Google Atmosphere Session 1: Opening


Uploaded by GoogleApps on 28.10.2009

Transcript:

ADRIAN JOSEPH: So welcome to Atmosphere, where we debate
and discuss the potentially disruptive
force of cloud computing.
We really want you to ask your questions for the presenters
and of the panels as we go through the event today.
We've deliberately built time in so that over the breaks,
during lunch, and in the evening, you can carry on the
discussion and debate with us and with other
people in the room.
So I have a question.
Why have so many bright and high-powered
people turned up today?
Is it because of the amazing lineup of speakers, authors,
and academics--
including Nicholas Carr, Carsten Sorenson,
and Geoffrey Moore--
pioneers in the cloud computing space--
including Marc Benioff from Salesforce and Werner Vogels
from Amazon--
CIOs who've embraced the cloud and are here to share their
experiences and to talk about how collaboration is changing
the way in which we work?
Is it because Google is going to share its vision of cloud
computing and take the lid off some of our products and our
product development road map?
Or is it because we've got a tasting of Chateau Latour
later this evening?
I can see by the smiles over there why this
gentleman has come.
Whatever the reason is, I hope you have a great day today.
Many of us in this room are digital immigrants.
I know that I am.
My young children remind me of it every day.

I took my son to school the other morning--
unfortunately not something that happens very often, given
the pressures of work--
and a lady came up to me at the school gates and said, oh,
we do find your puppy delightful.
To be honest, I had no idea who she was or what she was
talking about.
It turns out our sons were communicating on Facebook, and
my son had uploaded a picture of our new Labradoodle.
And yes, Labradoodles do exist.
My son's social life takes place on Facebook just as much
as it does on the playground.
For him, these aren't separate activities.
The lines between the internet and the real world have
disappeared for him.
Children today are communicating in very, very
different ways.
For them, technology is not new and exciting.

So we're here today to talk about cloud computing.
Three weeks ago, there was a conference in London on cloud,
and some senior IT execs suggested that widespread
adoption of cloud computing is not going to happen for
another 10 years.
At the same time, the IDC are forecasting that the size of
the cloud market's going to expand, is going to treble in
size to over 44 billion by 2013.
Who's going to be proven right?

Our CEO, Eric Schmidt, who can't make it today because
he's been delivering the keynote address at the Gartner
event in Orlando, has said that the widespread adoption
of cloud computing is not a question of if, but of when.
And I look forward to discussing with you later on
this evening whether you agree or not.
In the meantime, ask those questions, join in the debate,
and give us your honest feedback.
If it works today, we'll do it again.
And so without further ado, I'd like to introduce the man
who previously headed up our EMEA business across all
products and really understands our markets well,
who knows about scaling businesses, who grew the team
in EMEA from 1,000 to over 3,000 in four years, and is
now president of global sales operations and business
development, Mr. Nikesh Arora.

NIKESH ARORA: Good morning, everybody.
A warm welcome from me to all of you as well.
Thank you very much for joining us.
The good news of going first at any event is everything I
say is going to be fresh and new.
You'll hear it for the first time.
But if it's too early, you can wait, because during the day,
hopefully most speakers will repeat the same message.
So I think at the end of the day, Dave Girouard will come
and wrap everything up.
And hopefully he will conclude with similar
messages for all of you.
I think what's fascinating to me is all of us collectively
at this point are at a tremendous inflection point as
it relates to technology and technological revolutions.
And it's very hard when you are in the midst of one to
step back and see what's unfolding in front of you.
And it's easy to share.
It's easy to think about.
I've just moved two months ago to California.
I have lived in London for the last 10 years before that.
And I'd moved to London 10 years ago from Boston.
When I moved, I had bought three new VCRs at that time.
And I put them in my house.
I brought them over here, not knowing what I know now, is
that you cannot make them work.
From the laughs of the people, I can tell that's pretty
stupid of me to do.
But that was 10 years ago.
I was stupid then.
Now I'm smarter.
So the first thing I do is I plug a VCR in, and you know
what happens.
Little fireworks happen, and you no longer have a VCR.
Anyway, so I went to this wonderful gentleman who's not
far from here to try and help me buy a new VCR.
So he said, VCR's done.
You should get a DVD player.
So I said, fine, I'll get a DVD player.
So I replaced my three VCRs with three DVD players.
And I went to my local Primetime Video, or a place to
get my DVDs.
And they had this huge rack of videotapes and this small rack
in a corner of DVDs.
And all you could get there were classics.
Because somehow, the movie business has figured out the
classics will stay forever.
Who knows whether DVDs will stay or not?
So all the new stuff was on tapes, and
classics were on DVDs.
I don't have to tell you what's happened
in the last 10 years.
I don't know where my VCR is.
I think I just moved, and my wife had this box of
videotapes.
And she sat there and said, darling, what are we going to
do with these?
And she's like, no, we've got to find a way of
getting them onto DVDs.
And it's a simple story.
It's a very simple story, and it's very obvious.
We all say, tell us something new.
But it is very hard 10 years ago if you go back and say,
how many of us had anticipated that?
How many of us had predicted when that
change is going to happen?
And how many of us had actually taken action--
other than me because I was blowing up VCRs--
in anticipation of it?
And it's all about getting the timing right.
And I actually believe we are at an inflection point where
all these forces are beginning to come together, and these
are going to make a big difference over the next five
to 10 years.
All of you look young enough that this transition is going
to happen during our lifetimes.
And if you step back and think what's going on, there's 1.8
billion people around the world connected to the web.
And some of the cynics amongst us will say, well, that's
still one fifth of the world or some such number.
You still have roughly 3/4 of the world or 4/5 of
the world to cover.
Actually, if you look at it differently, it is over 95% of
the world's GDP.
Anybody who can afford anything is
connected to the web.
And that 95% is actually--
for the first time, you can actually target the entire GDP
of the world with one piece of innovation or one
thing that you do.
So all these people are connected.
There's an interesting thing about inflection points is
that things go from nice-to-have
to must-have instantly.
So I used to work in the mobile phone industry.
And about 10 years ago, if you were in a room with an
audience like this and you asked the question how many
people have a mobile phone?
And you'd get about 3/4 of the people raise their hands.
Now the question is how many of you have two mobile phones
on you right now?
And your mobile phone is something which is a
must-have. If you lose your wallet, you're more likely to
wait to get back to your office or your home and tell
your secretary, cancel my three cards,
and I need some cash.
If you lose your mobile phone, you feel like you've lost a
part of your life.
That's where we are.
Now take the same thing forward.
The next thing that's happening is-- the next
must-have has become broadband.
How many of us have broadband at home?
The answer is--
I won't ask the question.
I'm presuming the answer is every one of us.
And most likely, if the broadband at home is not
working, our kids are going to remind us at least 10 or 15
times a day, if not our spouses.
So it doesn't matter what kind of CIO you are and which
organization's entire IT infrastructure relies on you
to keep the trains running on time.
It is that phone call from home which I dread.
It's like, darling, I don't know how to get this broadband
thing to work.
I actually did that two weeks ago.
We moved to California.
I have Comcast, and I couldn't figure it out.
And my wife calls me and says, this broadband
thing is not working.
My life is at a standstill.
You remember this used to be like, I'll go check my email
at work when I'm there, I don't have
to bother with email?
I got my first email ID in 1996, when I used to work in
the financial services industry.
And I had one at work, but because we worked in the
financial services industry, our CIO decided it would be
too dangerous to allow us to send emails outside of work.
You guys are laughing.
You remember those days?
It was too dangerous to send emails outside of my work.
So I had to get an AOL connection at home,
and I got my email.
The only problem was most of my friends
had a similar problem.
They weren't allowed to send emails outside of work.
So I'd have to log in to my AOL account, use my
narrow-band connection, and then try and find a way of
asking my friends--
I used to have to tell them earlier-- hey, can you send me
an email in five minutes?
And I'll log in to check if my email's working.
Because we didn't have mobile phones then.
You remember those days?
What would happen now if email shut down?
People will stand outside, like people stand outside when
the lights go off.
And email's not working, they go down and smoke, and say,
shit, I can't work.
My email's down.
That's what we've come to.
That's where the transition has happened.
So there is ubiquity of broadband.
I walk around.
I carry my laptop everywhere.
I expect to have broadband connectivity where I am.
That ubiquity is not something that existed many years ago.
That ubiquity is not something we took for granted.
If you look at the progress that has happened in storage,
the progress that has happened in computing, it
has changed the world.
You remember those days when you had IBM mainframes and
those little terminals?
And all the intelligence was in the
cloud, ie, the IBM cloud.
Then we went to the whole big client server business.
I'm older than I look.
I've been through all this.
I've even programmed on punch cards.
And now we're back to where we were, where we're going back
to the cloud.
But we believe all the things are in place which are going
to drive this thing to happen.
And three weeks ago, I was trying to make a flight
between LaGuardia and Toronto.
And I had 25 minutes to spare from the point the lady said,
yes, you can make your flight, at the check-in counter and to
get to the gate.
So I was running.
And as you know today, every person who's nonthreatening
has to take off everything that they have on them-- my
shoes, my belt, my laptop, my shabby,
100-milliliter bottles of things.
So I did that.
And then this voice yelled for me in the back, sir, you
haven't shown me your boarding card.
And if you don't--
I almost felt like he was going to shoot me.
So I was like, I'm sorry.
I'm sorry.
So I take out my boarding card, turn around and give the
guy my boarding card.
And I turn around, and I grab my bags, and
I run to the gate.
And guess what happened?
I forgot my laptop at that place.
And usually, that used to send shivers down the spine of my
CIO in my last company.
And all things, all lights would flash, and things would
happen, and it would be very bad.
There'd be company information on there.
I got to Toronto an hour and a half later.
I had sent an email from my BlackBerry after I realized
when I got on the plane that I forgot my laptop.
My assistant was calling LaGuardia and
trying to find my laptop.
They didn't find it.
But when I landed in Toronto, all they did was the tech guy
gave me a new laptop, a loaner one, and my
life was back to normal.
I have so much information on my laptop, so much.
The only thing that they needed to do was to turn off
the AT&T SIM card and my data card in my laptop.
That was it.
Everything else is in the cloud.
Now, that's interesting.
And I think that's where we have to go.
As CIOs, having been in that business before, the cost of
maintaining that infrastructure which allows
you to have stuff on my own laptop all do all sorts of
things is going to cause us, if nothing else, if not
technology, that's going to cause us to move.
And what's interesting is if you go back and look at the
history of technology, all the innovation that happened in
technology actually happened for enterprises and for
businesses in the past. If you look at the reason, the
laptops, all the software innovation, et cetera.
This is the first time in this inflection point, actually,
we're behind.
The innovation's happening at the consumer.
The consumers are using Facebook.
The consumers are using Twitter.
The consumers are watching video on YouTube.
The consumers' search is actually better than
enterprise search in most companies right now.
And it's actually consumers who are now demanding
companies to start coming up the technology curve.
Adrian talked about his child.
My 12-year-old will go to a brand, interact with it, and
say, dad, these guys don't get technology.

And her interpretation of not getting technology is if a
site cannot offer her chat to chat with
somebody on customer service.
Her interpretation of technology is that those guys
don't have a Facebook update or they're not tweeting.
And that's what's going to happen.
Our kids are going to define how fast we're moving up the
technology curve.
Never before has this happened.
Enterprise has always led the innovation curve.
For the first time, consumers are leading the innovation
curve, and they're going to test us on how quickly we
adapt to this technology or not.
If you're not tweeting, if you're not on Facebook, if
you're not providing video help, if you're not providing
online chat, you are not as cool and up the technology
curve anymore.
And it's going to go from a nice-to-have to a must-have in
the next few years.
And how are we going to go up that infrastructure?
How are we going to go up that curve?
It depends on people like yourself.
I think the cloud provides tremendous opportunity.
I think it provides tremendous challenge.
On one hand, you have to balance innovation with
reliability.
And traditionally, having been in the CIO business,
reliability has been a challenge.
You try to balance innovation and reliability, and sort of
say, do I really want this thing to go down, and get that
phone call at midnight from my boss saying, this shit's not
working, get it to work?
You don't.
So we go towards the risk-averse way.
But this new cloud is going to require us to think, where do
I strike that balance?
Because we are going to go through a transition.
It is going to cause us to decide between regulation and
being borderless.
The cloud or the internet is designed without borders.
Regulation from the past was designed with borders.
So we're trying to take a new world and fit
it back to old world.
So anyway, I'm hoping that during the day, many of the
speakers will come talk about these things.
Hopefully, you guys will all collectively figure it out.
I'm personally delighted that all of you have decided to
join us this morning and during the day.
I'm looking forward to the conclusions of the big
discussions that are going to happen today during the course
of the day and the conclusions you will reach.
All I can say is on behalf of Google, my
colleagues in the audience--
our head of engineering is here, who you will hear from
later in the day.
Dave Girouard, who runs our global enterprise
business, is here.
Nelson Mattos was there from Google's EMEA product and
engineering world.
We're all here to listen, but we're all here also to tell
you one thing.
This is going to be big.
The enterprise space is going to be big.
Cloud is going to be big.
We're here.
We're committed to invest. We're going
to invest with you.
We want to take this journey together with you, and
hopefully, this room can end up being the pioneers who
actually make this cloud revolution happen.
With that, thank you very much.
Have a wonderful day.