge to every other cloud that they want to participate with.
7:54 The last one is how do we really infuse this—
7:57 We talked about Cloud Pack for Data.
8:00 This is a software that we have, this is AI everywhere.
8:04 What it does is it really kind of simplifies and automates how we collect data,
8:09 organize the data, and process data and infuse AI to really bring insights for the enterprise
8:16 that they can be using them for their business outcomes.
8:19 In order to do that, we needed to have a couple of technologies,
8:22 so Red Hat is something that we have acquired,
8:25 and it absolutely gave us a great platform, OpenShift.
8:28 That OpenShift does a PaaS platform,
8:30 and we were able to really build this IBM Cloud Data Pack,
8:33 and that is the software.
8:35 We also use, another announcement
8:38 that probably you may have heard a month ago,
8:40 we talked about IBM Cloud satellite.
8:42 That's about distributing that AI service to wherever the customer needs that,
8:46 not really give the data, let the data come to the cloud,
8:50 let the data sit wherever it sits, take the service to where the data sits
8:54 and provide that AI and then really do that in a very secure
8:59 and provide that trust and compliance for the customer.
9:03 This is where we bring confidential computing to the customer.
9:06 Those are the real three elements as our strategy
9:09 that we use to support the customers on the data explosion management.
9:14 What I'm hearing from you is that, I think,
9:15 there is definitely two streams for you.
9:18 One stream is very focused on the hybrid cloud,
9:21 focusing from the centralized cloud to the near Edge,
9:24 to the far Edge, how do you make that hybrid cloud,
9:26 multi-cloud environment really happens.
9:28 The second one is the AI, AI-driven, cognitive AI enterprise,
9:34 where AI doesn't just happen in the cloud
9:36 but can happen wherever it needs to be.
9:38 Those are the two big sort of efforts and Red Hat plays into this in a big way.
9:42 Really great to know that.
9:45 Segueing a little bit into Juniper, you've heard of Juniper's direction,
9:50 our true north of Experience-First Networking.
9:53 At the end of the day, we want to provide simplified operations for our customers,
9:58 and a superior experience to our customers' customers.
10:02 We've been together as partners in this journey for a while now.
10:04 What does Experience-First mean to you,
10:08 for IBM and your customers, from a Juniper perspective?
10:13 Great to just bring in Juniper into this conversation.
10:17 We have been partnering with Juniper since this cloud has started with SoftLayer,
10:21 way back when I was at Cisco.
10:23 I was not even at IBM Cloud, but SoftLayer was our customer as well.
10:28 I was mostly putting Cisco into data center
10:31 and Juniper was putting most of their stuff in the data center Edge,
10:34 as well as in the backbone, and also security, which obviously,
10:38 security has been the critical insertion point for Juniper as well.
10:42 We really need to scale the network, not only on the backbone
10:47 but at the Edge of the network,
10:48 but do it in a way that it really brings
10:50 that experience and availability to the customer.
10:54 Absolutely, I do think that we've got a great partnership
10:57 that we continue to take forward in expanding speeds and feeds
11:01 because right now we are running our backbone with a lot of 100 gig.
11:04 I think very soon, I see that growing into 400 gig
11:07 and even more, and trying to also deliver SLS on the backbone,
11:12 and doing that area effectively and then bring security.
11:16 As I said, it's all about making sure that data inflight
11:19 and data in motion or the data in motion, data at rest,
11:22 are all managed in a secure way.
11:24 That's the key value that we bring,
11:25 and we want to make sure we're partnering with Juniper on that journey.
11:29 I do want to take one other point on this particular question.
11:33 I really want to make sure that we are focused on very, very,
11:39 industry-focused cloud, which is financial services
11:43 because this is the one that has given us that edge in the market,
11:46 and we want to really use that as a way to establish IBM Cloud as a significant player,
11:52 and then expand it to other areas.
11:55 It's really important for us to stay focused in keeping
11:57 that journey to drive that outcomes and then expand out after.
12:02 Thank you, Ravi.
12:03 I think we're delighted with the partnership with IBM too.
12:06 I think this partnership has been going really well.
12:09 Now, I'm going to segue into a slightly different two-part question.
12:14 What keeps you up at night? That's one.
12:16 Number two, for a person who's managing such a complex network
12:20 that you have deployed, and you are calm and composed.
12:22 How do you do that? What's the secret, for the audience?
12:25 Manoj, first of all, thank you.
12:27 I may not be as calm and composed as I look today.
12:30 Generally, the job that I have is a very difficult one.
12:35 I think what keeps me up at night is,
12:37 "How do I stay as a leader and how do I provide the motivation
12:43 to the team knowing that we are not in the top three yet?"
12:46 When I think about the market space,
12:48 we have got a lot of passion to compete, we want to be in the top three.
12:52 We know that we are not there yet.
12:54 In order to get there, we have got a lot of great things going on our end.
12:58 Keeping the team motivated, that we can get there,
13:01 and keeping the team also know this is practical,
13:04 this is doable and this is something that they should believe in,
13:07 is where I lose most of my sleep.
13:09 It's not the technology.
13:10 It's mostly the people and how do I keep them at ease
13:13 and focus them to do the job.
13:16 Great, Ravi.
13:17 Thank you so much for your time and insight.
13:19 It was a pleasure to have you.
13:21 Thank you so much,
13:22 Manoj and it's been a great opportunity to speak with you today
13:25 and whoever is listening to us.
13:27 This is a great transformation that we're all going through
13:31 and I wish everyone the very best on their journeys as well.
13:35 Thank you so much, Ravi.
13:37 Thank you.