00:00mark of course mark needs very little
00:01introduction right mark founder CEO of
00:03salesforce.com founded 1999 currently a
00:07company just pass or will do this year
00:09on the order of five billion dollars in
00:10revenue thirty six billion dollar market
00:12cap and you know it's really been
00:14redefining a large part of enterprise
00:17software enterprise computing for the
00:20it is Salesforce is 15th anniversary so
00:24you know they're marking a very
00:26important milestone they just had a
00:27absolutely enormous event in San
00:28Francisco dream for us we're just
00:29talking about was just absolutely
00:31staggering level of people following it
00:34most of what I want to do today is focus
00:36in the future so those are maybe those
00:38gonna be the majority of the questions
00:39and I know very relevant to this
00:40audience but I want to start by kind of
00:42taking a trip back in time to 1999 which
00:47of course was not only you know full in
00:49the height of the dot-com bubble and you
00:51know a lot of companies had real issues
00:53you know 2000 2001 2002 that followed
00:55but also at least what I recall and tell
00:58me if you agree with this what I recall
00:59the time was Salesforce was a
01:00particularly heretical idea and I
01:02remember the original you know no
01:04software icon that you guys had and it
01:07was a it was a very in a sense there was
01:09a very simple idea at the core which was
01:10if you can go on Amazon and shop by
01:11clicking then you should be able to go
01:13on a sales force automation system by
01:15clicking on in a web browser and this
01:17ought to be a lot easier than all this
01:18incredibly elaborate you know installed
01:21software and integration and all the
01:22complete nightmare of things that
01:24companies used to deal with you know and
01:25potentially fraction of the cost and far
01:27greater convenience and and so forth and
01:29so on today this is a very widely
01:32accepted concept and we'll talk about
01:34how widely accepted in a bit but in 1999
01:37like what was it like to come out and
01:39say what you said like what kind of
01:41reaction do you feel like you got there
01:43what did it feel like to go through that
01:44and kind of what happened in the first
01:46three four five six years for the idea
01:48to really get direction well I think
01:50that you know we had been through a
01:54really exciting time in the 90s which
01:56you were a huge part of where you know
02:00we were supposedly going to be going on
02:02the information superhighway yes which
02:05started out as cable television started
02:07as cable television and the
02:09grudgingly people said the internet
02:10might actually work they were wondering
02:14but actually it was not really even part
02:16of the conversation which was
02:17interesting is that you know you had in
02:20the early 90s was really people were
02:22kind of getting going with this concept
02:24of interactivity and you know the big
02:27thing at the time was kind of the
02:29starting of the time-warner trials in
02:32florida okay and and companies like
02:38general magic and these kind of people
02:41were kind of building these kind of
02:43proprietary devices and proprietary from
02:46ends to proprietary backends and that
02:50was really gonna be the big consumer
02:52revolution a lot of the things that were
02:54talked about then kind of have come to
02:56pass now and but in a radically
02:58different form and I think that's kind
03:00of the nature of Technology is that you
03:03have to kind of be watching for kind of
03:04where things are gonna go but when we
03:08were certainly in the early nineties
03:09working on these things I was at Oracle
03:11working on them everybody else was you
03:14were at the University you were writing
03:16a code for mosaic right and these kind
03:19of things so I think when that happened
03:22I think when we got into 1994 93 and
03:25then we saw that emerge then it was
03:29clear crystal clear by 95 that
03:33interactive TV was dead and that the
03:36future was going to be the browser and
03:40the web and that's where we are today
03:43and that then when we started here in
03:47the mid nineties about networked
03:50computers we have that now yes we do so
03:54it's all come to pass just in a
03:56completely different form factor than we
03:58expected yeah so 99 when did you have
04:00guys lot what do you guys what did you
04:01get the first customer signed up for
04:03salesforce.com we had the first cover
04:05customer signed up within three or three
04:08months of starting the service or I mean
04:10we started the company in March of 99
04:13and by August of 99 we were live
04:16going right so it was so at least what I
04:18remember like I said it was so radical
04:19like what were the things that caused
04:21the first customers to adopt how did you
04:22get them over the hump the first it was
04:24just a it was just a complete waterfall
04:28and you know when I look back now at the
04:33amount of traction that we had of course
04:34I had never done a start-up quite like
04:36that before all of the kind of you know
04:43early indicators that it was gonna be a
04:46success from the start were there we had
04:50a I was still at Oracle I was at Oracle
04:54until July of 99 so even though I
04:57started the company I was working on the
05:00company in the morning I rented the
05:02apartment next to my home on Telegraph
05:05Hill I would still have to do my day job
05:07you know and then I'd come back and work
05:09on the company and then in June of 99 I
05:14walked into you know Larry's office is
05:16my boss and I'm saying well here's where
05:17we are and here's what's going on and
05:19whatever and he's like I really think he
05:22should just take six months off and just
05:23focus on this full-time because this is
05:25going you know I think better than you
05:28know anybody could have expected and I
05:32had a really good conversation with Don
05:35Clark about the at The Wall Street
05:37Journal and he wrote a article
05:40front-page story called software goes
05:43online and at the end of it he featured
05:46salesforce.com the next day we didn't
05:51even have really a website up or
05:53anything I that night I was what the guy
05:55is just saying let's just get a website
05:57up so we can get leads you know we had
05:59more leads than we could ok call back
06:01and we at that point we're only six
06:03employees yeah so we're just going yeah
06:06and the funny part was in terms of you
06:08know venture capital in the nature of
06:10venture capital no venture capitalists
06:13would give us money we raised all the
06:15money privately I was thrown out of you
06:18know Sequoia three times us venture
06:20capital 3 time do they sign her Perkins
06:23this is never gonna work this doesn't
06:25make sense what you're saying will never
06:27happen this cannot come to pass
06:29this was in the height of 99 so they
06:30were funding I believe at that boat
06:32every 199 it was 99 you you made with
06:35the only founder who actually had that
06:37experience in 1999 they all remember it
06:39crystal clear so I'm sure they do they
06:40all you know 99 2000 2001 and that's why
06:45when entrepreneurs come to me and
06:47they'll be like yeah and I'll be like
06:49why even going to venture capitalist you
06:51should like just raise money privately
06:53unless you know someone like yourself
06:55like actually adds value because you
06:58know you're an entrepreneur but and this
07:03is just your entrepreneurial pursuit but
07:06most you know most of them aren't gonna
07:08give you any value anyway so was kind of
07:11an amazing experience at the beginning
07:13so by 2000 it was just a runaway train
07:16okay so then 2001 you know the Craig
07:18compucom crash stock market cracks 2001
07:20stock market cracks further obviously
07:229/11 2002 2003 2004 economy gets
07:25terrible many companies founded around
07:28the same time as you were in dire
07:29straits even very high quality companies
07:31we're having real trouble did you guys
07:34go through a difficult period through
07:35there or did we did we went through a
07:37really difficult period because we lost
07:39a lot of customers who write hit the
07:41skids so in 2001 we suffered you know we
07:50had not put the business practices in
07:52place that we have now that kind of give
07:56us a buffer on nutrition we just were
07:58suffering massive attrition right
08:00companies were just cutting right you
08:02know and when companies were cutting
08:04they were just cutting our product they
08:06were cutting their users and it was just
08:09really you know it's the big it was
08:11really the beginning of understanding
08:13what the subscription model was that
08:16there was gonna be a good part of the
08:18subscription model there was gonna be a
08:20bad part of the subscription model and
08:21that we would have to have business
08:23practices that would be able to handle
08:25both aspects and the bad part was true
08:27the bad part is no that's not the bad
08:32part the bad part is that if you are not
08:36thinking about how you're signing up the
08:37customer right so when you're signing
08:39the customer if you're designing the
08:41it doesn't work you've gotta sign them
08:45for one or two or three years at a time
08:47and also that was an incredible part of
08:50the the cash flow too because companies
08:52would you know sign up for a couple
08:55years at a time and then that was that
08:58was really a turning point we realized
09:00that that would be a key differential in
09:02making that happen now if you think
09:06customers were already used to doing
09:08that with the larger software companies
09:11so it wasn't a a big shift and when we
09:15made that shift then that next month we
09:17were cashflow positive and we've never
09:19looked back on that that's great okay
09:22let's talk about the future and I would
09:24love maybe if you could give us kind of
09:25your quick kind of state of the world
09:26but what's the state of the world with
09:28software's and service and with cloud
09:29today like what's what's working what's
09:31not working what remains to be done well
09:33I mean you there's never been a more
09:36exciting time in the history of
09:37technology and the number of things that
09:40are all happening at once is kind of
09:43it's mind-bending and even if you're a
09:45really smart person and you are really
09:48great at technology and really aware of
09:50everything that's going on no matter
09:52what it's overwhelming we've never had
09:55this many things all happening at once
09:57even in the nineties even in the late
09:59nineties Perry hook and Curson there's
10:01no comparison you've never had this many
10:03kind of converging trends and because of
10:06that that's why you have a rate of
10:08innovation in the world that is just
10:12phenomenal and why we have so many
10:15technologies that are coming out of the
10:18box really for the first time in such an
10:19exciting way and I mean we could go
10:24through them one by one by one it could
10:26be the cloud it could be social networks
10:29it could be mobility it can be connected
10:31products it could be data science and
10:34its relationship with artificial
10:37deep learning I mean it just goes it's a
10:40way of robotics and all these things are
10:45converging very rapidly and that's
10:48what's exciting that's the huge
10:50opportunity for companies in our
10:55thousands of new companies perform you
10:57know within a mile or two of this
10:59building yeah so what what are the big
11:01things you think especially in software
11:02as-a-service what are the big things
11:03that will happen in the next three years
11:04that haven't happened yet like what has
11:06yet to tip mm-hmm kinds of customers
11:08kinds of applications kinds of data
11:10mm-hmm well I think the number one thing
11:12that is happening which is really I
11:15think you have to kind of look back to
11:16your comments last year where you said
11:19there's gonna be five billion of these
11:20things and that is huge these devices
11:29are more exciting more powerful easier
11:33to use lower cost than ever before yet
11:36the amount of software really that runs
11:38on these things for enterprise is
11:42relatively constrained and we have been
11:46working really hard now for about three
11:48years on a project called Salesforce one
11:51which is to build a platform that would
11:54take all of our customers existing apps
11:57metadata code and give them the ability
11:59to just instantly run right on this
12:02device that's been a massive effort
12:06because I really believe that if you're
12:09not on here if this isn't your dominant
12:13platform you're really in trouble now
12:15you of course know that from your
12:17consumer side with Facebook but in the
12:20enterprise side if you look at
12:22nutritional Enterprise companies they
12:24don't have that religion that Mark
12:26Zuckerberg has okay Mark Zuckerberg has
12:29the mobile religion okay you don't have
12:32that with the enterprise CEOs and I've
12:36really felt that fever for 36 months and
12:39so I've really just had our people just
12:42you know on it and today you know if I'm
12:45on my device I can get all of our
12:48everything we do is here and when we
12:51list a new analytics platform you know
12:55talking talked about that for you know a
12:58year or more it's right it's all mobile
13:04first so that when I'm right here like I
13:09zillions of you know zillions of amounts
13:17of data with a compelling user interface
13:19that's all mobile first with a
13:22multi-tenant back in and it's all
13:24connected to a social platform and it's
13:27the only one that's really out there in
13:29terms of being that way for the
13:31enterprise and that's because if you
13:34look at in analytics is a really good
13:37category to look at a lot of these
13:40trends have happened let's say a lot of
13:42these platforms emerge trends have
13:43happened last five years there haven't
13:46been any new analytics platforms really
13:47written from the ground up in the last
13:50five years so when we went to write that
13:52platform what we end up with is just
13:54something so dramatically different than
13:56any other piece of software that I've
13:58ever seen and then it just amplifies to
14:00me everything has to be rewritten and
14:03we're still at the beginning of that
14:04it's not just about the cloud it's about
14:07this so it's not just a web browser on a
14:09mobile device it's a whole it's not just
14:11the way it can't be right if it's a web
14:12browser in a mobile device users are not
14:15gonna use your product they expect it to
14:17be as good as the best of the consumer
14:19apps thing and are you finding the
14:21customers are ready to go like there has
14:23been as you said there's been the kind
14:24of this big gap a lot of CIOs have been
14:26you know fairly resistant to the idea of
14:27opening up access mobile devices people
14:29bring them from home they get by well
14:32obviously I haven't found that to be
14:33true that our business results okay but
14:36um I I mean I think Dreamforce is a good
14:39example you came to Dreamforce two weeks
14:40ago Dreamforce is now you know it's not
14:43just our user conference the largest
14:45conference in TAC it was more than 150
14:49thousand people you know across the
14:52bridge plus more than five million
14:55watched it online fourteen hundred and
14:57fifty sessions that took place over four
14:59days world-class keynote speakers like
15:01yourself ever coming in to speak fully
15:05conscious no food poisoning why are they
15:07all coming yes what are they talking
15:10why would this is crazy these numbers
15:13and it's because no other conference it
15:17gives them a vehicle to do that
15:19so if these are the people who are
15:22making the change happen in the whole
15:25industry and you know this is reality
15:30this is not the future this is the
15:32present moment you know here we are this
15:34is 2014 this is not 1999 and we are in
15:40the mobile reality we are in the social
15:42reality as you know you're on the board
15:43of a company we are in the cloud reality
15:46it's not just thirty five billion a
15:49market cap it is lots of really exciting
15:51companies rewrite change so let's talk
15:53about the most exciting topic in the
15:54world right now which is security and at
15:56least I'll take my take you can tell me
15:58if you agree with it so my take is that
15:59for a long time cloud and SAS kind of
16:01fought an uphill battle on security
16:03under the theory that internal data
16:04centers were secure and that the cloud
16:05kind of a definitional we might not be
16:07because you had your data outside your
16:09four walls starting three or four years
16:12ago it seemed like that argument really
16:13started a pivot where a lot of companies
16:15figured out that they really were
16:16getting comprehensively penetrated in
16:18their own data centers and that in fact
16:20maybe it was gonna be more secure to
16:22outsource to somebody like Salesforce
16:23because Salesforce might have just a
16:26larger capability and you know you know
16:29sort of army of people and advanced
16:31technology and so forth to be able to
16:32deal with all the security threats and
16:33so it it felt at least we heard from a
16:35lot of customers like okay like I get it
16:36now and probably to be more secure I
16:38want to go to the cloud then the Snowden
16:40affair the Snowden thing yet and all of
16:43a sudden sort of you know for a lot of
16:45people kind of stripped bare this kind
16:46of question of like ok that it is in the
16:48cloud but like what does that mean
16:49that's access to it how many governments
16:51and then of course the cyber warfare
16:53kind of you know topic keeps us waiting
16:54even beyond that so we're you agree with
16:57my take and that presents new challenges
16:58there's no travel to Nationals there's a
17:00few different things all coming together
17:01in that ok which you have to kind of
17:04tease out so at a high level at a high
17:13level on cyber security cyber security
17:16there is no endgame so you know there's
17:20no finish line when it comes to cyber
17:21security and we are on a continuum and
17:24that continuum started with the creation
17:28of things like DNS and tcp/ip
17:31and network access points and the
17:34internet itself was never created to be
17:37a secure working environment you
17:38understand the details because this is
17:40you're part of that group and of course
17:43we have this is the this is our mission
17:46critical infrastructure for our whole
17:48economy today so there's no finish line
17:51on that which means that we all have to
17:53double down and triple down and just
17:54keep keep working on that I think at the
17:57second level we also need to be focused
17:59on a vision of what could be internet to
18:01Oh a more secure Internet with maybe a
18:04different set of protocols and a
18:05different configuration and I've seen
18:07some very exciting work in companies you
18:13know around the valley on that concept
18:15because I think that we have the
18:17opportunity to create a more secure
18:20internet but there is no and and game on
18:24on security that is true for you that is
18:28true for me that is true for everyone in
18:30the audience that is true for every CIO
18:31it doesn't matter who you are you're in
18:33that game fewer if you're working with
18:35computers you're in that gambit number
18:39two with I don't think that it's Snowden
18:44and what happened with that whole set of
18:48things is an accelerator or D
18:53accelerator on that I think that the
18:56next step though when I travel around
18:58the world is that countries all want
19:03their own cloud because it's actually
19:06they realize the cloud is really
19:07important so of course the United States
19:12more or less has its own cloud okay and
19:15when we go to other countries though for
19:17a country like we look at a country like
19:20Germany which is has a super-high level
19:25of sensitivity around these issues they
19:27want the German cloud okay they don't
19:29just want the German cloud they want
19:32computers and network switches and
19:34technology built in German right they
19:38want when they unpack the box to still
19:42the sweet mustard and the
19:45knockwurst that it was May you know was
19:48made with all right and they should have
19:50it they should have their own industry
19:53they should have their own cloud they
19:55should have their own telecom the CEO of
19:58t-mobile was here you know fourth
19:59Deutsche Telekom C of Deutsche Telekom
20:02came you know was here for twitch for a
20:04dream force they should have their own
20:07cloud and Cameron should have the UK
20:11cloud and Abhi's should have the Japan
20:13cloud and every country if they want
20:15their own cloud they should have it if
20:16they want their own tech industry they
20:19should have it it's you know we you
20:21could make that argument why that's
20:22important for their future of their
20:23economy and I but all powered by
20:27Salesforce what's that I'll put all
20:29those clouds powered by Salesforce
20:30well we will certainly have those clouds
20:33we're not gonna be the only ones that's
20:35the cool thing about this new world is
20:38that everybody you know interoperates so
20:39do you think there'll be more domestic
20:40competition for companies like yours in
20:42these countries as a consequence of this
20:44is this a big enough wedge oh I think
20:46that that's empirical I think if you
20:48look around the world and go through
20:49these different countries you see that I
20:51mean and that's why we set up investment
20:54arms locally you know like in Japan
20:56where we've made a lot of really good
20:57investments where we have our people
21:00because there are really great companies
21:02in Japan at evaluations that are much
21:05more attractive than what we're paid for
21:07here so and that's more about the
21:11Japanese market and having a strong
21:13domestic solution in Japan no countries
21:16like Germany and Japan are you know in a
21:17lot of ways you know maybe more similar
21:19to the US than different you get two
21:20countries potentially Russia or Brazil
21:22as two examples where arguably there's
21:24another thing going on which is they
21:25would like they would like more and more
21:27to have a more Chinese kind of issue
21:29approach to the Internet where all
21:30they'd like to have so the consumer
21:32companies now that are setting up
21:33writers are finding these countries want
21:35number one they want the ability to do
21:36surveillance on their own citizens and
21:38then number two they want to make sure
21:40that they are truly firewalled from you
21:42know from US intelligence agencies there
21:44and and then they also want ability to
21:47if it lets a lot of envy about the
21:48Chinese the Great Firewall of China so
21:50the consumer companies are all really
21:52trying to figure this out in coping with
21:53this and there's a very difficult
21:54questions do you guys face that no okay
21:57because you have to remember a truth
21:58which is that 90% of all enterprise
22:03software is only bought in seven
22:05countries okay yeah so what would that
22:08be in ten years probably about the same
22:11really so this is one of the big
22:14mistakes a lot of entrepreneurs make as
22:17they and I know because I end up buying
22:19their companies but for a lot of money
22:22for a lot of money you know and it you
22:26end up getting the company and then
22:28you're looking like you know say like I
22:29like why did you do this I mean you know
22:32and me go into too many countries go
22:37into too many countries or set up some
22:40to you know buy something in another
22:42country where it's like for software
22:46entrepreneurs they need to recognize
22:49that there are for enterprise certainly
22:52Enterprise entrepreneurs there are mega
22:55markets that need to be addressed and
22:57before they go waste their time because
22:59or maybe they have some exotic trip and
23:01then as soon as they make themselves as
23:03soon as they get excited all their
23:06employees start to waste their time in
23:08some location that is not gonna buy any
23:11software from them interesting and so we
23:16end up having to undo a lot of things
23:19yeah okay so we're already running short
23:20on time but I want to go a little bit
23:21long because I want to get to the other
23:22big topic which is philanthropy and
23:24corporate responsibility so I think
23:27everybody the audience knows mark is an
23:29individual philanthropist and with his
23:30wife a tremendous local philanthropist
23:32including those are you well yeah but
23:34we're talking about you today so I'm
23:36just gonna keep shifting it back over so
23:39Markin is wife originally donated I
23:41think a hundred million dollars to
23:41create the UCSF Benioff Children's
23:43Hospital that I think just opened which
23:46is a brand new state-of-the-art exactly
23:48brand new state-of-the-art Children's
23:49Hospital in San Francisco light Sun but
23:51we open February 1 okay good yeah and
23:53then also you know and Mark and I have
23:56talked and argued about this a lot over
23:57the years Salesforce right out of the
23:59gate set up the sales and we have a
24:00second one in Oakland now - oh fantastic
24:03so the Salesforce Salesforce foundation
24:07dedicated 1% of the company's profit
24:10rapid coughing this has become a little
24:13bit more fashionable now but at the time
24:14right it was much easier than because we
24:16had no equity we had no employees we had
24:17no time yes that does help a fair amount
24:21in between your Jabba doracles so so
24:24let's say what I learned because I was
24:26running the foundation in Oracle and you
24:28know we would like show up and do these
24:30work in these inner cities and we were
24:32putting you probably remember net day
24:34and these kind of things and John gage
24:36and we'd be like at least wearing
24:38schools we'd be you know we were in
24:41these inner cities and we'd be like
24:42wiring these schools and all the stuff
24:43and wiring is much easier now with
24:45Wireless so and you know Oracle
24:52employees would not show up to put the
24:54computers in the schools they were busy
24:55closing deals and then I that's when I
24:58realized if you're gonna do philanthropy
25:00right in your company you've got to make
25:02it part of your culture and the only way
25:04you're really gonna make it part of your
25:06culture is day one you got to say okay
25:09we're gonna really in it to win it on
25:11philanthropy so you know when we started
25:13the company March 8 1999 we had three
25:16goals a radically new technology model
25:19which we've kind of talked about cloud
25:20computing a radically new business model
25:22which we also talked about subscription
25:24and a radically new philanthropy model
25:27where we took 1% of our equity 1% of our
25:29profit and 1% of all of our employees
25:31time and put it into a 501 C 3 public
25:33charity now turned out to be a good
25:35decision because we've now been able to
25:37give away 68 million dollars in grants
25:39seven hundred thousand hours of
25:40community service all of our employees
25:42following more than 90 percent of our
25:44employees volunteer the first day of
25:46employment the morning they do an
25:49orientation the company the afternoon
25:50they always go and do service work for
25:52the afternoon just to let them know
25:54they're at a different company and and
25:59three we run over 23,000 nonprofits and
26:03NGOs for free on Salesforce universities
26:05etc and that's been really gratifying
26:09and really fulfilling part of our you
26:11know business is that we're not just you
26:14know running your portfolio companies
26:17but we're also able to offer great
26:20services the same services we offer do
26:22you know the General Electric's and the
26:24General Motors or the the great
26:27companies you know we offer right to the
26:30nonprofits and Dreamforce because that
26:32has become the largest nonprofit
26:34conference in the world
26:35so more nonprofits coda Dreamforce than
26:39any other nonprofit conference in the
26:41world because they are number one
26:43they're all coming there to learn about
26:45technology but there's just so many of
26:48them just they just aggregate in and we
26:50don't charge them you know to come so
26:52it's like just this incredible thing and
26:54it's become a great part of our company
26:56and our culture and our ability to give
26:57back and so I really encourage you that
27:00you know when you fund a new company
27:01that you get them to put in the
27:02one-on-one because it's a great thing
27:05and you know for the companies that have
27:09followed us companies like Google
27:10companies like Yelp you know we have
27:12dozens and dozens of companies who've
27:14done one one one now you know we've it's
27:17you know hugely successful for each and
27:20every one so do you guys gonna ask you
27:22so as if I'm a new founder and I come to
27:23you and I come to come to you for advice
27:24on this do you recommend that I do the
27:26same thing that you did 15 years ago
27:27absolutely have you learned things that
27:29you would do differently if you were
27:30starting well we certainly have upended
27:32our model and of course we have a whole
27:34site called share the model org but we
27:38we we have a whole we had an interesting
27:43thing happen at some point some of the
27:46really big nonprofits like Red Cross it
27:49was like who've done it really gone to
27:51town with the technology like okay we
27:53have this free thing but we want to pay
27:55for this and we need these services and
27:57here we we've got a lot of money and
27:59take some of this and we're like we're
28:01not gonna take your money okay but we're
28:05like well if we did have at you know if
28:07we if we actually charge this or that we
28:10did a little bit maybe we had a highly
28:11discounted program ninety percent off or
28:13whatever so then we created a 501c4 so
28:17we created a 501 C 4 and it established
28:21commercial relationships with nonprofits
28:24who wanted to get to this really high
28:25level with us and the 501 C 4 then
28:28receives that money give us to the 501 C
28:303 then grants it back out
28:32and so that's a really exciting
28:34extension to the model it's a very
28:36sophisticated in terms of getting people
28:39to understand how that works but
28:41Salesforce has no commercial
28:42relationship with these nonprofits or
28:45NGOs and any money that is basically you
28:48know provided that they give to that 501
28:50C 4 then gets granted back out so you
28:53get to the final question you get kind
28:55of two reactions when you talk to CEOs
28:57about this I found one is that's a great
28:58idea we should do that the other
28:59reaction is I you know as a CEO I have a
29:01fiduciary responsibility to my
29:02shareholders you know I get this money
29:04and I'm supposed to like spend the money
29:05building the business
29:06yeah and philanthropy is something that
29:07individuals should do right and for
29:09companies to do it is you know is
29:12potentially a violation of fiduciary
29:13responsibilities yeah what do you what
29:15do you say to them how do you square the
29:16circle on that well I mean you know you
29:18kind of Milton Friedman said the
29:20business of business is business okay
29:22but you have to kind of decide what kind
29:25of company are you gonna be are you
29:27gonna be a company all about your
29:28shareholder so you can be a company all
29:30about your stakeholders because in
29:32today's world we have a lot of companies
29:34we're really only focused on their
29:36shareholders and I think we only have to
29:38go look out our window to see what
29:40that's doing to our whole planet to our
29:42communities to our education systems to
29:45our safety net to our country and we
29:47have a lot of companies that don't care
29:50about and that their employees are not
29:54engaged you know with the communities
29:56that they serve and that they live in
29:58and I think that you know I have a good
30:02example is you have a lot of you know
30:04great new portfolio companies a lot of
30:06which are in San Francisco and a lot of
30:08those kids you're hiring and you know
30:10they're getting married and they're
30:11having kids and they want to send them
30:13into the K through 12 schools in San
30:14Francisco and you want them to live in
30:16San Francisco don't you Marc well they
30:18they they they're kind of worried about
30:20that actually they're worried about
30:21housing they're worried about the safety
30:24net at San Francisco they're working
30:25about there they really they can't
30:27afford the private schools you know they
30:29even have the IPO yet and they're like
30:31gee what am I gonna do so you know our
30:34ability to them focus on a social issue
30:38is really easy for Salesforce like we
30:41have you know in San Francisco and we're
30:44like the only ones is
30:45in Z we have put more than ten million
30:49dollars into the middle schools in San
30:51Francisco we've you know we've been
30:53wiring these schools now for two decades
30:55but we just rewired all these schools
30:57with all the wireless all with iPads
30:59with in all this blended learning
31:01technology we have our employees in
31:03there we offer a full package we give
31:05every principal in San Francisco for the
31:07last two years of the middle schools a
31:09hundred thousand innovation grant okay
31:11that they can do anything they want with
31:15the hundred grand in their school so
31:19that is exciting for us now one we get a
31:23lot of huge fulfillment makes us happy
31:25because there's no greater joy you're
31:27gonna get then giving all that's great
31:29to get the personal fulfillment number
31:31to your employees are thrilled because
31:33they're they want to send their kids to
31:36these schools and the schools are
31:38actually getting better it's material
31:39like they walk in and they can go WOW
31:41like I've been in there and I'm like
31:43this is as good as it gets actually in
31:46blended learning and and then three the
31:52community at large is going to benefit
31:54so and doesn't really cost us you know
31:58that much not really I mean we're we're
32:03and so I think it's extremely important
32:06I think every company has to do it I
32:08think every individual has to do it I
32:10think our whole world is just kind of
32:12teetering a little bit and our country
32:14and you know you education is a great
32:16example K to 12 where we all need to be
32:19working more in our K to 12 systems one
32:21of the reasons we've really focused on
32:23into Dreamforce this year because it's
32:26something that we can all do and
32:28technology things that we're doing
32:30actually can impact those schools our
32:33employees can impact those schools by
32:35being in there and when you can deliver
32:36a full package and a full package is the
32:40the the money of course so they all need
32:43a limousine cache the technology and the
32:47people that is our employees are in the
32:50schools so they can volunteer in the
32:52school and they're in art class or
32:54they're in the tech program or they're
32:56they're mentoring em
32:58that's key and I learned all about that
33:00in 1997 I went to this thing called the
33:02president summit for America's future
33:05which was the five living presidents and
33:06I had never heard of any of this because
33:08I want to you know have an undergraduate
33:10business degree from USC we didn't talk
33:13about any of this stuff it's not like we
33:15didn't have a great teacher like your
33:16wife you know is stanford teaching about
33:18social programs there was no social
33:20programs so that was the first time I'd
33:24have heard about I go this is a great
33:25idea we have all these resources at
33:28Oracle you know we have the people we
33:30have but I couldn't get the throughput
33:32but at Salesforce we have the throughput
33:35I mean we can get things done and when
33:38we focus on technology of course we're
33:41going to deliver a great product we're
33:42gonna have great customer relationships
33:44but we're also gonna make our
33:45communities better and that's a key part
33:48of what we're doing in I'm sure that at
33:51the end of the day you know people may
33:53not remember Salesforce okay they may
33:56never not even remember cloud computing
33:58but they're gonna definitely remember
34:00how we made our community better while
34:02we were here right that's really
34:03important to us good ladies and
