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Welcome to the Cloud Native in 15 Minutes podcast. The goal of this podcast is simple,

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to explain complex but increasingly important and even strategic technologies

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and about the time it takes for a coffee break. We're all busy, but that's not an excuse to not

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understand, at least at a high level, some of the fundamental technologies that will be powering

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your company for the next decade. I'm Derek Harris from Pivotal, and our topic du jour is

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Apache Kafka. Joining me to explain is Nehar Narkedi, one of the creators of Apache Kafka

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at LinkedIn, and currently CTO of Confluent, a company she co-founded along with her fellow

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Kafka creators in order to commercialize and advance the technology. Among other things,

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Neha explains the evolution of Kafka, who's using it and why, and the rise of streaming

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data and event-driven architectures. And without further ado, here is Neha.

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Okay, Neha, let's start. In 30 seconds, can you explain what is Apache Kafka?

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Apache Kafka is an event streaming platform that essentially acts as a real-time digital

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nervous system for businesses. It enables organizations to connect all their applications,

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data sources in real time, as well as be able to react and engage to changes in what's happening

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across their business in real time. You know, the reason about 60% of Fortune 100 companies

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are using it is because they're moving from a world where data was primarily at rest,

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processed in batches, to a world where software and data are a significant part of their business,

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and that means treating data in motion versus at rest. And Kafka really helps with that foundation.

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You know, by building a new foundation for their data that allows you to capture really data as it

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appears in the real world, as streams of information. That is kind of, you know, the secret behind

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is the success. Okay. And a lot of people might know Kafka from its creation at LinkedIn. That's

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certainly how I became aware of Kafka. How has Kafka evolved as a technology since then?

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You know, since we created Kafka at LinkedIn, it has really evolved from a high throughput messaging

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queue, which was its initial claim to fame, to a full-fledged event streaming platform. And it has done

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that in three fundamental ways, right? The first is like providing a common foundation for a connector

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ecosystem so that you have a large number of connectors to all sorts of systems so you can

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connect those systems and move data through Kafka. The second way in which it has evolved is you have a

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stream processing layer. So once you have that data in Kafka, you want to process that data. And it has

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the ability to do that in two ways. One is through a streaming API for Java application developers. And

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the other is through a SQL engine called KSQL. And the third way in which it has evolved is as a core

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foundation for storing and processing event streams with transactional guarantees, right? And that's

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really a big way in its evolution since the LinkedIn days. The other way in which it has really evolved

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more recently as a technologies, as a serverless, elastically scalable, fully managed service in the

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form of Confluent Cloud. And that's, you know, LinkedIn, for example, had about more than 40 people.

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They still have building, managing, tuning Kafka, which is possible for maybe only 1% of companies in

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the world. We started Confluent to really build an event streaming platform for the other 99% by making

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Kafka easier to use, whether it's on-premises or in the public cloud or across hybrid environments.

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Okay. And if I'm an IT exec, how does Kafka tie into some of the bigger picture initiatives I might

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care about, right? So there are things like cloud native, microservices, even several years ago, and

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probably still today to some degree, big data. Like, you know, Kafka seems to touch all of those

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things. How do you play in those worlds?

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Yeah, that's a great question, Derek. In fact, you know, I somehow think that we're getting to

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experience a really interesting period in technology where there are several really significant

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paradigm shifts playing out all at the same time, right? And that's happening because companies are

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digitizing themselves. You mentioned a few, right? Be it adoption of the public cloud or breaking the

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monolith into microservices, the rise of mobile-first, real-time customer experiences, Internet of

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Things, or the move from batch to real-time. The most interesting thing about Kafka, and I think the

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reason for its steep rise in adoption is that it is the common thread that enables all of those

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paradigm shifts. You know, it is the new backbone for event-driven microservices. The MQs don't scale,

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and the databases weren't built for streaming data. Kafka is the bridge to the public cloud,

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right? A lot of folks use it to stream data across on-prem and cloud environments. It obviously enables

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real-time data transfer, and that helps while building IoT applications. But really, it is the new

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foundation for all data in a company, giving them a full picture of not just historical data, which they

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already had. But that, as well as visibility into events taking place in real-time and how that is

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changing the historical data. That's really, I think, the key reason why event streaming is being picked

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up by the Fortune 100 companies, and Kafka is becoming the foundation of their data.

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Okay. Can you elaborate a little bit on event streaming for listeners who might be unfamiliar? Like, how does an event

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streaming architecture vary, or how is it different than, you know, maybe the historical way that the

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companies were architecting their applications?

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Yeah, I think, you know, historically, there were two main data hubs for a company. You know, for transactional

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data, you had the databases, and for analytics, you had the data warehouse, right? So, you know, that really

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sufficed when technology was, you know, one of the key things that a company did. But now that every

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company sees themselves as a technology and a data company, you really have to take a new look at how

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data is treated in a company, right? So, it's no longer treated as, you know, just something that goes to rest and

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is queried when you need it. It actually needs to be treated as, you know, streams of information as they

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happen in the real world that can be studied and reacted to as that happens, right? So, if you look at

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databases and warehouses, they were actually not built for streams of information. They were built for

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data that goes to rest, and that's really the fundamental change in the event streaming architecture

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is the ability to store, process, move data as it arrives as streams of information. And that really

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requires a new foundation, you know, a continuous commit log and the ability to do stream processing.

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All right. And what types of specific applications are companies using Kafka to build? I think

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IoT, I always go to IoT, it seems like a natural application for anything involving any sort of

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real-time or streaming data, but I'm sure there are other common types of them that are, you know,

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way off from that. Yeah, I think, you know, Kafka and Confluent can be used in so many different

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ways and its versatility is partly why it became so popular, is it can be pretty much applied to any

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real-time data need. But then the thing is that every company is sort of becoming very data-oriented,

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so that means it's applicable in most of the things a company does. So, let me explain. From powering the

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new ride-sharing services to scaling connected car platforms to addressing credit card fraud, Kafka is

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really everywhere, right? And one of my favorite use cases is of Audi. You know, Audi is building a

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connected car initiative where every single Audi vehicle will have sensors that stream data. And the

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power of this data, you can imagine, is pretty incredible, right? For example, they want to build

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these new kinds of applications for all their drivers to, you know, if you have a bunch of vehicles that have

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the anti-lock braking system kick in at the same spot, they can work out that something's up, like a patch of

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black ice. So, if you're approaching that spot, they can tell you to slow down because of impending

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danger. They can also give predictive maintenance advice. So, you can identify that based on historical

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patterns, if a vehicle does X, then there might be an issue with Y and the vehicle needs to be checked.

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So, that's like a whole, you know, series of applications where these old-style companies are

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really changing their business models to use data and real-time data in particular to be more

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competitive. And that Kafka is really applicable in all of those cases. But there are all sorts of

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other examples, like if you can imagine Uber and Lyfts of the world, where these are digital native

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companies, right? And they're using real-time data to create new categories of businesses that simply

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didn't exist before. And that's the other kind of application of Kafka use cases. So, it's a

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versatility, continues to surprise me at times, and it's really exciting.

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All right. What's the difference between, or there are probably many, but what are the differences

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between open-source Kafka and what's available from Confluent?

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Yeah, you know, Kafka is transformational. In many ways, it is an open source and a really strong

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engine. But it really wasn't formed in times when cloud native was a primary need. It wasn't really

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all that easy to deploy at scale. So, our goal at Confluent is to provide more of a complete event

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streaming platform, right, that offers companies mission-critical reliability, but with the freedom of

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choice to deploy and stream across public clouds, private clouds, and hybrid environments. So,

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to simplify, you know, Confluent's product comes in two flavors. There's Confluent Platform,

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which is a software product. There's Confluent Cloud, which is a fully managed SaaS product.

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And the biggest difference between open-source Kafka and what's available from Confluent is really

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threefold. And the first is the ability to experience what cloud-native serverless Kafka means and looks

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like it feels via this fully managed Kafka offering, Confluent Cloud. The other is completing the Kafka

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experience with mission-critical security features, large ecosystem of connectors, so you can get data in and

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out of Kafka, having first-class clients in various languages, not just Java, a streaming SQL engine for doing

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stream processing, a GUI, and much more. And last but not the least, the main difference is, you know, the freedom of choice to use Kafka

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across hybrid and multi-cloud environments. In addition to, you know, this difference between open-source Kafka and Confluent,

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we actually continue to be the biggest contributor to open-source Kafka and have a deep relationship

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and investment in making Apache Kafka, the community, a strong and thriving place for developers

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who want to adopt event streaming in their respective companies.

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All right. Is there a point or is there, I guess, a point or a size or some criteria where you typically see

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Kafka users become Confluent customers? Like, what's that inflection point where?

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Yeah, you know, we engage with all kinds of companies at different points in their streaming adoption journey.

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But in the early days of Confluent, we primarily were able to recruit customers who needed help with scaling their mission-critical deployments, right?

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But as gradually as Confluent's product offerings became more valuable, we now help customers pretty much across all stages of their streaming adoption journey.

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And the value proposition really changes depending on essentially the streaming maturity of the business, right?

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For instance, insurance companies are beginning to take their first steps in the streaming direction.

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So when they become our customers, we help them with everything from education about what is event streaming to advising them on the right architecture

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to helping them adopt relevant parts of Confluent platform to write their first Kafka application.

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But on the other hand, we also have these digital native companies, right?

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Like, for example, Lyft adopt Confluent Cloud to steeply scale their use of Kafka without having to deal with self-managing it.

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So what they don't need is education on the value of streaming data.

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They already have that.

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They become Confluent customers to get access to the only cloud-native, serverless, managed Kafka offering in the market.

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So that said, I think as more and more companies turn into software and data companies,

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that's essentially what I hear customers describe themselves as we look forward to helping them across their entire event streaming journey

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and making this big paradigm shift called event streaming.

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Okay.

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And then finally, Neha, what are the other technologies that you see Kafka being deployed next to or alongside

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or as part of these event streaming architectures?

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Is it Kubernetes?

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Is it various other data tools?

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I'm just curious what this event streaming architecture looks like.

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Yeah, I think there are several tools.

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So there's obviously Kubernetes for entirely different reasons.

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There are the new age cloud-native databases.

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And there are machine learning tools, right?

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So that encompasses a pretty broad spectrum.

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But Kubernetes in particular is really interesting.

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And I think the reason for its rise is also interesting.

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Companies across the board, they're trying to adopt these hybrid environments,

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you know, just sort of hedging their bets, getting ready for faster iteration and more productivity on their development teams.

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And the rise of Kubernetes has been, I think, faster than most other infrastructure technologies.

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You know, it takes about 10 years for new things, you know, deep down in the stack to take off.

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But Kubernetes in the last three years has really surprised me.

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It really has become the new sort of foundation for, you know, computing environments, right?

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Sort of giving people the ability to not get locked in to any particular environment.

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And we see it being used across our customers more and more.

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And that's one of the reasons why we released Confluent Operator earlier this year and are getting ready to, you know, further deploy it,

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is to make it easy for stateful systems like Kafka to be deployed properly on Kubernetes, which it was not originally designed for.

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All right.

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Great.

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Listen, that was very informative.

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Thank you so much, Neha.

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Thanks for having me, Derek.

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There you have it.

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I hope you learned something.

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For more information about Kafka, you can, of course, check out the project home at kafka.apache.org.

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Or you can visit the Confluent site at confluent.io.

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For more information about our broad suite of products and services for building and managing cloud-native applications,

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as well as for transforming how you build software, check out pivotal.io.

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And if you like this podcast and want to keep up with all things digital transformation, cloud, you name it,

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including a curated list of the week's top stories and case studies without a lot of filler or vendor spin,

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check us out at pivotal.io slash intersect.
