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Mike Silvey, Moogsoft | AWS Marketplace 2018

Mike Silvey, Moogsoft | AWS Marketplace 2018


>>From the Aria Resort
in Las Vegas, it’s theCUBE covering AWS Marketplace. (upbeat music) Brought to you by Amazon Web Services. (crowd talking)>>Hey, welcome back everybody. Jeff Frick here with theCUBE. We’re at AWS re:Invent
2018, it’s a ton of people. We’re actually are not
in the Sands tonight, we’re kicking things off at the Aria at a place called the Quad. It’s the AWS Marketplace and
Service Catalog Experience Hub. Come on by, they got the foosball, the liquor’s out, the food is out, and really kicking off a great event. We’re excited to have a
first-timer to theCUBE, but a long-timer from the industry. He’s Mike Silvey, co-founder
and EVP of Moogsoft. Mike, great to see you.>>Thank you very much.>>So it’s a little early to ask you your impressions of the
show, I’d love to ask you on Thursday afternoon, but
so far, what do you think?>>Pretty good, I mean,
I’ve been busy all day. The booth’s been, you know,
obviously just starting, but we’ve had meetings with everybody all day so far, and yeah, crazy.>>It’s a show like no other. It’s really something else.>>Well for a company
outside, it’s really cool, because we’ve got a couple
of events here at the Quad, on machine learning and on DevOps. We got a booth. We got people you showcase elsewhere. And yeah, very, very, cool. Lovely.
>>Right and you’re on theCUBE.>>I’m on theCUBE. Hi.>>So for people that aren’t
familiar with Moogsoft, give us just kind of the quick overview.>>Okay, yeah, so we set up
the company to really help transform the economics
of the digital migration. So what we mean by that
is, you as well know, and all the statistics show that the more you move to modularized software and take advantage of
the cloud with Agile, the more costly your operations costs are. In other words, your development
productivity goes down because you spent more
time doing operations than they do developing. So what we’re here to do is
make sure that our customers who are all major enterprise corporations, they’ve got a hybrid
world of major enterprise on-premise and then
their cloud transition. We’re making sure that they can transform, stay agile, but while
increasing the development productivity and reducing
their operation’s costs. It’s as simple as that.>>Right, but you were
coming at it from a kind of a different perspective. We talked a little bit before
we turned the cameras on. You guys are investing really
heavily in core technology. Not necessarily building a big sales force or building a big marketing department, but really core technology. So I wonder if you can kind
of talk about that strategy and your pursuit of really
going down that path.>>Yeah, no, fair. So I guess it comes from our background. If you look at our history, we did … Well, some of those
managers you mentioned.>>I wasn’t going to say anything.
>>That’s a long way back. I’m very old. We did Micromuse years ago at
a time of the client server transformation, we did
RiverSoft at the time of the dot com boom, and
then moved to root cause. You know, today we’re in
this digital transformation where single faults no
longer cause issues. It’s a combination of faults over here and micro-changes over there that lead to some kind of service or capacity degradation that
leads to customer impact. And the problem our
customers have is detecting that impact before the
end users are impacted. Our perceived competitors out there, folks like Splunk and
ServiceNow, no investment in IP. They’re trying to take all
technologies and all techniques to solve a problem that
they just can’t solve. What we’ve done is invested
in unique IP for that problem. So far, 44 patents at this time. We’ve invested in a huge
number of PhD scientists to achieve what we’ve done. And we’ve developed some
specific technology, for our machine learning, AI, collaborative and social operations to really give you that economic value.>>Right, because your mission is really AI for IT ops, right?>>That’s right, perfect.
>>I pulled it right off the website.
>>Nice. Yeah, so really what that
stands for is earlier detection of actual issues. Now on that case, there’s
an airline that is American that I can’t mention, so
you can’t use it on camera, who last year had a rather public outage. So they had a six hour
outage where they were unable to schedule flights because the grand
handling software failed. This year, they have Moogsoft. Our software detected an incident that they could action earlier,
resolve before it impacted their grand handling system. They realized that if our software hadn’t shown them that
issue, unknown, unknown, they would have had a four
and a half hour minimum outage of flights across the U.S.>>That’s expensive.>>Quite expensive. Thank you. (Jeff laughs) So early detection, fewer actual issues, so you think, you’ve got DevOps teams. One DevOps team has an issue,
normally the rest of the teams are impacted, they all
spend time investigating. With our software, we show the
team that’s got the issues, that got the problem. We show everybody their collateral
damage, don’t waste time. So we improve the productivity
there and then we help them remediate much earlier
without customer impact, so there you are.>>So we’re here at the
AWS Marketplace Experience. That’s a mouthful. But I’d just love to get
your perspective on you said specifically you guys are
targeting a lot of investment in IP. How does partnering with Amazon
and the Marketplace enable you to really build the
company differently than, as you said back in the old days, when you didn’t have really kind of a distribution
opportunity like this?>>Good question, so I
guess we started the company as an on-premise product
targeting very large corporations. The kinds of customers we have … HCL the MSP space, Wipro the MSP space, people like GoDaddy, Yahoo, folks like that, and then
some financial services. We started in the on-prem
world, and as those customers have started their migration to hybrid, it became really clear
that Amazon was focusing on that area as well. And what the AWS Marketplace
has allowed us to do is massively shorten
frankly our sales cycle with our customers with
very large scale deals. But also help those
customers adopt our software much more quickly as well. It works really well for Amazon, it works really well for our customers, and works really well for us. Earlier value, you had much
bigger customer adoption much more quickly and
the Marketplace benefits because we help those customers transition over to the Marketplace
much more quickly as well. To take advantage of Agile.>>Right, and I don’t
think a lot of people give enough credit, especially
for a smaller company, how hard it is to do
business with a big company. Not because of anything
with the technology, but just in terms of getting through, getting it, being it approved.
>>Commercials.>>Just being an approved
vendor, you say the commercials can be the biggest hurdle to
actually closing the deal. It has nothing to do with
whether the buyer wants to buy it or whether it’s a great technology fit. So by using the Marketplace,
you basically just taking all that difficulty right off the table.>>The Marketplace has
the enterprise contract. If the customer has an
enterprise contract, they could just buy our software, no EULA, no commercials with us. That’s it, thank you very much. We get paid, everybody’s happy. And those customers get
to save money as well, but I probably shouldn’t say that. (Jeff laughs) And then how’s it been
just working with Amazon as a partner? Some people are scared. They’re like, “You know, they’re so big. “And if they find something
they like, they’re just going to “roll up it in the big machine.” So how’s it been working
with Amazon as a partner?>>Quite amazing actually. I don’t want to get to sycophantic
with Amazon here, but … First, we were a tiny company
really with 200 people. Okay, we’re selling above
our weight, I guess, with the customers we have. They changed the Marketplace
to do deals for us. I’ve been amazed. So we founded the company on the principle we wanted to bring joy to our customers, meaning we wanted to be
agile, customer focused very customer centric. I’ve never met a large
corporation like Amazon who’s so customer focused. So with particular customers, we’ve done Marketplace transactions. Very high value, very large scale. Amazon’s changed the Marketplace in ours to facilitate those
deals for the customers. I mean in terms of the engagements we have with the CloudWatch
team and the CloudTrial and the AWS management teams, they’re working with us on product changes to help those customers for us. It’s really, really cool. Totally different experience. Something you don’t expect
from a very large corporation.>>Well, I think it’s great
’cause you have alignment ’cause they really still
care abut the customer first. They probably love
having you as a partner, but not before they like the customer. It sounds like a good
symbiotic relationship.>>It’s been really good.>>All right, well, Mike,
I’m going to track you down on Thursday night and get
your impressions of the show.>>Super.>>Because you’re going to be blown away. Thanks for taking a few
minutes of your day.>>Thanks very much. Cheers.
>>All right, he’s Mike. I’m Jeff, you’re watching theCUBE. We’re at AWS Marketplace and
Service Center Experience Hub at the Aria. Come on by. (upbeat music)

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