1 00:00:00,480 --> 00:00:08,400 Speaker 1: You're listening to KFI AM six forty on demand, Louke Penrose. 2 00:00:08,000 --> 00:00:10,440 Speaker 2: Good to have you along with us on a Friday. 3 00:00:11,560 --> 00:00:15,840 Speaker 2: I'm not sure which is the bigger story. Conway was 4 00:00:15,880 --> 00:00:20,000 Speaker 2: saying that Netflix and Warner is a big story. That 5 00:00:20,079 --> 00:00:22,120 Speaker 2: is a big story, certainly a big story for those 6 00:00:22,160 --> 00:00:24,360 Speaker 2: of us here in Los Angeles, so many people in 7 00:00:24,400 --> 00:00:27,960 Speaker 2: the movie business or ancilliary businesses. But I have to 8 00:00:28,000 --> 00:00:33,120 Speaker 2: think this ongoing fight between California Governor Gavin Newsom and 9 00:00:33,520 --> 00:00:40,080 Speaker 2: Halle Verry is a bigger story because the implications are huge. 10 00:00:40,680 --> 00:00:44,360 Speaker 3: So if you've not if you're not if you haven't 11 00:00:44,360 --> 00:00:45,720 Speaker 3: heard it and not up to speed. 12 00:00:48,080 --> 00:00:53,120 Speaker 2: The actress Halle Berry took a shot at Newsom for 13 00:00:53,240 --> 00:00:59,120 Speaker 2: not being pro women in legislation, and it must have 14 00:00:59,160 --> 00:01:03,520 Speaker 2: gotten under Newsom's skin because he responded, here's here's KTVU 15 00:01:03,760 --> 00:01:06,000 Speaker 2: Fox two in San Francisco. 16 00:01:06,120 --> 00:01:10,760 Speaker 4: Tonight, California Governor Gavin Newsom is responding to scathing criticism 17 00:01:10,800 --> 00:01:14,360 Speaker 4: from actress Halle Berry, who called out Newsom for refusing 18 00:01:14,400 --> 00:01:18,080 Speaker 4: to sign legislation that would have improved health insurance coverage 19 00:01:18,200 --> 00:01:19,800 Speaker 4: for menopause related cares. 20 00:01:19,840 --> 00:01:21,920 Speaker 3: Okay, so let me give you a little bit of backstory. 21 00:01:22,120 --> 00:01:24,920 Speaker 3: Holly Berry is on a book tour. She was or 22 00:01:25,120 --> 00:01:25,399 Speaker 3: she was. 23 00:01:25,360 --> 00:01:34,680 Speaker 2: Speaking about how her industry devalues, in her opinion, menopausal 24 00:01:34,720 --> 00:01:38,200 Speaker 2: aged women, and how a lot of a lot of 25 00:01:38,200 --> 00:01:41,760 Speaker 2: the industries in our culture treat women in a certain 26 00:01:41,760 --> 00:01:45,399 Speaker 2: age category differently. And she'd made good points, and you 27 00:01:45,440 --> 00:01:48,000 Speaker 2: can agree to disagree. It's a whole separate issue, but 28 00:01:48,080 --> 00:01:52,120 Speaker 2: then stopped, like mid sentence and said, in my own 29 00:01:52,160 --> 00:01:55,520 Speaker 2: state of California, my own governor doesn't have any respect 30 00:01:55,600 --> 00:01:56,080 Speaker 2: for women. 31 00:01:56,240 --> 00:01:59,680 Speaker 5: Back in my great state of California, my very own governor, 32 00:02:00,280 --> 00:02:04,680 Speaker 5: Gavin Newsom has vetoed our Menopause Bill, not one but 33 00:02:04,800 --> 00:02:09,799 Speaker 5: two years in a row. But that's okay because he's 34 00:02:09,800 --> 00:02:10,840 Speaker 5: not going to be governor forever. 35 00:02:11,000 --> 00:02:13,320 Speaker 3: Ooh, that's a shot. 36 00:02:13,919 --> 00:02:17,920 Speaker 2: Nobody expected that, and everybody kind of looked up because 37 00:02:18,320 --> 00:02:23,880 Speaker 2: people just assume Hollywood Democrats they all get along. And 38 00:02:25,280 --> 00:02:29,960 Speaker 2: when she said our Menopause Bill, I think few people 39 00:02:30,080 --> 00:02:32,920 Speaker 2: knew that she was advocating for legislation. 40 00:02:33,360 --> 00:02:34,920 Speaker 3: I mean, maybe some of the lobbyists up in. 41 00:02:34,880 --> 00:02:38,560 Speaker 2: Sacramento knew that Barry was behind it, but certainly nobody 42 00:02:38,560 --> 00:02:43,280 Speaker 2: in showbiz or it just came out of nowhere, and 43 00:02:43,639 --> 00:02:46,520 Speaker 2: the passion that she had for it, and the strength 44 00:02:46,520 --> 00:02:49,440 Speaker 2: of the statement kind of, I mean it silenced the crowd. 45 00:02:50,560 --> 00:02:51,400 Speaker 3: Listen, do it again. 46 00:02:51,560 --> 00:02:55,000 Speaker 5: Back in my great state of California, my very own governor, 47 00:02:55,560 --> 00:02:59,880 Speaker 5: Gavin Newsom has vetoed our menopause bill, not one but 48 00:03:00,120 --> 00:03:01,560 Speaker 5: two years in a row. 49 00:03:04,240 --> 00:03:06,600 Speaker 2: Here the silence, I mean it just this is like 50 00:03:06,639 --> 00:03:10,720 Speaker 2: the room is silent. And then says, Okay, he's not 51 00:03:10,720 --> 00:03:12,080 Speaker 2: going to be governor very long. 52 00:03:12,560 --> 00:03:15,079 Speaker 3: But then she took it another step further. 53 00:03:15,280 --> 00:03:18,480 Speaker 5: And with the way he's overlooked women half the population 54 00:03:18,600 --> 00:03:22,120 Speaker 5: by devaluing us in midlife, he probably should not be 55 00:03:22,160 --> 00:03:25,760 Speaker 5: our next president either, just saying. 56 00:03:25,800 --> 00:03:33,880 Speaker 2: Just saying devaluing women a midlife. Now, look, there's a 57 00:03:33,880 --> 00:03:36,400 Speaker 2: lot of reasons why he may have vetoed that piece 58 00:03:36,440 --> 00:03:37,160 Speaker 2: of legislation. 59 00:03:37,480 --> 00:03:38,360 Speaker 3: I've not seen it. 60 00:03:39,120 --> 00:03:42,880 Speaker 2: Everyone's scurrying now to get copies of it and to 61 00:03:42,920 --> 00:03:45,760 Speaker 2: find authors and co sponsors to find out what what 62 00:03:45,760 --> 00:03:50,480 Speaker 2: what legislation did Newsom get Holly Berry's dander up about. 63 00:03:51,600 --> 00:03:54,840 Speaker 3: But it's but when she says, look, he vetoed legislation. 64 00:03:54,880 --> 00:03:56,440 Speaker 2: We're not happy with it, but we're gonna go back 65 00:03:56,440 --> 00:03:58,880 Speaker 2: next year and see if we can't make out a 66 00:03:58,920 --> 00:04:02,520 Speaker 2: deal to advance like it wasn't that it's he is 67 00:04:02,720 --> 00:04:07,560 Speaker 2: a creep. He hates women over the age of forty. 68 00:04:09,720 --> 00:04:12,800 Speaker 2: It was a real shot. And you know how you 69 00:04:12,840 --> 00:04:17,000 Speaker 2: can tell it's a real shot when Newsom responds to it, 70 00:04:18,600 --> 00:04:19,120 Speaker 2: and he did. 71 00:04:19,200 --> 00:04:22,440 Speaker 3: Here he is at lax. We'll see halle Berry has 72 00:04:22,480 --> 00:04:24,360 Speaker 3: some comments. I mean she had. 73 00:04:24,480 --> 00:04:28,960 Speaker 2: Extranges, was connected with her manager, were ability to reconcile, 74 00:04:29,279 --> 00:04:31,360 Speaker 2: all right, So it's hard to hear because you know, 75 00:04:31,400 --> 00:04:34,960 Speaker 2: there's not a boom mic and they're all running away 76 00:04:34,960 --> 00:04:35,480 Speaker 2: from reporter. 77 00:04:35,640 --> 00:04:37,480 Speaker 3: Clearly he's running away from a reporter there. 78 00:04:37,480 --> 00:04:42,320 Speaker 2: He's trying to not and he said, we're talking to 79 00:04:42,360 --> 00:04:48,240 Speaker 2: her manager and we're trying to reconcile, and it does 80 00:04:48,320 --> 00:04:53,240 Speaker 2: come off odd, right, Holly Berry's professional manager would not 81 00:04:53,320 --> 00:04:56,960 Speaker 2: be the person you talk to if you want to 82 00:04:57,680 --> 00:05:01,080 Speaker 2: invite her to Sacramento or I don't know, sessions out 83 00:05:01,160 --> 00:05:04,520 Speaker 2: So there's nothing that could be done now. But it's 84 00:05:04,520 --> 00:05:09,560 Speaker 2: interesting we're trying to reconcile. It's a very political word. 85 00:05:09,680 --> 00:05:14,320 Speaker 2: It's an inside politics word, like it's a word that's 86 00:05:14,320 --> 00:05:18,320 Speaker 2: well known to lawmakers and legislators because that's what happens 87 00:05:18,520 --> 00:05:21,880 Speaker 2: when a piece of legislation is in the Assembly and 88 00:05:21,920 --> 00:05:25,520 Speaker 2: then moves to the Senate. Sometimes the Senate makes changes 89 00:05:25,680 --> 00:05:30,240 Speaker 2: or amendments that would not pass the Assembly. So there 90 00:05:30,320 --> 00:05:34,160 Speaker 2: is a process where they reconcile the differences and the 91 00:05:35,040 --> 00:05:36,960 Speaker 2: Senate gives up stuff and the Assembly. 92 00:05:36,560 --> 00:05:38,599 Speaker 3: Gives up the same things happens in Congress. Right. 93 00:05:38,839 --> 00:05:41,360 Speaker 2: The House passes, the bill goes the Senate, Senate makes changes, 94 00:05:41,520 --> 00:05:42,680 Speaker 2: and then they have to reconcile. 95 00:05:44,640 --> 00:05:47,839 Speaker 3: So his head is in some kind. 96 00:05:47,760 --> 00:05:53,240 Speaker 2: Of legislative you know world, and he's trying to explain 97 00:05:53,320 --> 00:05:55,200 Speaker 2: that we're talking with the with. 98 00:05:55,160 --> 00:05:58,960 Speaker 3: The Berry folks connected with their manager. I just connected 99 00:05:59,000 --> 00:06:01,279 Speaker 3: with their manager. That's a range thing to say. Now, 100 00:06:01,320 --> 00:06:03,280 Speaker 3: like I've made I've had my people call her. 101 00:06:03,320 --> 00:06:06,359 Speaker 2: We'd love to talk and find out why she thinks this, 102 00:06:06,520 --> 00:06:10,080 Speaker 2: because I certainly like women just connected with her manager 103 00:06:10,200 --> 00:06:12,360 Speaker 2: were an ability to reconcile. 104 00:06:12,400 --> 00:06:14,720 Speaker 3: As we're reconciled. So and look, I've included in the 105 00:06:14,760 --> 00:06:17,640 Speaker 3: budget next year. She didn't know that, oh really reconciled. 106 00:06:17,839 --> 00:06:20,640 Speaker 2: Oh, she didn't know that I've included this what she 107 00:06:20,680 --> 00:06:23,480 Speaker 2: wants in the butt Now, he'd certainly vetoed the legislation twice. 108 00:06:24,000 --> 00:06:28,000 Speaker 2: So some thing he's included in the budget and she 109 00:06:28,120 --> 00:06:32,280 Speaker 2: didn't know it. So Newsom man splains, holly Berry, it 110 00:06:32,320 --> 00:06:34,120 Speaker 2: goes on and it goes further here. So how do 111 00:06:34,160 --> 00:06:36,360 Speaker 2: you what's your message to women who might have been 112 00:06:36,800 --> 00:06:38,960 Speaker 2: offended by the bill or just what do they not 113 00:06:39,040 --> 00:06:40,680 Speaker 2: understand about the bill that they should. 114 00:06:40,440 --> 00:06:41,120 Speaker 3: They just understand. 115 00:06:41,160 --> 00:06:43,560 Speaker 1: We already were process so we can't think. 116 00:06:43,800 --> 00:06:45,120 Speaker 3: So did you have a you have talk to our 117 00:06:45,160 --> 00:06:46,080 Speaker 3: manager at that leader. 118 00:06:46,200 --> 00:06:50,960 Speaker 2: Yeah, this is a disa. This is a disaster for Newsom. 119 00:06:51,160 --> 00:06:53,279 Speaker 2: I'm here to tell you this is a huge problem. 120 00:06:53,440 --> 00:06:57,080 Speaker 2: It's not going away. The man splanning was pretty clear 121 00:06:57,680 --> 00:07:00,920 Speaker 2: that the problem is holly Berry doesn't know and holle 122 00:07:00,920 --> 00:07:04,039 Speaker 2: Berry doesn't understand, and that's not going to go over well. 123 00:07:05,440 --> 00:07:06,720 Speaker 2: And this is going to come back to blow up 124 00:07:06,720 --> 00:07:09,040 Speaker 2: in his face. And I urge you to pop popcorn. 125 00:07:09,080 --> 00:07:10,160 Speaker 2: This is going to be a fun one. 126 00:07:10,720 --> 00:07:14,160 Speaker 1: You're listening to KFI AM six forty on demand. 127 00:07:15,920 --> 00:07:19,040 Speaker 2: Lou Penrose, good to have you along with US Governor 128 00:07:19,040 --> 00:07:23,520 Speaker 2: Gavin Newsom certainly aware of the criticism he received by 129 00:07:23,720 --> 00:07:27,920 Speaker 2: actress halle Berry and said, she just doesn't know what 130 00:07:27,960 --> 00:07:28,800 Speaker 2: she's talking about. 131 00:07:29,520 --> 00:07:31,160 Speaker 3: We're trying to reach out to her manager. 132 00:07:31,200 --> 00:07:34,600 Speaker 2: She doesn't understand, and this is not going to go 133 00:07:34,600 --> 00:07:38,200 Speaker 2: over well for him. I follow politics very closely. I 134 00:07:38,200 --> 00:07:41,960 Speaker 2: am fascinated with the California governor's race. I cannot believe 135 00:07:42,360 --> 00:07:45,800 Speaker 2: that in a state like California that is so blue 136 00:07:46,280 --> 00:07:50,160 Speaker 2: and so run by Democrats, that right now a Republican 137 00:07:50,560 --> 00:07:53,720 Speaker 2: is leading in the race to replace Gavin Newsom. 138 00:07:54,600 --> 00:07:56,240 Speaker 3: Also, Newsom has like. 139 00:07:56,240 --> 00:08:01,440 Speaker 2: No heir apparent because he's so focused on national POM politics. 140 00:08:02,400 --> 00:08:05,560 Speaker 2: And so while I'm a Republican, so I hope a 141 00:08:05,600 --> 00:08:06,400 Speaker 2: Republican wins. 142 00:08:06,440 --> 00:08:07,680 Speaker 3: I understand the reality. 143 00:08:08,080 --> 00:08:12,480 Speaker 2: And whoever the Democrat is, that Democrat should win by 144 00:08:12,600 --> 00:08:15,720 Speaker 2: sixty three percent of the vote under normal circumstance. 145 00:08:15,760 --> 00:08:18,119 Speaker 3: Even a bad Democrat will win by sixty three percent 146 00:08:18,160 --> 00:08:18,280 Speaker 3: of the. 147 00:08:18,320 --> 00:08:25,360 Speaker 2: Vote if they just run anybody a yellow dog. But 148 00:08:26,200 --> 00:08:34,960 Speaker 2: these constant problems between Katie Porter, her disaster, and I mean, 149 00:08:35,000 --> 00:08:38,440 Speaker 2: he gets it's Eric Swawell, you gotta be kidding. 150 00:08:38,440 --> 00:08:41,280 Speaker 3: He brings nothing. He's like a wet blanket. 151 00:08:42,720 --> 00:08:45,800 Speaker 2: And now you have Newsom, who's not up for reelection 152 00:08:46,120 --> 00:08:50,880 Speaker 2: but trying to become a national political figure, now getting 153 00:08:50,880 --> 00:08:53,480 Speaker 2: into an argument with an actress over whether or not 154 00:08:53,920 --> 00:08:57,119 Speaker 2: he cares about menopause healthcare. 155 00:08:58,920 --> 00:09:01,520 Speaker 3: So what exactly is Holly Berry talking about. 156 00:09:01,559 --> 00:09:05,120 Speaker 2: Well, there was legislation twice vetoed by the governor that 157 00:09:05,200 --> 00:09:09,680 Speaker 2: would have increase healthcare in California to menopausal aged women. 158 00:09:09,720 --> 00:09:13,480 Speaker 4: To Night, California Governor Gavin Newsom is responding to scathing 159 00:09:13,640 --> 00:09:17,240 Speaker 4: criticism from actress Halle Berry, who called out Newsom for 160 00:09:17,360 --> 00:09:21,160 Speaker 4: refusing to sign legislation that would have improved health insurance 161 00:09:21,200 --> 00:09:23,280 Speaker 4: coverage for menopause related care. 162 00:09:23,480 --> 00:09:26,640 Speaker 2: Now, I'm not exactly sure what would be what would 163 00:09:26,679 --> 00:09:27,040 Speaker 2: be covered. 164 00:09:27,080 --> 00:09:28,240 Speaker 3: I mean, that would be a very. 165 00:09:28,120 --> 00:09:33,000 Speaker 2: Detailed list, and we're learning so much about new things 166 00:09:33,040 --> 00:09:35,959 Speaker 2: that can be available to women and all kinds of 167 00:09:36,000 --> 00:09:37,200 Speaker 2: hormone replacement therapies. 168 00:09:37,240 --> 00:09:39,079 Speaker 3: I don't know a lot about this. I'm a boy, 169 00:09:39,760 --> 00:09:41,200 Speaker 3: but I hear a lot about it. 170 00:09:41,240 --> 00:09:45,080 Speaker 4: That would have improved health insurance coverage for menopause related care. 171 00:09:45,520 --> 00:09:49,000 Speaker 4: This year and last year, Newsom vetoed what's called the 172 00:09:49,080 --> 00:09:50,960 Speaker 4: Menopause Care Equity Act. 173 00:09:51,160 --> 00:09:55,360 Speaker 2: Yeah, and I don't know that he was aware that 174 00:09:55,840 --> 00:09:58,120 Speaker 2: he made an enemy in halle Berry by doing it. 175 00:09:58,200 --> 00:10:01,600 Speaker 5: Back in my great state of my very own, Governor 176 00:10:02,160 --> 00:10:06,560 Speaker 5: Gavin Newsom has vetoed our menopause bill not one, but 177 00:10:06,720 --> 00:10:08,000 Speaker 5: two years. 178 00:10:07,559 --> 00:10:11,920 Speaker 3: In a row. But that's okay because he's not going 179 00:10:11,960 --> 00:10:15,120 Speaker 3: to be governor forever. Oh boy. Newsom says, there's the 180 00:10:15,160 --> 00:10:17,040 Speaker 3: reason if. 181 00:10:16,960 --> 00:10:20,120 Speaker 4: That measure would have required some health insurance in California 182 00:10:20,160 --> 00:10:21,959 Speaker 4: to cover menopause treatments. 183 00:10:22,320 --> 00:10:24,880 Speaker 3: In a statement last night, Governor. 184 00:10:24,600 --> 00:10:27,200 Speaker 4: Newsom said he vetoed the bills because they would have 185 00:10:27,400 --> 00:10:31,000 Speaker 4: unintentionally raised healthcare costs for millions of working women. 186 00:10:31,120 --> 00:10:32,640 Speaker 2: Oh wait a minute, now, see this is where it 187 00:10:32,640 --> 00:10:35,440 Speaker 2: gets fun as a fiscal conservative. This is where it 188 00:10:35,440 --> 00:10:41,000 Speaker 2: really gets fun. So you're saying that you wish you 189 00:10:41,240 --> 00:10:46,199 Speaker 2: could have offered halle Berry's care. 190 00:10:47,440 --> 00:10:50,560 Speaker 3: But it's too expensive. Why. 191 00:10:50,720 --> 00:10:54,600 Speaker 2: Oh, because it would raise the cost of healthcare. Yes, 192 00:10:54,720 --> 00:10:59,079 Speaker 2: that's right, that's always the case. I mean, offering medical 193 00:10:59,240 --> 00:11:01,240 Speaker 2: to illegals raises the cost. 194 00:11:01,880 --> 00:11:06,520 Speaker 3: But you do that. So that's a very interesting answer. 195 00:11:06,640 --> 00:11:07,800 Speaker 3: So look, I don't know. 196 00:11:08,320 --> 00:11:11,240 Speaker 2: Barry could be to the left of Newsom and believes 197 00:11:11,280 --> 00:11:14,520 Speaker 2: that everybody should be paying more taxes and the government 198 00:11:14,520 --> 00:11:18,360 Speaker 2: should be covering the healthcare everything that anybody over the 199 00:11:18,400 --> 00:11:21,120 Speaker 2: age of forty, every woman anything she wants. I don't know, 200 00:11:21,200 --> 00:11:25,760 Speaker 2: I mean, or she could be just not happy with him, 201 00:11:26,240 --> 00:11:28,319 Speaker 2: but it is certainly a problem, and it's going to 202 00:11:28,400 --> 00:11:31,079 Speaker 2: be interesting to see the way he wrestles his way 203 00:11:31,120 --> 00:11:34,240 Speaker 2: out of this, because he has wrapped himself into this 204 00:11:34,360 --> 00:11:40,000 Speaker 2: persona of being the most pro woman man ever to 205 00:11:40,040 --> 00:11:45,560 Speaker 2: be elected governor. And when a high profile woman like 206 00:11:45,600 --> 00:11:50,880 Speaker 2: Holly Berry says, look, he's so bad as governor, he 207 00:11:50,920 --> 00:11:54,800 Speaker 2: should absolutely not be the president of the United States, 208 00:11:54,960 --> 00:11:57,280 Speaker 2: She's not gonna not say that again. She's going to 209 00:11:57,320 --> 00:12:00,520 Speaker 2: be asked about that a lot, and he's gonna have 210 00:12:00,600 --> 00:12:03,440 Speaker 2: to constantly answer her, and that's going to be an 211 00:12:03,440 --> 00:12:06,760 Speaker 2: ongoing fight. So I just I find this little, uh, 212 00:12:06,800 --> 00:12:09,280 Speaker 2: this little side show really really fascinating, all right, So 213 00:12:09,320 --> 00:12:11,120 Speaker 2: when we come back, and I want to get ron 214 00:12:11,120 --> 00:12:16,800 Speaker 2: her on this too, because this Netflix Warner deal, I'm 215 00:12:16,840 --> 00:12:20,199 Speaker 2: looking at it as best as I can and trying 216 00:12:20,200 --> 00:12:23,400 Speaker 2: to be as objective as possible. And there's all kinds 217 00:12:23,400 --> 00:12:27,720 Speaker 2: of issues of anti trust. You know, that's monopolies, and 218 00:12:28,559 --> 00:12:31,480 Speaker 2: you know, concentration and the impact that it has on 219 00:12:31,520 --> 00:12:36,240 Speaker 2: the industry and the power that Netflix will have on 220 00:12:37,280 --> 00:12:39,600 Speaker 2: creativity and all that stuff. And I'm looking at it 221 00:12:39,640 --> 00:12:43,520 Speaker 2: all together and trying to decipher if this is good 222 00:12:43,640 --> 00:12:48,120 Speaker 2: or bad for me? And I'm reaching just one conclusion, 223 00:12:48,840 --> 00:12:52,760 Speaker 2: and that is I already pay Netflix and I have 224 00:12:53,000 --> 00:12:56,480 Speaker 2: HBO Plus, So now I want to have to pay 225 00:12:56,600 --> 00:12:58,960 Speaker 2: HBO Plus and I'll get it all on Netflix. 226 00:12:59,840 --> 00:13:04,720 Speaker 3: And I'm not exactly sure how that's bad or HBO 227 00:13:04,760 --> 00:13:06,360 Speaker 3: Max whatever it's called. 228 00:13:08,520 --> 00:13:11,600 Speaker 2: So now if I mean, I'm sure Netflix is going 229 00:13:11,640 --> 00:13:13,360 Speaker 2: to raise their prices, but they're not going to raise 230 00:13:13,360 --> 00:13:17,880 Speaker 2: it exactly to what I'm subscribing to now for HBO Max, 231 00:13:18,400 --> 00:13:19,040 Speaker 2: isn't it? 232 00:13:19,160 --> 00:13:21,120 Speaker 3: I mean, isn't that That's pretty clear? 233 00:13:21,360 --> 00:13:23,720 Speaker 2: Right? So now I'll be able to watch the White 234 00:13:23,760 --> 00:13:28,720 Speaker 2: Lotus on Netflix instead of the other one, or vice versa. 235 00:13:28,760 --> 00:13:31,880 Speaker 2: I don't know the consolidation. I've always been told the 236 00:13:31,920 --> 00:13:36,839 Speaker 2: consolidation is bad, but it seems like it's working out 237 00:13:36,880 --> 00:13:40,600 Speaker 2: pretty well. When YouTube TV and Disney finally got their 238 00:13:40,640 --> 00:13:43,440 Speaker 2: act together such that I could watch Monday night football 239 00:13:43,520 --> 00:13:47,440 Speaker 2: like I always was, I was happier, not less happy. 240 00:13:47,480 --> 00:13:50,160 Speaker 2: I don't know what they worked out, but it worked 241 00:13:50,200 --> 00:13:53,280 Speaker 2: out for me. So I'm thinking that this deal is 242 00:13:53,320 --> 00:13:57,320 Speaker 2: going to be a good one. And you don't know 243 00:13:57,360 --> 00:13:58,040 Speaker 2: what you don't know. 244 00:13:58,320 --> 00:13:59,959 Speaker 3: There's in the wings. 245 00:14:00,080 --> 00:14:03,480 Speaker 2: There is another there there's there's an Android coming for 246 00:14:03,559 --> 00:14:08,080 Speaker 2: the Apple right that there, there's there's something coming for Netflix. 247 00:14:08,120 --> 00:14:12,880 Speaker 2: There there is, you know, Facebook is coming from MySpace. 248 00:14:12,960 --> 00:14:16,800 Speaker 2: It's gonna something else will happen, and subsequently they'll be 249 00:14:16,880 --> 00:14:19,240 Speaker 2: a competitor and that will be somehow easy. 250 00:14:19,240 --> 00:14:20,920 Speaker 3: I don't know how it could be easier, but. 251 00:14:20,840 --> 00:14:23,840 Speaker 2: It'll be somehow easier, or there'll be less friction, or 252 00:14:23,840 --> 00:14:26,800 Speaker 2: they'll somehow have more product and it'll be cheaper, and 253 00:14:26,800 --> 00:14:30,040 Speaker 2: then Netflix will have to step it up. So I 254 00:14:30,560 --> 00:14:33,760 Speaker 2: think this, I think we follow this rather than try 255 00:14:33,920 --> 00:14:36,120 Speaker 2: and guide it going forward. 256 00:14:36,120 --> 00:14:36,880 Speaker 3: But we'll talk about it. 257 00:14:36,920 --> 00:14:39,360 Speaker 2: And I said, Mark Roanner knows more about Showbus than 258 00:14:39,360 --> 00:14:41,120 Speaker 2: I do, and I want to get his take on that. 259 00:14:41,560 --> 00:14:41,640 Speaker 5: UH. 260 00:14:41,760 --> 00:14:45,160 Speaker 3: And we will do that coming up in the UH. 261 00:14:45,360 --> 00:14:48,440 Speaker 1: In the next segment, you're listening to KFI A M 262 00:14:48,560 --> 00:14:50,440 Speaker 1: six forty on demand. 263 00:14:51,560 --> 00:14:53,520 Speaker 2: Blue Penrose, Good to have you along with us on 264 00:14:53,560 --> 00:14:57,160 Speaker 2: a Friday, talking about this great big Netflix Warner deal 265 00:14:57,720 --> 00:15:01,040 Speaker 2: that everyone's talking about. H. They say it's it's going 266 00:15:01,120 --> 00:15:03,960 Speaker 2: to change everything, and we're trying to decide if it's 267 00:15:04,000 --> 00:15:05,680 Speaker 2: good for you or bad for you. 268 00:15:05,920 --> 00:15:11,040 Speaker 6: Netflix beating out Paramount and Comcast to buy Warner Brothers Discovery, 269 00:15:11,200 --> 00:15:14,200 Speaker 6: the streaming giant, agreeing to buy the Hollywood studio known 270 00:15:14,280 --> 00:15:17,840 Speaker 6: for blockbusters like the Superman films and the Harry Potter movies, 271 00:15:17,880 --> 00:15:21,000 Speaker 6: in a deal worth eighty two point seven billion dollars. 272 00:15:21,040 --> 00:15:24,600 Speaker 2: It does seem like a lot Mark Ronner your first 273 00:15:24,640 --> 00:15:26,640 Speaker 2: blush this good or bad? 274 00:15:26,960 --> 00:15:29,560 Speaker 7: Well, I wish I could share your enthusiasm or your 275 00:15:29,600 --> 00:15:33,520 Speaker 7: optimism about lower prices. But can you name me any 276 00:15:33,560 --> 00:15:36,320 Speaker 7: instance where a merger has resulted in consumers getting an 277 00:15:36,360 --> 00:15:38,080 Speaker 7: actual break? Because I can't think of one. 278 00:15:38,560 --> 00:15:40,760 Speaker 2: No, I guess I can't think of one here, But 279 00:15:41,360 --> 00:15:44,480 Speaker 2: I will say that when I cut the cord and 280 00:15:44,560 --> 00:15:49,160 Speaker 2: stopped getting cable and paying for nine hundred and ninety 281 00:15:49,240 --> 00:15:51,760 Speaker 2: nine channels that I don't want and. 282 00:15:51,800 --> 00:15:56,440 Speaker 3: Streamed I was paying, my overall cost was less. Well. Sure, Now, 283 00:15:56,720 --> 00:15:57,160 Speaker 3: as soon. 284 00:15:57,080 --> 00:15:59,720 Speaker 2: As I got used to that and I found it 285 00:15:59,800 --> 00:16:01,680 Speaker 2: all that show is on another network. We need this, 286 00:16:03,000 --> 00:16:06,040 Speaker 2: it started evening out very quickly. But at first I 287 00:16:06,120 --> 00:16:08,240 Speaker 2: was like, oh, this is way cheaper, I mean way cheaper. 288 00:16:08,360 --> 00:16:10,560 Speaker 7: Yeah, I was a real early cord cutter myself, and 289 00:16:10,640 --> 00:16:12,640 Speaker 7: I don't miss it, and I wouldn't go back to it, 290 00:16:12,880 --> 00:16:14,600 Speaker 7: and I don't like paying for all the stuff that 291 00:16:14,640 --> 00:16:16,920 Speaker 7: I don't use. But I think that's almost a separate issue. 292 00:16:16,960 --> 00:16:23,320 Speaker 7: We know in general, when huge corporations merge, especially media corporations, 293 00:16:23,520 --> 00:16:26,080 Speaker 7: it means less choice for the consumer, and it usually 294 00:16:26,160 --> 00:16:28,960 Speaker 7: means lower quality and higher costs. They jack up costs 295 00:16:28,960 --> 00:16:32,160 Speaker 7: they don't have the competition with the prices, and we 296 00:16:32,200 --> 00:16:34,320 Speaker 7: also there are other ways. I'm still actually trying to 297 00:16:34,360 --> 00:16:36,160 Speaker 7: do my homework and get up to speed on this, 298 00:16:36,240 --> 00:16:38,080 Speaker 7: but I've been reading as much as I can in 299 00:16:38,080 --> 00:16:41,600 Speaker 7: the short time since the deal passed. And so one 300 00:16:41,600 --> 00:16:43,560 Speaker 7: thing that we always have to worry about, say, is 301 00:16:43,600 --> 00:16:48,440 Speaker 7: whether content is slanted by the business interests of the 302 00:16:48,520 --> 00:16:51,120 Speaker 7: owners or the political interests of the owners, like it 303 00:16:51,160 --> 00:16:53,520 Speaker 7: is with The Washington Post and Jeff Bezos or La 304 00:16:53,640 --> 00:16:57,440 Speaker 7: Times with Patrick Sung Chong. No question about that, and 305 00:16:57,560 --> 00:17:01,040 Speaker 7: whether or not we can point to civic instances, and 306 00:17:01,080 --> 00:17:01,720 Speaker 7: I think I can. 307 00:17:02,160 --> 00:17:03,720 Speaker 3: We shouldn't have to worry about that. 308 00:17:05,840 --> 00:17:09,720 Speaker 7: Other things include Netflix, and I subscribe to Netflix. I 309 00:17:09,760 --> 00:17:12,600 Speaker 7: like Netflix right too, but they are notorious for having 310 00:17:12,880 --> 00:17:17,320 Speaker 7: super short theatrical runs so they can qualify movies for rewards. 311 00:17:17,359 --> 00:17:20,480 Speaker 7: So if you're a theatergoer, you like going to movies. This, 312 00:17:21,880 --> 00:17:25,360 Speaker 7: this could really harm the future of actual physical movie theaters. 313 00:17:25,520 --> 00:17:28,879 Speaker 7: They're also notorious Netflix is for not putting out physical media. 314 00:17:28,920 --> 00:17:30,399 Speaker 7: You can't buy a Blu ray, you can't buy a 315 00:17:30,480 --> 00:17:33,280 Speaker 7: DVD of a lot of the things that they run, 316 00:17:34,000 --> 00:17:34,600 Speaker 7: and which. 317 00:17:34,400 --> 00:17:35,840 Speaker 3: Is ironic because that's how they started. 318 00:17:36,200 --> 00:17:36,240 Speaker 4: No. 319 00:17:36,680 --> 00:17:39,080 Speaker 2: I mean years and years and years ago when my 320 00:17:39,119 --> 00:17:41,040 Speaker 2: wife and I were first married and we actually had 321 00:17:41,080 --> 00:17:45,000 Speaker 2: a roommate just to share expenses. Her name was Katie, 322 00:17:45,040 --> 00:17:48,080 Speaker 2: and that's what she did. Katie would get these little 323 00:17:48,080 --> 00:17:50,320 Speaker 2: white envelopes in the mailbox. I'm like, what does she do? 324 00:17:51,359 --> 00:17:54,400 Speaker 2: Who's mailing her a DVD? And that was she would 325 00:17:54,440 --> 00:17:56,359 Speaker 2: just watch movies on our laptop and that was her 326 00:17:56,440 --> 00:17:59,199 Speaker 2: whole and source of entertainment. That's how that started. They 327 00:17:59,320 --> 00:18:02,280 Speaker 2: used to mail you a DVD. That's what Netflix was. 328 00:18:02,320 --> 00:18:04,280 Speaker 7: It was miraculous. I used to love that and I'm 329 00:18:04,320 --> 00:18:07,680 Speaker 7: a big movie collector myself. Just just got a load 330 00:18:07,720 --> 00:18:11,080 Speaker 7: of Criterion movies in the mail watched Winchester seventy three 331 00:18:11,200 --> 00:18:14,560 Speaker 7: last night. Loved it. But Netflix, that's not one of 332 00:18:14,600 --> 00:18:17,040 Speaker 7: their priorities. So if you want to own your own thing, 333 00:18:17,200 --> 00:18:19,280 Speaker 7: we know, just for instance, not to go too far 334 00:18:19,400 --> 00:18:21,080 Speaker 7: down a side road here. We know that when you 335 00:18:21,080 --> 00:18:24,120 Speaker 7: buy movies digitally, corporations can take those away from you. 336 00:18:24,119 --> 00:18:25,840 Speaker 7: You never really own them yourself. 337 00:18:27,800 --> 00:18:31,280 Speaker 2: Yeah, I've never like, I've always wrestled with that copyright thing. 338 00:18:31,359 --> 00:18:34,960 Speaker 2: I've never understood why when you buy something, why it's 339 00:18:35,000 --> 00:18:35,760 Speaker 2: not your property. 340 00:18:35,960 --> 00:18:37,560 Speaker 3: I mean, I understand that you. 341 00:18:37,560 --> 00:18:40,399 Speaker 2: Know it's a shared thing and you can't resell it 342 00:18:40,400 --> 00:18:42,399 Speaker 2: and things like that, But you're right, it's never fully 343 00:18:42,480 --> 00:18:44,040 Speaker 2: your property when it's a digital version. 344 00:18:44,240 --> 00:18:46,199 Speaker 3: Right, So when Netflix, but hold on, Like. 345 00:18:46,200 --> 00:18:49,200 Speaker 2: What you just said is basically what I'm hearing from 346 00:18:49,240 --> 00:18:52,520 Speaker 2: almost every source, from the business community, from the creative community. 347 00:18:53,600 --> 00:18:54,720 Speaker 3: It's just analysis. 348 00:18:55,000 --> 00:18:59,399 Speaker 2: The short the first blush analysis mirrors what yours was, 349 00:18:59,440 --> 00:19:02,679 Speaker 2: and that is I don't see how lou things are 350 00:19:02,680 --> 00:19:04,760 Speaker 2: going to be cheaper. I don't see how things are 351 00:19:04,800 --> 00:19:07,239 Speaker 2: going to be better. I see that there is now 352 00:19:07,280 --> 00:19:12,479 Speaker 2: an opportunity to really consolidate creativity under one house. 353 00:19:12,560 --> 00:19:13,520 Speaker 3: And that's not good. 354 00:19:14,280 --> 00:19:16,840 Speaker 2: And I'm thinking, all right, well, but the people at 355 00:19:16,880 --> 00:19:20,240 Speaker 2: Netflix have to know that that's going to be the criticism, 356 00:19:20,520 --> 00:19:24,880 Speaker 2: so they must be prepared to not look like this 357 00:19:25,119 --> 00:19:28,199 Speaker 2: miser of a media, a giant now that's going to 358 00:19:28,400 --> 00:19:31,600 Speaker 2: only put out uh, you know, a single narrative, or 359 00:19:31,640 --> 00:19:34,840 Speaker 2: only put out something that is uh. I mean, they 360 00:19:34,880 --> 00:19:38,959 Speaker 2: they're they they're they're inas much as they now become monolithic, 361 00:19:39,160 --> 00:19:39,840 Speaker 2: they become. 362 00:19:39,680 --> 00:19:42,840 Speaker 3: Vulnerable to a flank to some other startup company. 363 00:19:42,880 --> 00:19:44,600 Speaker 7: You think they care about how they appear now that 364 00:19:44,600 --> 00:19:45,240 Speaker 7: they're that big. 365 00:19:46,320 --> 00:19:50,639 Speaker 2: Yeah, I think they have to, because you know, the 366 00:19:50,720 --> 00:19:51,520 Speaker 2: taste change. 367 00:19:51,880 --> 00:19:53,400 Speaker 3: People flip really quickly. 368 00:19:55,320 --> 00:19:58,399 Speaker 2: You know, they will all stream like the the the 369 00:19:58,440 --> 00:20:01,679 Speaker 2: bandwidth of stream belongs to to everybody. It's not like 370 00:20:01,800 --> 00:20:04,119 Speaker 2: the cable wire that's coming to your house and the 371 00:20:04,119 --> 00:20:07,359 Speaker 2: cable company owns that cable wire, Like like the Wi 372 00:20:07,400 --> 00:20:09,760 Speaker 2: Fi in your house is free to go, so you 373 00:20:10,080 --> 00:20:12,520 Speaker 2: anybody can Wi Fi into your house. I mean anybody, 374 00:20:12,560 --> 00:20:15,320 Speaker 2: a streaming company out of Japan can can stream into 375 00:20:15,359 --> 00:20:17,160 Speaker 2: your house, and all of a sudden, out of nowhere, 376 00:20:18,320 --> 00:20:21,760 Speaker 2: a new startup could become the you know, the biggest, 377 00:20:22,280 --> 00:20:24,479 Speaker 2: the biggest flavor of the month. I mean, I think 378 00:20:24,520 --> 00:20:27,640 Speaker 2: that's the biggest vulnerability to any of these large corporations. 379 00:20:27,640 --> 00:20:31,320 Speaker 2: Now is that out of Nowher'sville? Look, I mean it 380 00:20:31,359 --> 00:20:34,120 Speaker 2: happens in broadcasting at a Nowhere'sville. Somebody with a microphone 381 00:20:34,160 --> 00:20:36,520 Speaker 2: and the laptop can become the most listened to person, 382 00:20:36,920 --> 00:20:40,480 Speaker 2: or the most listened to influencer, or the most listen 383 00:20:40,560 --> 00:20:45,359 Speaker 2: to political opinion shaper or pop culture opinion shaper. So 384 00:20:45,560 --> 00:20:48,359 Speaker 2: we all have to be aware that we're always auditioning. 385 00:20:48,400 --> 00:20:50,920 Speaker 2: And I think even though this is a deal, Netflix 386 00:20:50,960 --> 00:20:54,080 Speaker 2: is still auditioning for the viewer's time and money. 387 00:20:54,240 --> 00:20:57,000 Speaker 7: Well, I take your points, but I think that when 388 00:20:57,040 --> 00:21:00,640 Speaker 7: we're at the point when five, maybe six companies control 389 00:21:00,840 --> 00:21:04,399 Speaker 7: nearly everything we see here and read, we should be 390 00:21:04,440 --> 00:21:06,520 Speaker 7: on the lookout when they merge even further. 391 00:21:08,480 --> 00:21:11,120 Speaker 3: Yeah, I mean, I think that's healthy. I really do. 392 00:21:11,920 --> 00:21:16,920 Speaker 2: I think we'll see. Now, what's the next thing they offer. 393 00:21:16,960 --> 00:21:20,560 Speaker 6: Here's more, Netflix saying it expects to maintain Warner Brothers's 394 00:21:20,760 --> 00:21:25,560 Speaker 6: current operations and build on its strengths, including theatrical releases 395 00:21:25,600 --> 00:21:28,760 Speaker 6: for films. The acquisition will also allow the company to 396 00:21:29,080 --> 00:21:34,199 Speaker 6: significantly expand US production capacity. The companies say they expect 397 00:21:34,200 --> 00:21:36,480 Speaker 6: the deal to close in the next year to year 398 00:21:36,480 --> 00:21:39,639 Speaker 6: and a half. It'll come under regulatory scrutiny. Lily and 399 00:21:39,720 --> 00:21:40,680 Speaker 6: Wu Fox News. 400 00:21:40,760 --> 00:21:44,800 Speaker 3: Yeah, they always say that all the winner of any merger. 401 00:21:44,560 --> 00:21:47,760 Speaker 2: The winner of any acquisition, always says we're keeping everybody 402 00:21:48,080 --> 00:21:52,440 Speaker 2: and the staff, and also we're going to expand. 403 00:21:52,359 --> 00:21:53,200 Speaker 3: All that we're doing. 404 00:21:53,760 --> 00:21:56,240 Speaker 2: And then that goes for like a year, and then 405 00:21:56,119 --> 00:22:00,480 Speaker 2: then the memo comes out that we're discontinuing doing this 406 00:22:00,880 --> 00:22:04,640 Speaker 2: entire division and we're gonna make the current workforce work 407 00:22:04,680 --> 00:22:06,879 Speaker 2: twice as hard to produce the old material. 408 00:22:07,080 --> 00:22:07,240 Speaker 4: Yeah. 409 00:22:07,280 --> 00:22:09,159 Speaker 7: I think we all in this business know people who 410 00:22:09,200 --> 00:22:11,919 Speaker 7: have had that happen to them. I mean, maybe you know, 411 00:22:12,000 --> 00:22:13,399 Speaker 7: just from a fan point of view, we can get 412 00:22:13,440 --> 00:22:15,000 Speaker 7: Batman kick and Harry Potter's ass. 413 00:22:15,080 --> 00:22:19,080 Speaker 3: I don't know, but there's a lot. 414 00:22:19,600 --> 00:22:21,080 Speaker 7: I don't think this is the kind of thing you 415 00:22:21,119 --> 00:22:23,080 Speaker 7: want to rush through because there's just too much at 416 00:22:23,160 --> 00:22:26,280 Speaker 7: stake when you consolidate that much influence and power in 417 00:22:26,320 --> 00:22:30,840 Speaker 7: an entertainment industry that's already ridiculously consolidated. I mean, look 418 00:22:30,840 --> 00:22:33,160 Speaker 7: at the movies and the content that we get right now, 419 00:22:33,480 --> 00:22:36,560 Speaker 7: Look at what doesn't get made anymore, and the kind 420 00:22:36,600 --> 00:22:38,120 Speaker 7: of things that don't get made anymore. 421 00:22:39,280 --> 00:22:41,360 Speaker 2: And I mean I feel like they're just going through 422 00:22:41,359 --> 00:22:43,359 Speaker 2: my comic books when I was a kid and trying 423 00:22:43,400 --> 00:22:43,920 Speaker 2: to come up. 424 00:22:43,840 --> 00:22:45,800 Speaker 3: With a new character and a new storyline. 425 00:22:45,880 --> 00:22:48,439 Speaker 2: I mean, we started with Superman now we're down to 426 00:22:49,160 --> 00:22:51,200 Speaker 2: like comic book characters that I was not. 427 00:22:51,160 --> 00:22:53,160 Speaker 3: Even familiar with when I was a kid. So they're 428 00:22:53,160 --> 00:22:55,280 Speaker 3: really they're searching for material. There's no question. 429 00:22:55,359 --> 00:22:57,880 Speaker 7: I know we had Metamorpho in the last Superman movie, 430 00:22:57,880 --> 00:23:00,320 Speaker 7: and I never I never thought that I would that 431 00:23:00,359 --> 00:23:01,040 Speaker 7: as an adult. 432 00:23:02,800 --> 00:23:06,280 Speaker 2: Lou Penrose on KFI AM six forty Live Everywhere on 433 00:23:06,359 --> 00:23:07,480 Speaker 2: the iHeartRadio app. 434 00:23:08,240 --> 00:23:11,640 Speaker 1: You're listening to KFI AM six forty on demand. 435 00:23:16,200 --> 00:23:19,640 Speaker 2: Blue Penrose, good to be with you on a Friday night, 436 00:23:19,720 --> 00:23:24,080 Speaker 2: talking about this great big merger between Netflix and Well, 437 00:23:24,080 --> 00:23:24,960 Speaker 2: it's not really a merger. 438 00:23:25,000 --> 00:23:28,640 Speaker 3: They purchased Warner Brothers the whole. I was just there 439 00:23:28,680 --> 00:23:29,280 Speaker 3: in Burbank. 440 00:23:29,320 --> 00:23:33,439 Speaker 2: I was at a house farming party of my cousin 441 00:23:34,400 --> 00:23:37,840 Speaker 2: and she's like walking distance from those big studios. 442 00:23:37,840 --> 00:23:39,440 Speaker 3: They're building all content things up there. 443 00:23:39,520 --> 00:23:42,240 Speaker 2: Now they need to take down the Warner Brothers sign 444 00:23:42,280 --> 00:23:45,080 Speaker 2: and put up a Netflix sign because it all belongs 445 00:23:45,119 --> 00:23:46,000 Speaker 2: to Netflix now. 446 00:23:46,080 --> 00:23:51,199 Speaker 6: Netflix beating out Paramount and Comcast to buy Warner Brothers. Discovery, 447 00:23:51,359 --> 00:23:54,400 Speaker 6: the streaming giant, agreeing to buy the Hollywood studio known 448 00:23:54,440 --> 00:23:57,600 Speaker 6: for blockbusters like the Superman films and the Harry Potter 449 00:23:57,680 --> 00:24:01,240 Speaker 6: movies in a deal worth eighty two point seven billion dollars. 450 00:24:01,359 --> 00:24:02,160 Speaker 3: That's a lot of money. 451 00:24:02,320 --> 00:24:06,120 Speaker 2: Question, why do I care what halle Berry thinks, even 452 00:24:06,160 --> 00:24:07,080 Speaker 2: though I agree with her? 453 00:24:07,200 --> 00:24:10,680 Speaker 3: But why should we care? Who cares what halle Berry sink? 454 00:24:10,800 --> 00:24:12,920 Speaker 3: I agree with you and what they say about Netflix 455 00:24:13,440 --> 00:24:18,119 Speaker 3: by maintaining anything is you guys will be home because 456 00:24:18,119 --> 00:24:21,040 Speaker 3: of deals like this. That's what I'm saying. 457 00:24:21,080 --> 00:24:23,800 Speaker 2: I hear you, bro Hey, coming up following the news 458 00:24:23,920 --> 00:24:27,200 Speaker 2: at eight, rents are coming down? 459 00:24:28,000 --> 00:24:34,040 Speaker 3: Can you believe it? Rents are down year over year and. 460 00:24:34,000 --> 00:24:38,800 Speaker 2: In fact, the average national rent is down over five 461 00:24:38,840 --> 00:24:42,199 Speaker 2: percent in the last four years. Now five percent not 462 00:24:42,240 --> 00:24:46,080 Speaker 2: a lot, But it's not what the numbers are. It's 463 00:24:46,200 --> 00:24:50,440 Speaker 2: the direction the numbers are going. And in Los Angeles 464 00:24:50,840 --> 00:24:54,080 Speaker 2: more than fifty percent of our residence. 465 00:24:53,720 --> 00:24:59,520 Speaker 3: Rent, significantly more than fifty percent. 466 00:24:59,560 --> 00:25:01,760 Speaker 2: Actually, now that I'm looking at the latest data, I 467 00:25:01,800 --> 00:25:04,840 Speaker 2: always knew it was over fifty. I remember when it 468 00:25:04,840 --> 00:25:08,200 Speaker 2: it crossed the fifty percent line and I thought, wow, 469 00:25:08,320 --> 00:25:11,840 Speaker 2: it's an expensive way to go. But I know that 470 00:25:11,960 --> 00:25:15,040 Speaker 2: more people are just choosing to rent because they're waiting 471 00:25:15,119 --> 00:25:18,240 Speaker 2: for conditions to change. So it used to be that 472 00:25:18,520 --> 00:25:21,920 Speaker 2: you rented when you left your parents' house. You got 473 00:25:21,960 --> 00:25:25,280 Speaker 2: an apartment and roommates and you rented, and then you 474 00:25:25,720 --> 00:25:29,359 Speaker 2: got your career going, or you got some savings together 475 00:25:29,920 --> 00:25:31,639 Speaker 2: or whatever you were doing. But the goal was not 476 00:25:31,760 --> 00:25:34,640 Speaker 2: to be in an apartment for your entire life, unless 477 00:25:34,680 --> 00:25:39,360 Speaker 2: you know, you're like Jerry and George and Elaine and Kramer, right, 478 00:25:39,520 --> 00:25:41,360 Speaker 2: But that's not the way we live our lives here 479 00:25:41,400 --> 00:25:42,240 Speaker 2: in Los Angeles. 480 00:25:42,440 --> 00:25:44,520 Speaker 3: We don't have great, big apartment buildings. 481 00:25:45,720 --> 00:25:48,159 Speaker 2: And the plan is, like, for the longest time, the 482 00:25:48,200 --> 00:25:51,000 Speaker 2: plan was to eventually buy what we used to call 483 00:25:51,040 --> 00:25:53,639 Speaker 2: a starter house, and then you live in the starter 484 00:25:53,680 --> 00:25:56,000 Speaker 2: house until it's too small and you're losing your mind 485 00:25:56,560 --> 00:25:59,199 Speaker 2: with all your wife's shoes and all the toys. And 486 00:25:59,240 --> 00:26:01,760 Speaker 2: then you buy like house, like the house you grew 487 00:26:01,840 --> 00:26:05,119 Speaker 2: up in, and then you pretty much have that house 488 00:26:05,320 --> 00:26:07,399 Speaker 2: until the kids are out of the house, and then 489 00:26:07,440 --> 00:26:10,840 Speaker 2: you downsize or you move to Arizona. 490 00:26:11,680 --> 00:26:14,520 Speaker 3: Like that's the natural flow of things. And it really 491 00:26:14,680 --> 00:26:16,080 Speaker 3: served a number of purposes. 492 00:26:16,400 --> 00:26:20,680 Speaker 2: Number One, living in an apartment was easy for you, 493 00:26:20,880 --> 00:26:24,080 Speaker 2: and it was supposed to be cheaper for you so 494 00:26:24,119 --> 00:26:27,320 Speaker 2: that you could save money for a down payment. And 495 00:26:27,359 --> 00:26:29,199 Speaker 2: then you go into a starter house and then you 496 00:26:29,280 --> 00:26:32,639 Speaker 2: vacate the apartment, and that's good. That creates vacancies, that 497 00:26:32,680 --> 00:26:36,719 Speaker 2: stabilizes the rent so that the next generation of people 498 00:26:36,800 --> 00:26:39,960 Speaker 2: to leave their parents' house have an apartment to move 499 00:26:40,000 --> 00:26:43,439 Speaker 2: into in and around the same area of town or 500 00:26:43,480 --> 00:26:48,240 Speaker 2: same part of the city or same city. And then 501 00:26:48,440 --> 00:26:51,800 Speaker 2: when you have children or you just accumulate too much 502 00:26:51,840 --> 00:26:54,560 Speaker 2: stuff and you're starting to lose your mind because there's 503 00:26:54,640 --> 00:26:57,359 Speaker 2: nowhere to put anything, you say, we need a bigger house, 504 00:26:57,440 --> 00:26:59,920 Speaker 2: and you go buy a bigger house, and then you 505 00:27:00,240 --> 00:27:04,080 Speaker 2: vacate the starter home. So now that opens up a 506 00:27:04,160 --> 00:27:08,760 Speaker 2: house for somebody that just you know, you and your 507 00:27:08,760 --> 00:27:13,439 Speaker 2: wife want to move into and the dog right, And 508 00:27:13,480 --> 00:27:15,399 Speaker 2: then once the kids are out of the house, you 509 00:27:15,520 --> 00:27:17,919 Speaker 2: sell the house because why do you have a three bedroom, 510 00:27:17,960 --> 00:27:20,400 Speaker 2: four bedroom house with a big backyard in a swing 511 00:27:20,440 --> 00:27:23,040 Speaker 2: set and everybody's in college. So you sell the house 512 00:27:23,760 --> 00:27:27,720 Speaker 2: and get yourself a condo, you know, in senior world, 513 00:27:28,040 --> 00:27:30,320 Speaker 2: or like near a golf course or near the ocean 514 00:27:30,359 --> 00:27:31,200 Speaker 2: or wherever you want to live. 515 00:27:31,320 --> 00:27:33,120 Speaker 3: But you buy it where there's a. 516 00:27:33,080 --> 00:27:34,960 Speaker 2: Maintenance guy that comes and does all the stuff and 517 00:27:35,000 --> 00:27:38,480 Speaker 2: you can go and play play cards like that was 518 00:27:38,520 --> 00:27:42,840 Speaker 2: the trajectory of life, and that's what everybody kind of 519 00:27:42,840 --> 00:27:47,200 Speaker 2: expected and like it worked every time you moved up 520 00:27:47,280 --> 00:27:50,119 Speaker 2: and out, so you opened up an opportunity for somebody 521 00:27:50,160 --> 00:27:52,240 Speaker 2: to move up and in to what you used to 522 00:27:52,240 --> 00:27:56,000 Speaker 2: live in. Now more than every more than half, and 523 00:27:56,119 --> 00:28:01,520 Speaker 2: it's going toward total. Everybody is renting like forever, and 524 00:28:01,840 --> 00:28:05,160 Speaker 2: that changes the conditions and puts all kinds of pressures 525 00:28:05,160 --> 00:28:08,760 Speaker 2: in different places. And the rents have been very, very 526 00:28:08,880 --> 00:28:10,880 Speaker 2: high in Los Angeles and they've just been going. 527 00:28:10,760 --> 00:28:11,440 Speaker 3: Up and up and up. 528 00:28:11,640 --> 00:28:14,760 Speaker 2: So when we have news that the rents are coming down, 529 00:28:16,080 --> 00:28:19,680 Speaker 2: everybody wants to know why. It's certainly not because they're 530 00:28:19,680 --> 00:28:24,000 Speaker 2: building a gazillion apartment buildings or a gazillion houses. We 531 00:28:24,080 --> 00:28:27,760 Speaker 2: can't get one house built where there were houses in 532 00:28:27,800 --> 00:28:31,320 Speaker 2: the Palace days. So this is a difficult area of 533 00:28:31,359 --> 00:28:36,040 Speaker 2: the country because of environmental laws and people that are 534 00:28:36,119 --> 00:28:39,480 Speaker 2: in power that hate houses, or they hate the fact 535 00:28:39,520 --> 00:28:42,959 Speaker 2: that you have driveways. There are people in Sacramento that 536 00:28:43,040 --> 00:28:45,080 Speaker 2: don't want you to have a backyard. They think that's 537 00:28:45,200 --> 00:28:49,840 Speaker 2: terrible that you have a backyard. That's so you know, entitled. 538 00:28:50,080 --> 00:28:54,960 Speaker 2: I mean that you wouldn't believe the different philosophies up 539 00:28:55,040 --> 00:28:58,080 Speaker 2: in Sacramento that circle eron, and not just Sacramento, also 540 00:28:58,480 --> 00:29:00,800 Speaker 2: at your county boarder supervisors and some of the cities 541 00:29:00,920 --> 00:29:05,239 Speaker 2: that circle around. People like having a normal house, so 542 00:29:05,280 --> 00:29:10,920 Speaker 2: they're pressures and where those pressures. 543 00:29:09,840 --> 00:29:11,720 Speaker 3: Meet, nothing happens. 544 00:29:11,800 --> 00:29:14,080 Speaker 2: So nothing has happened, so there hasn't been a huge 545 00:29:14,080 --> 00:29:17,920 Speaker 2: increase in supply. So the only other part of that 546 00:29:17,960 --> 00:29:24,400 Speaker 2: equation is demand. And people are leaving Southern California for sure, 547 00:29:24,920 --> 00:29:27,640 Speaker 2: but they've been leaving Southern California for a while. 548 00:29:27,760 --> 00:29:30,840 Speaker 3: And we've not seen rents come down so quickly. 549 00:29:31,200 --> 00:29:36,240 Speaker 2: So the only other variable there is. 550 00:29:35,080 --> 00:29:35,640 Speaker 4: Is this. 551 00:29:36,960 --> 00:29:42,800 Speaker 2: Two million illegal aliens have been deported in just over 552 00:29:43,280 --> 00:29:44,320 Speaker 2: three hundred days. 553 00:29:45,120 --> 00:29:47,080 Speaker 3: Two million. Now. 554 00:29:47,120 --> 00:29:48,600 Speaker 2: Some of them have been thrown in the back of 555 00:29:48,680 --> 00:29:51,640 Speaker 2: the ice van and some of them said, wow, you 556 00:29:51,680 --> 00:29:53,600 Speaker 2: know what this president is serious. 557 00:29:54,200 --> 00:29:56,000 Speaker 3: I'm going to pack my crap. I'm going to have 558 00:29:56,040 --> 00:29:57,320 Speaker 3: my sister in law sell the truck. 559 00:29:57,840 --> 00:29:59,920 Speaker 2: I'm going to take that deal that they're talking about, 560 00:30:00,120 --> 00:30:04,520 Speaker 2: uh free plane ticket and a thousand dollars cash, and 561 00:30:04,560 --> 00:30:06,560 Speaker 2: I'm gonna head back home to go out Amala City, 562 00:30:06,720 --> 00:30:08,840 Speaker 2: and I'm gonna wait. I'm gonna wait it out until 563 00:30:08,840 --> 00:30:12,360 Speaker 2: the smoke clears or until President Trump is gone. I'm 564 00:30:12,440 --> 00:30:17,760 Speaker 2: just out of here, like hundreds of thousands foreigners that 565 00:30:17,800 --> 00:30:20,640 Speaker 2: were legally here in Los Angeles to say they made 566 00:30:20,680 --> 00:30:23,760 Speaker 2: the decision that they're done. 567 00:30:23,960 --> 00:30:25,560 Speaker 3: They're headed for San Salvador. 568 00:30:25,640 --> 00:30:28,400 Speaker 2: And by the way, it's one thousand dollars US dollars 569 00:30:28,680 --> 00:30:32,920 Speaker 2: that goes far in Guatemala, so a lot of them 570 00:30:32,920 --> 00:30:36,440 Speaker 2: have done that. And that's really the only remaining variable 571 00:30:36,680 --> 00:30:43,280 Speaker 2: is that President Trump's illegal immigration crackdown is causing everybody 572 00:30:43,480 --> 00:30:50,000 Speaker 2: to leave, and they are vacating market rate housing and 573 00:30:50,160 --> 00:30:54,320 Speaker 2: that's causing vacancies, and where there are vacancies, you see 574 00:30:54,360 --> 00:31:00,239 Speaker 2: rents coming down. So this is a good thing and 575 00:31:00,280 --> 00:31:05,160 Speaker 2: we'll talk about it coming up. Following the news at 576 00:31:06,120 --> 00:31:08,120 Speaker 2: eight o'cli. I'm looking at the monitors here. This thing 577 00:31:08,160 --> 00:31:10,720 Speaker 2: in San Diego is still going on. It was going 578 00:31:10,720 --> 00:31:15,040 Speaker 2: on at twelve thirty this afternoon. There is a person 579 00:31:15,320 --> 00:31:20,120 Speaker 2: that is on the overpass and del Mar and they 580 00:31:20,440 --> 00:31:24,840 Speaker 2: the hostage negotiate, well not hostage, the suicide negotiators, I guess, 581 00:31:25,560 --> 00:31:28,480 Speaker 2: have been talking to him since twelve thirty and they 582 00:31:28,600 --> 00:31:31,800 Speaker 2: literally have not moved traffic through there. And this is 583 00:31:31,880 --> 00:31:34,120 Speaker 2: still going on and now it's dark and I don't 584 00:31:34,160 --> 00:31:35,440 Speaker 2: know how they're going to get this guy down, but 585 00:31:35,480 --> 00:31:38,520 Speaker 2: it is time to get out the great Big trampoline. 586 00:31:39,320 --> 00:31:42,680 Speaker 2: Lou Penrose on KFI AM six forty Live everywhere, on 587 00:31:42,760 --> 00:31:43,480 Speaker 2: the iHeartRadio 588 00:31:43,480 --> 00:31:46,880 Speaker 1: App, KFI AM six forty on demand