Explore every episode of the podcast Breaking Analysis with Dave Vellante

00:00 - Navigating the AI Frontier: Insights into Breaking Analysis, Linguistic Conflicts, and Software Evolution
05:06 - From Web 2.0 to Enterprise 3.0
15:12 - Harmonized Source of Truth
22:41 - Microsoft's Agentic Ambitions
31:23 - Salesforce's Hyperscaler Journey
35:14 - The Road Ahead for Enterprise Platforms
38:52 - Industry Evolution: Overcoming Challenges and Future Outlook

In this special breaking analysis, we're pleased to introduce a new predictions episode featuring some of the top analysts at theCUBE Research. With us today are six of our industry analysts:

Bob Laliberte, who covers networking, Scott Hebner on the AI front, Savannah Peterson who will be talking about the impact of consumer tech, Jackie McGuire our newest cybersecurity analyst, Christophe Bertrand who will be discussing his predictions on cyber resiliency, and Paul Nashawaty who leads our App/Dev practice. Thank you all for being here. We really appreciate the collaboration and we are very excited for our inaugural team predictions.

In this special breaking analysis, we're pleased to host our fourth annual data predictions power panel with some of our collaborators in the CUBE Collective and members of the Data Gang. Joining theCUBE Research’s Dave Vellante are five of the top industry analysts focused on data platforms. Sanjeev Mohan of Sanjmo, Tony Baer of dbInsight, recent IDC graduate Carl Olofson, the always engaging Dave Menninger, who is with ISG, and Brad Schimmin with Omdia.

Follow theCUBE's live event coverage https://www.thecube.net/

Their discussion focuses on the rapid transformation of the technology and data landscape, driven by advancements in AI and accelerated computing. They also analyze market trends, highlighting the increasing dominance of machine learning and AI in enterprise spending priorities. 

For daily news for CIOs, check out our parent publication at https://siliconangle.com/

In addition, they explore emerging technologies such as inference-time data consumption, the evolution of AI-driven enterprise applications and the importance of metadata management. The conversation also turns to the growing security challenges associated with AI implementation and the need for better tools to manage and protect AI systems effectively.

Be sure to follow Dave's weekly Breaking Analysis podcast as well, for the deep data dives on enterprise computing trends, from spending patterns to Wall Street implications.
https://www.youtube.com/playlist?list=PLenh213llmcZMTRZKjnAwesSCiuLQT21E

#theCUBE #BreakingAnalysis #theCUBEResearch #CUBECollective #TechPredictions #DataGang

This special Breaking Analysis outlines a bold plan for spinning out Intel’s foundry business, relying on multi-stakeholder investments from tech giants, private equity, and government funding, coupled with strategic partnerships with industry leaders like TSMC or possibly Samsung. Because only TSMC (or Samsung) has the necessary expertise to design, build and operate modern foundries and get to profitability in a reasonable timeframe.

In this Breaking Analysis, Dave Vellante, chief analyst at theCUBE Research, reviews the changes Microsoft made to its financial reporting with a special focus on Azure impacts. He shares how it affects the cloud data and gives his thoughts on Microsoft’s AI reporting.

Follow theCUBE's live event coverage https://www.thecube.net/

Microsoft recently updated its Azure financial reporting, aligning with AWS to better reflect consumption-based revenue, which led to increased growth rates but lowered overall revenue due to the removal of slower-growth segments such as enterprise mobility and security and Power BI per-user pricing. 

For daily news for CIOs, check out our parent publication at https://siliconangle.com/

AI services now contribute significantly to Azure's growth, with up to 11% in the most recent quarter, driving investor confidence. However, this change also highlights that Azure’s market share had been overstated in prior reports. As Microsoft positions itself as a leader in AI, this shift is expected to push competitors to disclose their AI revenue, intensifying market competition.

Read the full article https://siliconangle.com/2024/10/16/microsofts-financial-disclosures-reveal-azures-market-position/

Be sure to follow Dave's weekly Breaking Analysis podcast as well, for the deep data dives on enterprise computing trends, from spending patterns to Wall Street implications.
https://www.youtube.com/playlist?list=PLenh213llmcZMTRZKjnAwesSCiuLQT21E

#theCUBE #BreakingAnalysis #theCUBEResearch #MicrosoftAzure #AI #EMS #AIRevenue

In this Breaking Analysis we look at the security landscape and unpack the multi-dimensional relationship between IBM and Palo Alto Networks to better understand how industry collaboration can improve cyber defenses and modernize security operations. With us are two senior executives from each firm, Mohamad Ali, SVP and Head of IBM Consulting and BJ Jenkins, the President of Palo Alto Networks.

In the latest episode of Breaking Analysis, theCUBE Research Chief Analysist Dave Vellante and Principal Analyst Rob Strechay break down Oracle’s growing momentum, highlighting the company’s strategic moves in cloud infrastructure, AI integration and its legacy database business. Oracle’s unique multicloud strategy, unveiled at Oracle Cloud World, takes center stage, with Larry Ellison’s bold vision of a password-free future and a focus on unmatched security. 

Follow theCUBE's live event coverage https://www.thecube.net/

The episode also dives into Oracle's strong financial performance, boasting a 44% operating margin and rapid cloud revenue growth, positioning it as a serious competitor to Amazon and Google. With automation and AI driving new levels of efficiency, Oracle’s focus on mission-critical applications sets it apart in the cloud market.

Read the full article https://siliconangle.com/2024/09/14/larrys-world-just-live/

For daily news for CIOs, check out our parent publication at https://siliconangle.com/

Be sure to follow Dave's weekly Breaking Analysis podcast as well, for the deep data dives on enterprise computing trends, from spending patterns to Wall Street implications.
https://www.youtube.com/playlist?list=PLenh213llmcZMTRZKjnAwesSCiuLQT21E

#theCUBE #BreakingAnalysis #Oracle #theCUBEResearch #AI #automation #CloudRevenueGrowth

In the latest Breaking Analysis, Dave Vellante, chief analyst at theCUBE Research, and George Gilbert, principal analyst at theCUBE Research, provided a detailed analysis of Snowflake's transformative journey and its future aspirations and gave some of their takeaways from Snowflake’s Data Could Summit. They discussed the company's shift from a scalable data warehouse to an AI-driven data cloud and application platform, emphasizing the strategic leadership of new CEO Sridhar Ramaswamy. 

Follow theCUBE's live event coverage https://www.thecube.net/

In this Breaking Analysis, theCUBE Research analyst George Gilbert and I share how we see the next data platform, what we sometimes call the 6th data platform evolving. And we’ll give you a preview of what we expect at next week’s Snowflake Summit, including the company’s response to metadata catalogs, the integration of Snowpark and new application developments.

Follow theCUBE's live event coverage https://www.thecube.net/

Snowflake is at a pivotal moment as the company faces new challenges in the evolving data platform landscape. Snowflake, known for its innovative data cloud vision and superior integrated data platform, now seeks to lead in AI and data applications. However, market forces are pressuring its core values of simplicity, efficiency and trusted data. 

For daily news for CIOs, check out our parent publication at https://siliconangle.com/

The shift towards open storage formats and data catalogs, alongside the AI revolution, tests Snowflake’s ability to extend its value proposition and compete in new markets. To succeed, Snowflake must flawlessly execute both organic and inorganic innovation while attracting new developer personas and maintaining profitability.

Read the full article https://siliconangle.com/2024/06/01/sneak-peek-snowflake-data-cloud-summit-2024-reframing-future-data-platforms/

Be sure to follow Dave's weekly Breaking Analysis podcast as well, for the deep data dives on enterprise computing trends, from spending patterns to Wall Street implications.
https://www.youtube.com/playlist?list=PLenh213llmcZMTRZKjnAwesSCiuLQT21E

#theCUBE #DataCloudSummit #BreakingAnalysis #Snowflake #6thDataPlatform #DataManagement #AI

It’s estimated that firms on average have between 60 and 75 security tools installed. Although leading vendors logically market the benefits of addressing tools sprawl and complexity through consolidation, the data suggests that more than half the firms are increasing the number of security vendors installed, with a very small percentage able to effect vendor consolidation.

Adding to the challenge is an environment where security operations pros have too many priorities to manage, including identity, vulnerability management, patching, endpoint, security and information event management, antivirus, zero trust, cloud security and more. Finally, firms are investing in artificial intelligence to relieve the crushing labor burden security analysts are facing but are being forced to balance innovation with the daily battle.

In this Breaking Analysis, we preview RSA Conference 2024 with our colleague Erik Bradley of Enterprise Technology Research. We’ll provide a detailed analysis of a recent survey conducted by ETR, perfectly timed ahead of RSA.

We attended both Nvidia Corp.’s GTC conference and Broadcom Inc.’s investor day this week where the artificial intelligence platform shift was on full display.

In our view, GTC24 was the most important event in the history of the technology industry, surpassing Steve Jobs’ iPod and iPhone launches. The event was not the largest but, in our opinion, it was the most significant in terms of its reach, vision, ecosystem impact and broad-based recognition that the AI era will permanently change the world.

Meanwhile, Broadcom’s first investor day underscored both the importance of the AI era and the highly differentiated strategies and paths that Nvidia and Broadcom are each taking. We believe Nvidia and Broadcom are currently the two best-positioned companies to capitalize on the AI wave and will each dominate their respective markets for the better part of a decade. But importantly, we see them each as enablers of a broader ecosystem that collectively will create more value than either of these firms will in and of themselves.

Heading into the second half of 2023, some investors felt that the semiconductor run up last summer was a harbinger for a broader tech rally. That thesis proved prescient and rewarded managers who took on risk at the time with leading firms in semiconductors, security and enterprise software. The question is, where do we go from here?

In this Breaking Analysis we welcome back Ivana Delevska, the founder and chief investment officer at Spear Invest, Nasdaq SPRX. Some have compared SPRX to a miniature version of Cathie Wood’s ARKK fund. However SPRX is more sector agnostic where Delevska focuses more broadly on growth themes such as her current emphasis on cybersecurity, semiconductors, and enterprise software.

It’s been an interesting month in the cybersecurity space. The sector has been somewhat less affected by budget tightening these past twenty-four months and at the same time has benefitted from AI tailwinds. But in the past several weeks we’ve seen some separation in key highflying cybersecurity names. Specifically, Palo Alto shocked the street last month with a $600M billings forecast surprise and sounded the alarm that there were cracks in its consolidation execution. This dragged down other consolidation players in sympathy, namely CrowdStrike and Zscaler. But our research shows that the dynamics facing these three companies are quite different. Of particular note, CrowdStrike’s earnings print highlights the company’s impressive momentum while recent negativity around Zscaler is a bit of a head scratcher for us, which we’ll try to explain.

In this Breaking Analysis we take a more narrow look at the information security space and dig deeper into the continued success of CrowdStrike. With recent survey data from ETR, we continue to advance our premise that platforms beat products and we identify several levers that are powering CrowdStrike’s path to $5B by FY 2026 and to $10B by the end of the decade.

Broadcom is perhaps the most unique company in the technology business. It doesn’t simply chase markets that are on steep growth curves and can deliver short term ROI. Rather it goes after established markets with durable franchises. Broadcom focuses its R&D on serving customers in these markets with major engineering investments to achieve a dominant position in each of its target sectors. And sometimes, the company lucks out with this strategy and catches a wave accidentally by design.

In this Breaking Analysis we extract key nuggets from our sit down at MWC this week with Charlie Kawwas, president of Broadcom’s Semiconductor Solutions Group, and we unpack the contrarian business technology model of Broadcom.

Many people question whether the current artificial intelligence boom will end in the same way that the dotcom bubble burst.

It’s understandable, as there are many similarities, especially with the exuberance seen this past week in the stock market following Nvidia Corp.’s earnings print. Although it’s easy to dismiss AI as a completely different era, there are some stark similarities that are worth remembering.

Like all waves, there are also major differences. Two of the most evident are the speed of innovation and the quality of today’s companies leading the AI charge. Like the internet, AI will be ubiquitous and available for virtually all organizations to leverage, not just traditional tech firms. As well, many patterns of the dotcom era are repeating and worth examining in more detail.

In this Breaking Analysis, we look back at the events leading up to the dotcom and AI booms and analyze the similarities and differences between these two transformative eras.

The past twenty-four months have seen cloud spending face dual headwinds of macroeconomics and the ability to dial down resources as needed – i.e. cloud optimization. Nonetheless, the big four hyperscalers clocked in between $170 – $190B in IaaS and PaaS revenue last year depending on how you factor the leaked court documents suggesting Azure is much smaller than previously believed. Regardless, hyperscaler growth continued to outpace almost all markets, accelerating between 18-19% in revenue terms last year, despite their enormous size.

As we progress into 2024, IT decision makers are cautiously optimistic about spending levels, especially for the second half. All hyperscalers report that cloud optimization is slowing although pockets of cloud cost cutting remain. While AI gets all the headlines, its contribution to revenue is still a small fraction of the overall spending pie. For example, we estimate that Microsoft’s AI services accounted for around $800M this past quarter. But the trajectory for AI services and the potential uplift looks promising for all four hyperscalers. We think collectively the generative AI uplift in cloud will surpass $10B this year.

In this Breaking Analysis we update you on our latest hyperscale cloud spending and marketshare data. We’ll analyze the ETR survey data on cloud optimization, assess the Gen AI updraft for the big 3 US cloud players and look at some of the industry trend data on cloud spend by platform.

As an American, you can’t help but root for Intel CEO Pat Gelsinger to succeed. His vision to bring semiconductor manufacturing leadership back to the United States is more than just a quaint nationalistic sentiment. Rather it’s a strategic imperative for the country, its military, global competitiveness and access to future technological innovations in the AI era. But his strategy is dependent upon the success of Intel both as a designer and a leading manufacturer of advanced chips.

As such this choice puts Intel in a multi-front war with highly capable leaders in several markets, including names like AMD, NVIDIA, AWS, Google, Microsoft, Apple, Tesla and other chip designers…even perhaps OpenAI. As well Intel competes with with established manufacturers like Taiwan Semiconductor and Samsung. Moreover, Intel’s business model has been disrupted by Arm which has created a volume standard powered by the iPhone and mobile technologies. Finally, China, Inc. looms as a long-term competitor further underscoring the imperative.

But the trillion dollar questions are: 1) What are the odds that Intel’s strategy succeeds; and 2) Are there more viable alternative strategies for both Intel and the United States?

In this Breaking Analysis we try to address these uncertainties and to do so we welcome Ben Bajarin, CEO and Principal Analyst at Creative Strategies.