WEBVTT - Marc Benioff Talks AI Regulation

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news. No, let's hood over

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<v Speaker 1>two doubles where Bloomberg's Emily Chang is stunning.

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<v Speaker 2>My Emily, Fawnie, thank you so much. I'm here in

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<v Speaker 2>Davos with Mark Benioff, CEO and share and founder of

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<v Speaker 2>course of Salesforce. Good to be with you in another country.

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<v Speaker 1>You, Emily, Aloha aloha from the slow or the Comma

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<v Speaker 1>of Davos.

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<v Speaker 2>All right, so this is my first Davos. This is

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<v Speaker 2>your twenty fourth, right, Davos.

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<v Speaker 1>What's it like being a nice Hawaiian girl here in Davos.

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<v Speaker 2>No, it's chili, but I'm liking the vibes. What's the

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<v Speaker 2>mood this year? Are people anxious? Are they optimistic? Or

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<v Speaker 2>are they confused about the future.

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<v Speaker 1>Well, it's an exciting moment, There's no question. This is

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<v Speaker 1>just an unbelievable amount of change. And I think when

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<v Speaker 1>there's this much change and this much excitement, people are

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<v Speaker 1>a little frenetic. And I think that, you know, some

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<v Speaker 1>times Davos is like a measurement of the economy. That's

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<v Speaker 1>not what's going on. Well, is the economy good? Is

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<v Speaker 1>it bad? How are people feeling about the economy? More.

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<v Speaker 1>This is more like, well, what's happening exactly in the world,

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<v Speaker 1>because you have the AI situation, you have the political situation,

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<v Speaker 1>You've got you know, these very broad shifts, and I

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<v Speaker 1>think that is what's really happening here. There's a lot

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<v Speaker 1>of discussion. And you know, Davos was built on the

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<v Speaker 1>concept of a multi stakeholder dialogue, the idea that we

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<v Speaker 1>bring in lots of different kinds of people political leaders,

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<v Speaker 1>business leaders, spiritual leaders, cultural leaders and have a conversation.

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<v Speaker 1>And this year's Davos is about the spirit of dialogue

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<v Speaker 1>and that is playing out in spades.

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<v Speaker 2>Well, talking about that spirit, we're waiting for President Trump

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<v Speaker 2>to arrive. You've said you want you want to see

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<v Speaker 2>him prioritize US businesses. What does that mean?

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<v Speaker 1>Well, I think the number one thing is, you know,

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<v Speaker 1>for the US president is as he is doing his

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<v Speaker 1>job all over the world, he needs to support you

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<v Speaker 1>businesses and make them successful. And I was with Macron

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<v Speaker 1>yesterday and his job is to make French businesses successful.

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<v Speaker 1>And there's no different you know, that's the role of

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<v Speaker 1>the nation state leader is to help the people of

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<v Speaker 1>their state. And so I have a lot of respect

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<v Speaker 1>for President Trump and how he always supports the businesses

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<v Speaker 1>of the United States.

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<v Speaker 2>So you're using Davos sort of as a live demo

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<v Speaker 2>for some of Salesforce's new digital labor tools. You know,

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<v Speaker 2>I know you were prepping on slack bot, but a

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<v Speaker 2>lot of AI customers are saying, supposed.

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<v Speaker 1>To give away my secrets. Believe that's not right.

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<v Speaker 2>I don't think that's too big a secret, but a

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<v Speaker 2>lot of customers are saying they're sort of stuck in

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<v Speaker 2>AI pilot purgatory, like they're not They're trying stuff, but

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<v Speaker 2>it's just not working.

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<v Speaker 1>Fortunate because there is so much that you can do

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<v Speaker 1>right now in AI. Unfortunately, there's so many false narratives.

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<v Speaker 1>So I think because so many companies and pundits have

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<v Speaker 1>said things that are not true, it kind of freezes

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<v Speaker 1>certain customers and they don't know who to believe. So

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<v Speaker 1>that's why, like we were talking before we went on

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<v Speaker 1>that ramone is here the Sea of Pepsi. You know,

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<v Speaker 1>it's a new generation, and he just deployed one hundred

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<v Speaker 1>and twenty five thousand of his salespeople, one hundred and

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<v Speaker 1>twenty five thousand, supporting millions of businesses, a lot of

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<v Speaker 1>small and medium businesses all over the world. Is sell

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<v Speaker 1>pepsi using new AI generation tools that we've built for him.

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<v Speaker 1>Really only took us a few months and they're getting

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<v Speaker 1>fantastic results. And that all started actually last year. I

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<v Speaker 1>saw ramone and he once said I'm ready to get

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<v Speaker 1>a new level of efficacy in pepsi. And another Baraj

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<v Speaker 1>is here from FedEx, the CEO of fed X. We

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<v Speaker 1>just finished with him. He was a year ago saying

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<v Speaker 1>I've got trouble selling internationally. We identified all of his

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<v Speaker 1>domestic customers that when they start to work with his salespeople,

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<v Speaker 1>his website and they haven't done international. Now we surfaced

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<v Speaker 1>them as an opportunity for international. It's generated hundreds of

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<v Speaker 1>millions of dollars for Fedexso there is great opportunities right

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<v Speaker 1>now to deploy AI. And look, that's our job. Our

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<v Speaker 1>job is to sell it, to convince, show the use cases,

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<v Speaker 1>make people excited about it, and that's what we're doing here.

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<v Speaker 1>We will meet with more than five hundred CEOs one

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<v Speaker 1>on one here.

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<v Speaker 2>You know, you obviously have also taken on a sort

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<v Speaker 2>of you know, a policy bent. You recently apologized for

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<v Speaker 2>endorsing President Trump, sending the National Guard to San Francisco.

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<v Speaker 2>How will you what did you learn from that moment,

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<v Speaker 2>and how will you continue to reconcile the sort of

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<v Speaker 2>Salesforce Ohana values with the administration's policies, whether it's ice

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<v Speaker 2>raids in Minneapolis or taking over Greenland.

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<v Speaker 1>That's such a great question, you know, Emily. The way

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<v Speaker 1>I look at it, and I think that this is

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<v Speaker 1>probably the right way to look at it is I've

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<v Speaker 1>been doing this for twenty six years now. Salesforce, amazingly

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<v Speaker 1>is twenty six years old, eighty thousand employees, will do

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<v Speaker 1>more than forty one billion in revenue this year. Presidents

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<v Speaker 1>are constantly changing, but our core values are not changing,

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<v Speaker 1>and so we're just anchored down into our core values

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<v Speaker 1>and then we just speak to that and what we're

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<v Speaker 1>trying to achieve as a business, to reflect back into

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<v Speaker 1>our customers and our communities what those values are. As

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<v Speaker 1>you know, in San Francisco, where we are the largest

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<v Speaker 1>tech company, there have been a lot of challenges, and

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<v Speaker 1>so yeah, I always have anxiety about safety for our employees,

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<v Speaker 1>and I think that that anxiety just manifests into how

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<v Speaker 1>can we create a greater San Francisco? And so I'm

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<v Speaker 1>excited to be working with everyone from Mayor Lurry to

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<v Speaker 1>President Trump to do that.

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<v Speaker 2>You're really focused on AI and especially it's impact on teams,

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<v Speaker 2>and you've been sort of raising the alarm about AI

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<v Speaker 2>influencing team suicides, which is, you know, it's horrible that

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<v Speaker 2>we even have to talk about this. You've called them

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<v Speaker 2>suicide coaches. Like, what should companies be doing about this?

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<v Speaker 1>Well, I think we should talk about that. We are

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<v Speaker 1>dealing with a new kind of very unwieldy technology which

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<v Speaker 1>by left by itself, these large language models, they can

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<v Speaker 1>do all kinds of terrible things. I mean, they can

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<v Speaker 1>do a lot of great things too. You've used them,

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<v Speaker 1>you know, they can summarize things, and you can ask

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<v Speaker 1>them queries and you can get information. But unfortunately, we

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<v Speaker 1>saw this year this horrible example or this company character

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<v Speaker 1>AI specifically started to find that their product was turning

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<v Speaker 1>into a suicide coach for their customers. And one of

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<v Speaker 1>the most horrific things I've ever seen in technology is

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<v Speaker 1>these children, you know, died and it was completely unnecessary,

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<v Speaker 1>and I think it needs to be a wake up

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<v Speaker 1>call that you know, we're letting all of this AI

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<v Speaker 1>technology out fully unregulated. And by the way, you remember

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<v Speaker 1>that's true what we did with social media as well.

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<v Speaker 1>And you probably remember what I said in twenty eighteen here,

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<v Speaker 1>you know, which was social media was becoming the same

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<v Speaker 1>kind of very dangerous technology. And look, a lot of

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<v Speaker 1>governments have made changes around social media now, so you

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<v Speaker 1>go to a lot of countries, if you're not seventeen

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<v Speaker 1>eighteen years old, you're not going to use social media.

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<v Speaker 1>They're our controls or our protections. We need to get

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<v Speaker 1>there with AI now. There doesn't need to be any

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<v Speaker 1>more deaths. You know, we need to be like taking

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<v Speaker 1>this seriously. And AI is great, it's incredible, but these models,

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<v Speaker 1>you know, they're inaccurate, they hallucinate, they're kind of hard

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<v Speaker 1>to control.

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<v Speaker 2>So what should we do? I mean, should CEOs be

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<v Speaker 2>held personally liable? Should I was talking to Demis Hassibus,

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<v Speaker 2>the CEO of Google Deep Mind, and he I asked, look,

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<v Speaker 2>if we knew every company in every country would pause,

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<v Speaker 2>should we pause AI so society and regulation can catch up?

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<v Speaker 2>And he said yes, he would be in favor of that.

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<v Speaker 2>Would you be in favor?

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<v Speaker 1>Emily? Number one? Tech hates regulation? You know that they

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<v Speaker 1>hate it, right? They get people on, oh, it slows

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<v Speaker 1>down innovation. They hate regulation, they hate it, they hate it,

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<v Speaker 1>they hate it except one regulation they love, Section two thirty,

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<v Speaker 1>which basically says they're not held responsible or accountable for

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<v Speaker 1>these deaths or for anything that their social media or

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<v Speaker 1>their AI does. And that needs to change because here

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<v Speaker 1>at Bloomberg, if you say something, you're held accountable, and

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<v Speaker 1>you know, I own time, and if we say something,

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<v Speaker 1>we're held accountable. But these companies are not held accountable

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<v Speaker 1>because of a very specific federal regulation called section two thirty.

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<v Speaker 1>It needs to be reshaped, reformed, you know, basically restructured

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<v Speaker 1>to really reflect social media and AI and the dangers

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<v Speaker 1>that we see. And that is something that we should

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<v Speaker 1>all be pushing for that these these companies need to

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<v Speaker 1>be held accountable, and right now they're not going to

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<v Speaker 1>be held accountable because of this regulation.

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<v Speaker 2>And right and like what regulation is the right regulation?

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<v Speaker 2>Like California try to regulate. David Sax has his own version.

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<v Speaker 2>I know you've you've just chatted with him, like is

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<v Speaker 2>there any regulation?

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<v Speaker 1>Well, I'm going to have a one on one conversation

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<v Speaker 1>with David is a close friend of mine later today.

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<v Speaker 1>I hope you tune in and we're going to talk

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<v Speaker 1>about that because, look, I think social media kind of

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<v Speaker 1>is almost like a best practice that we can learn

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<v Speaker 1>from that if we look around the world, you'll see

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<v Speaker 1>that a lot of countries, not necessarily ours, but a

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<v Speaker 1>lot of countries have made really good changes, and we

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<v Speaker 1>could make those changes to because you know, it's kind

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<v Speaker 1>of funny. I'm like a large language model myself. You know,

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<v Speaker 1>I feel like I'm putting one word together, but I

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<v Speaker 1>have context. I have a life. I was born, I

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<v Speaker 1>have a childhood, I have friends, hopefully you're one of them.

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<v Speaker 1>And you know, I have a creator. I have a

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<v Speaker 1>higher power than I'm connected to. These large language models.

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<v Speaker 1>They're running by themselves. They don't they were not born,

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<v Speaker 1>they don't have a childhood, they don't have context, they're

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<v Speaker 1>not connected to a creator, so that they're running kind

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<v Speaker 1>of in a different way. And then all of a sudden,

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<v Speaker 1>it feels very familiar. It feels like, oh, this is

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<v Speaker 1>my friend. It's not your friend. So we need to

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<v Speaker 1>like step in now and look, we can kind of

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<v Speaker 1>see where it's going. It's not completely out of control.

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<v Speaker 1>So now is the moment. And I think people like

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<v Speaker 1>you and others should be aggressive about this.

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<v Speaker 2>Last quick question and it feels almost going to the stock.

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<v Speaker 2>But you know, you're trying to build your company on

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<v Speaker 2>this new emerging technology. Wall Street's really down on software.

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<v Speaker 2>Wall Streets salesforce is taking salesforce stock taking a beating,

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<v Speaker 2>you know quickly what I mean what needs to happen.

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<v Speaker 1>For twenty six years and every now and then the

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<v Speaker 1>software sector kind of falls out of favor. It doesn't

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<v Speaker 1>mean our financials are out of favor. I mean we'll

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<v Speaker 1>do more than forty one billion in revenue this year,

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<v Speaker 1>more than fifteen billion in cash flow our margins or

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<v Speaker 1>more than thirty four percent all record numbers, by the way,

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<v Speaker 1>and we just introduced an amazing new version of Slack.

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<v Speaker 1>You know that with slack Bot, the new AI enabled

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<v Speaker 1>Slack that have the context and the AI built in.

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<v Speaker 1>We have Agent Force helping our customers deliver customer agents.

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<v Speaker 1>So we do employee agents and customer agents. We've rebuilt

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<v Speaker 1>our architecture to have a data layer and application layer,

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<v Speaker 1>the agent force layer, and then these agents that sit

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<v Speaker 1>on the top and the ecosystem. That's been a lot

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<v Speaker 1>of work in the last three years, selling a lot

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<v Speaker 1>of huge deals. But you know, you sometimes have to

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<v Speaker 1>wait around for Wall Street to realize, well, this is

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<v Speaker 1>a huge opportunity and we're just going to keep executing that.

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<v Speaker 2>Yes or no? Are you at one billion yet? One

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<v Speaker 2>billion agents?

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<v Speaker 1>I think we're beyond that. I haven't actually counted them all,

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<v Speaker 1>but you know we're here's the way to think about it.

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<v Speaker 1>We now just passed and I think we're number one

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<v Speaker 1>or number two enterprise software company, or maybe software company

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<v Speaker 1>overall in the use of tokens. You know, tokens are

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<v Speaker 1>what these models generate to generate their intelligence. We just

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<v Speaker 1>passed eleven point one trillion tokens. And you remember we

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<v Speaker 1>talked after our earnings and we were about three trillion tokens.

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<v Speaker 1>And that idea that as an enterprise software company, we're

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<v Speaker 1>publicly reporting and talking about the number of tokens. And

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<v Speaker 1>I know all of those people, you know who love

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<v Speaker 1>Bilbo Baggins are wondering if that's the tokens. It's different tokens.

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<v Speaker 2>All right, Mark, next time, we'll have to do this

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<v Speaker 2>in Hawaii. Thank you, Yes, thank you. Okay, I'm good,

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<v Speaker 2>I'm surviving.

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<v Speaker 1>Thank you, it's a beautiful day. Thank you for joining

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<v Speaker 1>us next time it's Waikiki Beach, let's do that.

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<v Speaker 2>Absolutely, Mark Benioff's CEO of Salesforce,