WEBVTT - Can the Internet Handle the Imminent Streaming Explosion? 0:00:06.680 --> 0:00:10.399 Welcome to another episode of Strictly Business, the podcast in 0:00:10.440 --> 0:00:12.520 which we talk with some of the brightest minds working 0:00:12.520 --> 0:00:15.920 in the media business. Today. I'm Andrew Wallenstein with Variety. 0:00:16.720 --> 0:00:19.320 With all the talk about all the new streaming services 0:00:19.320 --> 0:00:21.800 coming to market in the coming months, here's a question 0:00:21.880 --> 0:00:25.040 you don't hear much. Is the Internet capable of hosting 0:00:25.040 --> 0:00:28.440 this explosion of video and games? My guest today I 0:00:28.440 --> 0:00:31.040 had some thoughts on the matter. He's Tom Layton, CEO 0:00:31.160 --> 0:00:34.320 of acam I, one of the leading company's media businesses 0:00:34.400 --> 0:00:36.760 turned to to make sure their content makes it to 0:00:36.840 --> 0:00:40.239 consumers quickly and safely. Thanks for coming in, Tom, It's 0:00:40.320 --> 0:00:42.400 nice to be here. Thank you, and I'm glad to 0:00:42.440 --> 0:00:44.839 have you here because I think here in Hollywood we 0:00:44.920 --> 0:00:48.360 don't talk enough about streaming distribution, and I think the 0:00:48.360 --> 0:00:51.760 problem stems apart from a lack of education. So I 0:00:51.800 --> 0:00:54.840 want to start really simple. I want you to just explain, 0:00:55.320 --> 0:00:58.320 as they say on Reddit, as if I'm five, what 0:00:58.600 --> 0:01:02.400 exactly does acam I do for its media business clients. 0:01:02.840 --> 0:01:05.800 We actually deliver a lot of that streaming and the 0:01:05.880 --> 0:01:08.720 videos that you watch online. You know, people don't think 0:01:08.720 --> 0:01:11.319 about it. They turn on the TV or or the 0:01:11.360 --> 0:01:13.560 device and click on what they want to watch and 0:01:13.600 --> 0:01:17.319 it shows up. But how it's actually getting there is 0:01:17.360 --> 0:01:21.479 a lot different with online streaming than it would be 0:01:21.520 --> 0:01:25.399 with a cable or satellite, and it does beg the 0:01:25.480 --> 0:01:29.360 question and concern and whether the Internet can handle the 0:01:29.480 --> 0:01:33.480 growth of all the video traffic that's coming online and 0:01:33.520 --> 0:01:37.680 also the cost. You know, one of the big differences 0:01:37.720 --> 0:01:42.080 with the online version of streaming and the satellite version 0:01:43.360 --> 0:01:45.679 is that with satellite, all you had to do was 0:01:45.680 --> 0:01:48.080 send the TV show or the stream up to the 0:01:48.120 --> 0:01:51.720 satellite and then people could tune in, and every extra 0:01:51.800 --> 0:01:56.000 person that tuned in wouldn't cost anything more because you 0:01:56.080 --> 0:01:58.680 paid a lot to get the satellite. But after that 0:01:58.800 --> 0:02:01.280 it was free for people to turn on TVs and 0:02:01.280 --> 0:02:03.559 you didn't have to worry about how many or any 0:02:03.560 --> 0:02:07.160 congestion with the satellite. But the Internet is very different. 0:02:07.200 --> 0:02:10.560 For everybody who's turning on there's a computer somewhere and 0:02:10.639 --> 0:02:15.040 the Internet that is sending you your stream just for you. 0:02:15.800 --> 0:02:18.639 And so if you've got you know, ten million people watching, 0:02:19.160 --> 0:02:23.440 well there's ten million streams being created and being sent 0:02:23.560 --> 0:02:26.760 over the Internet, and that is a lot of traffic, 0:02:27.360 --> 0:02:30.600 and every stream costs money to send on the Internet. 0:02:30.680 --> 0:02:33.000 And that's where Akamy comes in. Uh. You know, we 0:02:33.080 --> 0:02:37.359 have a a much better way of getting all those 0:02:37.440 --> 0:02:42.280 videos and streams and broadcasts to the end user. Uh, 0:02:42.360 --> 0:02:45.480 so that it's more cost effective, it can scale, and 0:02:45.480 --> 0:02:48.520 that it comes in good quality. And the vision that 0:02:48.560 --> 0:02:51.079 I have as you speak, I almost picture of the 0:02:51.120 --> 0:02:54.040 cloud or the pipes of the Internet is a mountain, 0:02:54.080 --> 0:02:56.960 and you guys are like the sherpa taking the media 0:02:57.080 --> 0:03:00.200 client in there. I mean, is it that? I know? 0:03:00.400 --> 0:03:03.080 I'm curious even about the dynamic with you guys and 0:03:03.160 --> 0:03:06.400 media companies. Do they need an ACAM? I could they 0:03:06.400 --> 0:03:09.400 just build their own network out? I mean, how essential 0:03:09.440 --> 0:03:13.360 are you to this? Pretty essential? Very very few companies 0:03:13.400 --> 0:03:16.760 try to build their own because it's really hard to do. 0:03:17.360 --> 0:03:19.839 You know. The concept behind what we do is that 0:03:20.320 --> 0:03:25.959 say there's a hundred people watching a show in your neighborhood. Uh, 0:03:26.040 --> 0:03:30.160 you know, without Akama, you'd be sending that signal that 0:03:30.320 --> 0:03:33.680 stream in a hundred times and it could start to 0:03:34.040 --> 0:03:36.320 fill up the pipes in your neighborhood, so that you 0:03:36.320 --> 0:03:39.560 couldn't get a good experience. With Akama, you know, we've 0:03:39.600 --> 0:03:44.000 placed our computer server already in your neighborhood, and we'll 0:03:44.080 --> 0:03:47.760 just send that signal in once and there's plenty of 0:03:47.880 --> 0:03:50.520 room to send it once, and from there we'll fan 0:03:50.600 --> 0:03:53.440 it out and get each person and reach you know, 0:03:53.640 --> 0:03:58.080 viewer in their homes or offices their copy locally. Uh, 0:03:58.200 --> 0:04:01.160 So that you're not trying to and ultimately at scale, 0:04:01.840 --> 0:04:05.240 trying to send millions and millions or you know, someday 0:04:05.320 --> 0:04:07.880 hundreds of millions of copies of the signal from some 0:04:08.240 --> 0:04:10.640 core spot on the Internet. The Internet just couldn't handle 0:04:10.640 --> 0:04:13.720 it already. The Internet is congested and the peering points. 0:04:14.720 --> 0:04:17.919 But with Akamai, it does enable it to scale, and 0:04:17.960 --> 0:04:21.240 it makes it less expensive because you're not sending the 0:04:21.279 --> 0:04:24.640 signal from far away using up pipes that are really 0:04:24.680 --> 0:04:28.560 expensive across the country. You're sending it locally and the 0:04:28.600 --> 0:04:32.080 pipes they're much shorter and less expensive. So here we 0:04:32.200 --> 0:04:35.560 are in the early days of the so called streaming wars, 0:04:35.680 --> 0:04:38.920 where the video market that may have been dominated by 0:04:38.920 --> 0:04:42.880 saying Netflix, Amazon, and you know, the established media companies. 0:04:43.200 --> 0:04:48.440 Now we're seeing these Netflix rivals come in, uh, Comcast, Time, Warner, 0:04:48.600 --> 0:04:52.080 I'm sorry, A T and T old Habits die hard, Apple, 0:04:52.640 --> 0:04:56.480 so many players coming in here. Does this even represent 0:04:56.760 --> 0:05:01.080 this kind of step change moment where the volume of 0:05:01.240 --> 0:05:03.440 video that you guys are going to have the sort 0:05:03.440 --> 0:05:07.680 of shepherd becomes much more difficult. Yeah, I think the 0:05:07.760 --> 0:05:11.200 volume levels are growing dramatically, and I think with the 0:05:11.240 --> 0:05:14.240 advent of these new O T T offers, which look 0:05:14.279 --> 0:05:17.440 pretty compelling in terms of the content, more and more 0:05:17.440 --> 0:05:21.240 watching will be done online and they'll be you'll watch 0:05:21.240 --> 0:05:24.680 it higher quality levels. Uh. And people don't think about it, 0:05:24.680 --> 0:05:27.400 but if you get the h D version, that takes 0:05:27.400 --> 0:05:30.440 a lot more traffic to produce that high quality image 0:05:30.520 --> 0:05:33.279 on your screen. Uh. And so that makes the traffic 0:05:33.360 --> 0:05:35.560 levels be even higher. And of course the more you 0:05:35.680 --> 0:05:39.040 watch online, the more traffic it creates. So I do 0:05:39.160 --> 0:05:43.640 think we're seeing a real spike up in traffic due 0:05:43.720 --> 0:05:47.560 to video O T T offers online. But is it 0:05:47.640 --> 0:05:49.760 about to get a lot worse? Is it about to 0:05:49.800 --> 0:05:53.039 get like, let's even say there's a scenario where all 0:05:53.080 --> 0:05:55.480 these streaming services take off like wildfire, and all of 0:05:55.520 --> 0:05:58.719 a sudden, everyone is guzzling these news services and maybe 0:05:58.760 --> 0:06:02.360 not quite at Netflix level, but getting there. Can acam 0:06:02.400 --> 0:06:06.400 I can the Internet handle all this? Yeah? Acam, I 0:06:06.440 --> 0:06:08.360 can handle it? On behalf of the Internet. I think 0:06:08.400 --> 0:06:11.400 the Internet on its own already couldn't do it. It's 0:06:11.440 --> 0:06:14.040 not architected to do it, and the cost would be 0:06:14.120 --> 0:06:17.159 much too great. But we do work with all the 0:06:17.240 --> 0:06:20.920 major OTT providers that are planning launches in a provision 0:06:20.960 --> 0:06:24.279 capacity to handle it. And I think you're right. If 0:06:24.320 --> 0:06:27.440 they're all popular, that's going to be a huge explosion 0:06:27.480 --> 0:06:31.280 in traffic and uh, you know, and we're prepared for that. 0:06:31.279 --> 0:06:35.560 That's what we do. Well, I'm assuming it's horrifically complicated, 0:06:35.880 --> 0:06:37.599 or is it not? Is it? Is it just as 0:06:37.600 --> 0:06:39.640 simple as look, we're's gonna have a lot of servers 0:06:39.680 --> 0:06:41.839 and call it a day. You know, you've got to 0:06:41.839 --> 0:06:44.120 have all the servers out there, for sure, because otherwise 0:06:44.160 --> 0:06:46.800 you're you're dead on arrival. Uh. And you've got to 0:06:46.800 --> 0:06:50.000 have them strategically located. You've got to be in all 0:06:50.040 --> 0:06:52.599 the neighborhoods, you know, And we locate our servers in 0:06:52.640 --> 0:06:56.120 four thousand places in a thousand cities. You can't just 0:06:56.240 --> 0:06:58.440 have one on the East coast or something that just 0:06:58.480 --> 0:07:02.640 doesn't doesn't work. But it's more than just that. It 0:07:02.839 --> 0:07:06.400 is very complicated because well, you in this country, you've 0:07:06.440 --> 0:07:09.000 got hundreds of millions of people. Globally, You've got billions 0:07:09.000 --> 0:07:11.920 of people and a lot of people are watching different 0:07:11.960 --> 0:07:14.800 things at different times, and they've all got to get 0:07:14.840 --> 0:07:19.560 a good experience. And so managing that efficiently UH does 0:07:19.720 --> 0:07:22.800 take a lot of effort, and it has to have 0:07:22.880 --> 0:07:25.680 real time response, so it's all automated. You can't have 0:07:25.760 --> 0:07:29.520 somebody deciding, Okay, somebody just wanted to watch this movie, 0:07:29.560 --> 0:07:31.400 what server are they're going to get assigned to to 0:07:31.760 --> 0:07:36.440 get the stream. That's a very complicated process that you know, 0:07:36.480 --> 0:07:40.080 we've been perfecting now for over twenty years, and UH 0:07:40.280 --> 0:07:42.760 handle pretty much all the world's major events, you know, 0:07:42.800 --> 0:07:45.640 at scale today Already, we should make clear this is 0:07:45.640 --> 0:07:48.640 a global service. We're not just talking about the US. 0:07:48.720 --> 0:07:50.600 You're active, I think, and it's about a hundred and 0:07:50.640 --> 0:07:55.120 thirty nine countries, yes, infrastructures in a hundred thirty nine countries, 0:07:55.120 --> 0:07:58.080 in a thousand cities, and you know, people here think 0:07:58.120 --> 0:08:01.640 about content in the States at you know, China is 0:08:01.680 --> 0:08:05.960 probably the world's largest internet market, India probably the largest. 0:08:06.000 --> 0:08:08.320 When it comes to watching sporting events, you know, we 0:08:08.360 --> 0:08:10.960 think about the Super Bowl being a big deal here, 0:08:11.640 --> 0:08:15.440 but you know, cricket they're far, far bigger. And you 0:08:15.480 --> 0:08:18.520 look at the crowds online. You know, this past summer 0:08:18.560 --> 0:08:22.600 for a cricket match we had twenty five million concurrent 0:08:22.720 --> 0:08:27.280 viewers on mobile devices. Talk about a challenge for delivering 0:08:27.400 --> 0:08:30.600 content and that just swamps out anything like the Super 0:08:30.640 --> 0:08:34.199 Bowl here in terms of being online. You know, obviously 0:08:34.240 --> 0:08:36.400 I'm talking to you on the eve of the streaming 0:08:36.400 --> 0:08:39.360 war explosion. But as I think you've already alluded to, 0:08:39.720 --> 0:08:42.839 you're already seeing increases. I think you guys just noted 0:08:42.840 --> 0:08:46.240 earlier this month that for the first time Aclamy transmitted 0:08:46.240 --> 0:08:48.480 over and I hope I get this data point right, 0:08:48.520 --> 0:08:52.000 A hundred terror bytes per second. Yeah, hundred trillion bits, 0:08:52.040 --> 0:08:54.960 hundred terror bits per second. We got these numbers so 0:08:55.080 --> 0:08:57.160 large you can't even think about it. Well, but here's 0:08:57.160 --> 0:09:00.120 an interesting comparison. It's supposedly the same as download in 0:09:00.320 --> 0:09:04.400 thirty three hundred two hour HD movies every second. Yeah, 0:09:04.440 --> 0:09:07.200 that kind of puts in perspective. That does. Or you 0:09:07.200 --> 0:09:11.920 can think about a day every day now we're delivering 0:09:12.120 --> 0:09:15.559 traffic that would be the same as two hundred million 0:09:15.640 --> 0:09:22.040 DVDs or eight hundred billion web pages including all the pictures. 0:09:22.720 --> 0:09:26.240 The numbers are staggering, and as you know, I think 0:09:26.240 --> 0:09:28.440 the exciting part is this is the tip of the iceberg, 0:09:28.920 --> 0:09:31.320 as big as it is now. We're in the very 0:09:31.360 --> 0:09:35.960 early days of everything just moving online. And also we're 0:09:36.120 --> 0:09:39.800 largely talking about on demand content, but more and more, 0:09:39.840 --> 0:09:42.080 and I'm sure you're seeing this with your clients both 0:09:42.200 --> 0:09:48.480 here and internationally. Live content, particularly sports. I assume there's 0:09:48.480 --> 0:09:51.840 an added demand there. And yet we're on the verge 0:09:51.960 --> 0:09:54.480 of probably an era not too far in the future 0:09:54.480 --> 0:09:57.160 where we could see some of the streaming companies take 0:09:57.240 --> 0:10:02.160 over the rights to major sports, be at NFL, nb A, whatnot. 0:10:02.679 --> 0:10:06.160 Uh Are we at a place where the demand or 0:10:06.200 --> 0:10:08.960 sorry not the demand, just the capacity for that is 0:10:09.000 --> 0:10:13.120 even possible, Yeah, you know, and doing it live is 0:10:13.160 --> 0:10:16.880 even harder. If it's v O D, you can get 0:10:16.880 --> 0:10:19.320 a copy of the show ahead of time and store 0:10:19.360 --> 0:10:22.240 it in the neighborhood and then it's ready when somebody 0:10:22.320 --> 0:10:24.160 wants to see it there. When it's live, you don't 0:10:24.200 --> 0:10:27.280 have it ahead of time, and increasingly you want to 0:10:27.320 --> 0:10:31.040 see it in real time, which means it just has 0:10:31.080 --> 0:10:33.640 to becoming streamed and you got to fan it out 0:10:33.679 --> 0:10:37.160 everywhere around the world. That's that's a lot harder to do, 0:10:37.920 --> 0:10:41.040 and also it drives a lot of traffic because people 0:10:41.120 --> 0:10:43.800 want to see it all at the same time, as 0:10:43.800 --> 0:10:47.120 opposed to spreading it out of course the across an evening. 0:10:47.400 --> 0:10:51.559 Say so, that puts a lot of pressure on the internet. Now, 0:10:52.040 --> 0:10:55.960 live traditionally has been done on TV through satellite, More 0:10:56.040 --> 0:10:58.520 and more it's it's online. And some of the world's 0:10:58.559 --> 0:11:02.240 major broadcasters now are envisioning the day when it's probably 0:11:02.280 --> 0:11:05.520 still ten years out, but they won't be using satellites anymore. 0:11:06.080 --> 0:11:09.840 It'll all be online. And that's a pretty interesting concept, 0:11:09.880 --> 0:11:12.400 you know. I think five years ago nobody thought that 0:11:12.440 --> 0:11:14.600 would ever happen. You go back ten years ago and 0:11:14.640 --> 0:11:17.240 nobody thought you'd ever watch a sporting event online. Why 0:11:17.280 --> 0:11:20.800 would you have TV? Well, we all do now, and 0:11:20.840 --> 0:11:23.120 we're to the point now where people are thinking it'll 0:11:23.200 --> 0:11:26.560 all be online at some point. I mean, we're having 0:11:26.559 --> 0:11:29.720 a very video centric conversation. But let's not forget there's 0:11:29.760 --> 0:11:34.360 more than just video on the internet. Healthcare, banking, all 0:11:34.400 --> 0:11:38.640 sorts of different kind of industries that create congestion of 0:11:38.760 --> 0:11:42.319 various kinds. So I guess I want to understand videos 0:11:42.400 --> 0:11:46.480 place in the overall sort of band with picture. Is 0:11:46.520 --> 0:11:49.480 it like, you know, the main band with hog or 0:11:49.520 --> 0:11:51.200 are we actually kind of missing the forest for the 0:11:51.240 --> 0:11:53.680 trees here and there's other things going on that videos 0:11:53.720 --> 0:11:56.840 is a little piker. Well, if you're talking about bandwidth 0:11:56.840 --> 0:12:00.520 our total traffic, there's two big hawks and they have 0:12:00.559 --> 0:12:05.760 almost all the traffic, and that would be video and software. Now, 0:12:05.880 --> 0:12:09.400 people don't think about software, but if you're playing Fortnite, 0:12:09.960 --> 0:12:13.080 you know, on a regular basis, you're downloading a gigantic 0:12:13.200 --> 0:12:17.000 chunk of software to play it. Or all those apps 0:12:17.320 --> 0:12:20.000 you have on your mobile device, they all have a 0:12:20.040 --> 0:12:23.240 pretty decent sized chunk of software and they're trying to 0:12:23.320 --> 0:12:25.720 update it all the time. And so I would say 0:12:25.760 --> 0:12:30.240 today the big consumers would be updating software on your 0:12:30.280 --> 0:12:34.040 devices and video. Now, in the long run, probably video 0:12:34.160 --> 0:12:38.240 takes over, but today they're they're equal in terms of 0:12:38.840 --> 0:12:43.239 you know, total traffic. You're banking transaction, buying something online? 0:12:43.920 --> 0:12:47.760 Tiny tiny tiny, Uh, Now there's a lot of back 0:12:47.760 --> 0:12:51.440 and forth. It's a very important transaction. Uh. Security is 0:12:51.520 --> 0:12:54.840 really important if you're buying something or you're doing banking online. 0:12:54.880 --> 0:12:58.480 But in terms of traffic volume tiny, And we'll get 0:12:58.520 --> 0:13:02.280 to security in a second. You know, you mentioned Fortnite, 0:13:02.280 --> 0:13:05.560 and I'm curious, does one I think we can call 0:13:05.600 --> 0:13:09.959 it a phenomenon like that have a discernible impact on 0:13:10.000 --> 0:13:12.960 the networks that you're handling. You can, can you see 0:13:13.040 --> 0:13:16.520 one thing that becomes so popular that you have to 0:13:16.520 --> 0:13:20.000 sort of focus on the impact of just this one property. 0:13:20.280 --> 0:13:23.960 Oh yeah, we worry a lot about having the scale 0:13:24.080 --> 0:13:28.040 ready for a gaming, big gaming release. Uh. You know, 0:13:28.160 --> 0:13:31.760 something like that can drive tens and tens of teara 0:13:31.840 --> 0:13:35.000 bits per second, you know, which is a lot. You know, 0:13:35.160 --> 0:13:40.319 it's thirty forty fifty trillion bits a second on the internet. Uh, 0:13:40.600 --> 0:13:44.079 so that's a that's a whopper, and that today those 0:13:44.400 --> 0:13:48.280 peak flash crowds for big gaming releases are bigger than 0:13:49.280 --> 0:13:54.800 the big sporting events or big video releases today, you know, 0:13:54.840 --> 0:13:58.200 maybe by about a factor of two. Now, overall traffic 0:13:58.240 --> 0:14:00.840 probably get more from video, and I think long run 0:14:01.559 --> 0:14:05.400 video takes over. But we worry a lot about a 0:14:05.440 --> 0:14:08.839 particular gaming release from the big guys. I'm actually surprised, 0:14:09.000 --> 0:14:12.800 given you know, the bulk that software represents, that in 0:14:12.800 --> 0:14:16.080 the longer term, that's not a bigger threat than video, 0:14:16.400 --> 0:14:19.640 particularly because you know we're here talking about the streaming wars, 0:14:19.680 --> 0:14:21.680 but we've got another war coming soon in terms of 0:14:21.760 --> 0:14:25.360 cloud gaming, lots of news services from big companies like 0:14:25.440 --> 0:14:29.680 Google Stadia. Is all that going to be okay? Because that, 0:14:29.800 --> 0:14:32.760 to me, what do I know, seems to be uh, 0:14:32.800 --> 0:14:36.200 maybe a bigger kettle of fish. That's a great question. 0:14:36.400 --> 0:14:38.800 You know, today with gaming, the traffic is just getting 0:14:38.800 --> 0:14:41.880 the software there, and you only do it once a month, say, 0:14:42.040 --> 0:14:46.160 or maybe there's updated releases on a weekly basis. But 0:14:46.240 --> 0:14:49.520 as you think about the future, if the video that 0:14:49.600 --> 0:14:53.160 produces the experience on your screen is coming from the 0:14:53.200 --> 0:14:56.320 cloud as opposed to being created on your device, which 0:14:56.360 --> 0:14:59.560 is how it's done you know today, that could create 0:14:59.600 --> 0:15:02.680 a lot of traffic. Now, the question is will that 0:15:02.760 --> 0:15:07.040 ever really be viable commercially? Uh? And people have been 0:15:07.080 --> 0:15:10.440 thinking about streaming the game to your device that you're 0:15:10.440 --> 0:15:12.560 actually playing it in what you see on your device 0:15:12.640 --> 0:15:15.960 comes from the cloud for over a decade. It's never 0:15:16.080 --> 0:15:19.720 really proved financially viable because now you've got to do 0:15:19.760 --> 0:15:22.120 the heavy duty compute in the cloud and you're streaming 0:15:22.120 --> 0:15:25.960 an experience just for that user. It's got to have 0:15:26.080 --> 0:15:29.440 really low latency, especially if it's a multiplayer game and 0:15:29.560 --> 0:15:33.480 has to be a rich experience, and that's that's expensive. Uh, 0:15:33.640 --> 0:15:37.440 So we'll see, you know how viable that is. Doesn't 0:15:37.440 --> 0:15:40.880 really take off, but the right commercial models there that 0:15:40.960 --> 0:15:43.160 hasn't been successful yet, so we'll see if if that 0:15:43.240 --> 0:15:47.040 will change. I just wonder listening to all this, the 0:15:47.120 --> 0:15:50.760 incredible demand that all these news services of various kinds 0:15:50.760 --> 0:15:55.160 you're gonna have on the cloud and so forth, is 0:15:55.200 --> 0:15:58.160 there like a worst case scenario that consumers need to 0:15:58.200 --> 0:16:01.000 keep in mind here? Could are you kept up nights 0:16:01.040 --> 0:16:03.520 by the notion that we could see something like a 0:16:03.680 --> 0:16:06.360 giant outage? Or at the end of the day, is 0:16:06.400 --> 0:16:11.520 the Internet maybe more nimble, more capable than we're giving 0:16:11.520 --> 0:16:13.880 it credit? Well, our job at ocam I is to 0:16:13.960 --> 0:16:16.880 make the Internet be okay here, to make it scale, 0:16:16.960 --> 0:16:20.400 to make it be fast, intelligent and secure, and that's 0:16:20.400 --> 0:16:23.480 what we do as a business. The Internet by itself 0:16:23.560 --> 0:16:27.040 is not nimble. Uh. It would already be in big 0:16:27.080 --> 0:16:30.560 trouble in terms of just the traffic that's there today, 0:16:30.600 --> 0:16:33.160 and it doesn't have any security. I'm bet it at all. 0:16:33.600 --> 0:16:36.840 You know. That's the kind of capabilities that ocamy adds 0:16:36.880 --> 0:16:40.960 in on behalf of our customers who are the major enterprises, 0:16:41.000 --> 0:16:44.080 the major banks, the major commerce companies, the major media 0:16:44.120 --> 0:16:47.480 and gaming companies. UH. And so it's up to companies 0:16:47.520 --> 0:16:51.240 to provide that capability to help make it work in 0:16:51.280 --> 0:16:54.080 the future. But why is it? It sounds like the 0:16:54.080 --> 0:16:57.800 Internet is almost like this, you know, infrastructure that is 0:16:57.840 --> 0:17:00.800 just slowly rotting, and it's good that acomy is there 0:17:00.800 --> 0:17:03.920 to to help sort of pave over the rough spots. 0:17:04.400 --> 0:17:07.439 And so I'm curious, why is that, I mean, is 0:17:07.520 --> 0:17:10.439 there Why aren't we seeing an Internet that, as it 0:17:10.480 --> 0:17:14.880 gets older, is better paved roads. The Internet is not rotting, 0:17:15.800 --> 0:17:19.840 but it's a it's a fixed infrastructure. It's growing. Companies, 0:17:19.880 --> 0:17:22.840 the telcos have to put a lot of money to 0:17:22.920 --> 0:17:25.919 add more pipe and they the last mile is getting 0:17:25.920 --> 0:17:30.000 better and better. UH. And consumers at home offices pay 0:17:30.119 --> 0:17:32.000 to have a better last mile link. A lot of 0:17:32.000 --> 0:17:34.399 homes now in many cities have gig a bit per 0:17:34.400 --> 0:17:37.040 second coming into the home. UH. You look at five 0:17:37.119 --> 0:17:40.879 g and that will give a much better experience across 0:17:40.920 --> 0:17:44.080 the last mile. So improvements are being made to it, 0:17:44.440 --> 0:17:48.320 but the fundamental protocols don't really change very much, and 0:17:48.359 --> 0:17:52.440 that's a very slow process. Security is not inherently embedded. 0:17:52.640 --> 0:17:55.920 Was never designed into the Internet. Uh, it was not 0:17:56.560 --> 0:18:01.560 built to scale to you know, deliver you know, hundreds 0:18:01.560 --> 0:18:05.600 of millions of concurrent viewers video high quality video from 0:18:05.600 --> 0:18:09.240 a central location. That whole it wasn't it's it can't 0:18:09.240 --> 0:18:12.080 do that, and so you do need companies to come 0:18:12.119 --> 0:18:15.440 in and take what's there, which is very valuable. It's 0:18:15.240 --> 0:18:19.160 it's good, but to make it work for these applications 0:18:19.160 --> 0:18:21.679 we're thinking about now, and to make it be secure, 0:18:21.720 --> 0:18:25.160 because it's it's not set up to be secure. And 0:18:25.440 --> 0:18:27.800 digging a little deeper into security, what does that mean 0:18:27.840 --> 0:18:31.560 from a media perspective, This is a business that gets 0:18:31.600 --> 0:18:34.919 impacted in all sorts of ways by security issues, whether 0:18:35.000 --> 0:18:38.240 it's piracy that seems to be a scourge that just 0:18:38.280 --> 0:18:42.520 doesn't go away to you know, notorious incidents like the 0:18:42.560 --> 0:18:47.199 Sony hack where uh, you know, massive amounts of data 0:18:47.760 --> 0:18:51.679 privacies are compromised. Um. Does ACA might get involved in 0:18:51.720 --> 0:18:54.159 all ends of of security when it comes to the 0:18:54.240 --> 0:18:57.879 media businesses, Yeah, pretty much. Um. You know, and you 0:18:57.960 --> 0:19:01.159 have denial of service attacks, you know, a website or 0:19:01.200 --> 0:19:04.119 a news site is brought down, you have data corruption. 0:19:04.359 --> 0:19:07.000 This is where you go into a news site, for example, 0:19:07.320 --> 0:19:11.600 and you change the content. Some pretty famous examples of that. 0:19:12.359 --> 0:19:15.840 Very dangerous when you start changing what the news is 0:19:16.440 --> 0:19:19.320 on a site that people would would trust in. You 0:19:19.440 --> 0:19:23.800 have account takeover. Uh. That's really bad for banks, you know, 0:19:23.920 --> 0:19:25.760 when you have your bank account taken over and a 0:19:25.880 --> 0:19:31.359 criminal organization drains the funds. Uh. You know, that was 0:19:31.440 --> 0:19:33.800 not thought to be something that media companies had to 0:19:33.840 --> 0:19:36.520 worry about in the past, but now in the last 0:19:36.640 --> 0:19:39.440 year they've been targeted so that your O T T 0:19:39.560 --> 0:19:43.320 account gets stolen, your gaming account where you've built up 0:19:43.359 --> 0:19:47.680 all these tools or weapons or prizes or whatever. Those 0:19:47.720 --> 0:19:51.920 have monetary value with real dollars now and there's a 0:19:51.960 --> 0:19:55.440 black market for that, and you know, somebody hacks your account, 0:19:55.520 --> 0:19:59.960 steals all your stuff and then sells it online. We're seeing, 0:20:00.160 --> 0:20:03.359 you know, massive attacks on people's accounts to take them over. 0:20:03.400 --> 0:20:06.760 With media companies. Now, you mentioned the Sony hack as 0:20:06.800 --> 0:20:10.200 an enterprise. Media companies have a lot of sensitive information 0:20:10.920 --> 0:20:13.399 and there's third parties that go in there and steal 0:20:13.440 --> 0:20:15.920 that and then can publish it or do other things 0:20:16.040 --> 0:20:19.120 with it. Those are all things that acam I you know, 0:20:19.600 --> 0:20:22.760 is working to stop and building you know, services to 0:20:22.880 --> 0:20:26.760 keep from happening. Uh, it's a it's an interesting challenge 0:20:26.760 --> 0:20:29.080 on a daily basis. And it's interesting to hear you 0:20:29.119 --> 0:20:31.040 say that this has become a bigger problem in the 0:20:31.040 --> 0:20:34.320 past here, because frankly, at least in my circles, nobody's 0:20:34.320 --> 0:20:37.080 talking about it here in Hollywood. And I'm curious, is 0:20:37.080 --> 0:20:39.960 it because these media businesses don't understand these issues, don't 0:20:39.960 --> 0:20:43.440 appreciate the gravity of these threats, because it sounds pretty 0:20:43.480 --> 0:20:46.240 damn serious. Oh, I can assure you that big company 0:20:46.359 --> 0:20:48.639 media c s, O S, c I O s and 0:20:48.680 --> 0:20:52.920 increasingly CEOs are worried about it. Uh, And certainly when 0:20:52.920 --> 0:20:55.600 you get into data breaches things like happen with Sony there, 0:20:55.840 --> 0:21:00.119 every media CEO is worried about that our media, your 0:21:00.200 --> 0:21:04.440 company's targeted more or less than any other industry or 0:21:04.560 --> 0:21:07.439 is just every industry under attack these I think it 0:21:07.520 --> 0:21:11.560 depends on the nature of the attack. For banks, Uh, 0:21:11.600 --> 0:21:16.560 they're most worried about the accounts being taken over, you know, 0:21:16.600 --> 0:21:20.439 And what happens there is that human beings today have 0:21:20.680 --> 0:21:24.040 dozens of accounts online and they'll tend to use the 0:21:24.080 --> 0:21:26.680 same log in and the same password because who can 0:21:26.720 --> 0:21:30.560 remember dozens of different passwords and which account there on 0:21:30.680 --> 0:21:33.159 that's you know, really hard. And then one of the 0:21:33.200 --> 0:21:37.800 companies gets hacked, take Yahoo, and your credentials are stolen. 0:21:38.320 --> 0:21:42.120 And then what happens is the criminal organization takes your 0:21:42.119 --> 0:21:45.560 credential and gives it to a bot army and they 0:21:45.600 --> 0:21:48.879 will try out your credential on every bank in the world, 0:21:48.960 --> 0:21:52.480 every commerce site, now every media site, and they look 0:21:52.560 --> 0:21:54.360 to see did you have an account there and did 0:21:54.400 --> 0:21:57.639 you use the same password, And invariably they gets what 0:21:57.720 --> 0:22:00.359 it's called a hit, which means they found a a 0:22:00.400 --> 0:22:03.879 website where your credentials work. Then they sell that to 0:22:04.000 --> 0:22:06.760 organize crime. A different entity comes in and drains your 0:22:06.800 --> 0:22:09.360 bank account or buy if it's a commerce account by 0:22:09.440 --> 0:22:12.440 something online you know, and charges it to you. And 0:22:12.600 --> 0:22:15.280 if it's a media account you know, uses that now 0:22:15.320 --> 0:22:19.880 to uh steal your tools, you've amassed, anything of monetary 0:22:20.160 --> 0:22:23.040 value or other people will now be watching the video 0:22:23.200 --> 0:22:27.480 or buying videos under your account. Uh. And this is 0:22:27.520 --> 0:22:30.800 a So it's a big problem that started with banks 0:22:30.800 --> 0:22:33.320 and has now moved everywhere. If you're a news site, 0:22:33.800 --> 0:22:36.800 your most vulnerable to a doss attack which brings you 0:22:36.880 --> 0:22:40.800 down or to data corruption, which means they change the headline, 0:22:41.119 --> 0:22:45.160 the terrorist organization puts their message as the news headline 0:22:45.200 --> 0:22:48.240 on your site, or they do something to embarrass somebody 0:22:48.280 --> 0:22:50.080 because they know lots of people are coming to the 0:22:50.119 --> 0:22:52.320 news site to see what the news is in the 0:22:52.359 --> 0:22:55.159 front page. Story will change. I'm wondering whether we're on 0:22:55.200 --> 0:22:57.560 the verge of seeing that kind of attack. But with 0:22:57.760 --> 0:23:01.120