Speaker 1: From Mahart where Innovation, Money and power collie in Silicon
Speaker 1: Valley NBN. This is Bloomberg Technology with Caroline Hyde and
Speaker 1: Ed Ludlove.
Speaker 2: Live from New York and San Francisco.
Speaker 3: This is Bloomberg Technology coming up Microsoft and Meta results
Speaker 3: drag the market lower. We'll take a deep dive into
Speaker 3: how the AI story is playing out for them.
Speaker 4: And door dash posts its first operating profit since the
Speaker 4: pandemic as it grows outside restaurant deliveries.
Speaker 1: We speak to the CFO.
Speaker 3: And we will sit down with Graylock partner and LinkedIn
Speaker 3: co founder Reed Hoffman to discuss the impact of the
Speaker 3: election on Silicon Valley. But first we check in on
Speaker 3: these markets that are to the downside the NASDAC as
Speaker 3: I shine a light off by more than two percent
Speaker 3: of this is as the earnings come thick, come fast,
Speaker 3: and Ed's going to be describing some of the key
Speaker 3: point contributors to the downside. But I highlight Uber, one
Speaker 3: of the latest ones out this morning, down the most
Speaker 3: in two years.
Speaker 2: Why gross bookings just not as high as market had
Speaker 2: wanted to see.
Speaker 3: We're seeing forty one billion dollars for their quarter just reported,
Speaker 3: but the market wanted to see higher and they wanted
Speaker 3: a better forecast as well. Is it being crimped back
Speaker 3: by perhaps a slightly slower growth in the United States.
Speaker 2: We're seeing California and.
Speaker 3: New Jersey perhaps pushed back a little bit by the
Speaker 3: cost of insurance, for example. But also there's an FX
Speaker 3: headwind that's happening even though we saw record operating profit
Speaker 3: eds so uber to the downside.
Speaker 2: What else are you watching on the micro.
Speaker 4: Basis, Yeah, emphasis on forecast when it comes to the
Speaker 4: megacaps and members of the mag seven that reported Meta
Speaker 4: narrowly beaten the quarter gone on the advertising business, but
Speaker 4: it's warning of greater losses in reality labs as it
Speaker 4: continues to invest in AI and capital expenditures growth into
Speaker 4: twenty twenty five. Microsoft is similar story. In fact, the
Speaker 4: stocks down by the most or on track to be
Speaker 4: dropped by the most since October of twenty twenty two,
Speaker 4: as your growth in the next three month period will
Speaker 4: be thirty one to thirty two percent, but that's a
Speaker 4: declined sequentially from the thirty four percent in the court
Speaker 4: of just Gone. Unbelievably, they're saying that their supply constrained
Speaker 4: or capacity constrained on the data center side.
Speaker 2: In other words, they.
Speaker 4: Don't have the compute capacity needed to meet the demand
Speaker 4: that's out there for AI, which is like a really
Speaker 4: fascinating predicatiment to be in there. But also record spending
Speaker 4: right in the course just gone. The themes are quite consistent.
Speaker 3: Carroc, the themes are and so is the movement across
Speaker 3: most of the market. Let's bring in bloomberg'sjes menton who
Speaker 3: helps really focus in on a drag lower for the
Speaker 3: NASDAC and all eyes really have been on AI capacity
Speaker 3: and AI spending.
Speaker 5: That's right, and especially with Microsoft because they've ramped up
Speaker 5: so much spinning, and especially I know you cover the
Speaker 5: data center's focused as well, because that's not.
Speaker 2: Something typically a company.
Speaker 5: Like Microsoft would have done, say before twenty twenty, but
Speaker 5: especially especially if you think about the utility stocks have
Speaker 5: been taken off those types of tie to the data
Speaker 5: center biness. But that's really where it is when you're
Speaker 5: thinking about the CAPEC spending, not just for Microsoft, when
Speaker 5: it comes to these other companies too, because even say
Speaker 5: if you're looking over at Meta Mark Zuckerberg made it
Speaker 5: clear they're still going to keep up that spending for
Speaker 5: AI even though you're starting to see that is quite
Speaker 5: of a boost there too when it comes to sales
Speaker 5: tied to those types of AI losses there, but also
Speaker 5: when you're thinking about we still have in a video
Speaker 5: coming up for it's still a few weeks away, so
Speaker 5: it's November twentieth, but when you think about its core
Speaker 5: key clients here when it comes to AI spending and
Speaker 5: what it means, I mean, they're all reporting this week,
Speaker 5: so we already heard from Alphabet, obviously, we had Microsoft
Speaker 5: and of course Meta, and then we'll have Amazon after
Speaker 5: the bell. But with them raping up spending, that obviously
Speaker 5: is going to boilde well for Nvidia, and when you
Speaker 5: think about nearly half of its revenue growth when it
Speaker 5: comes to those types of addison.
Speaker 4: Yes, let me jump in here.
Speaker 5: Though.
Speaker 4: Really interesting, we're showing in videos down four percent or
Speaker 4: more than right in video right And what's so interesting
Speaker 4: is that second biggest points drag on the Nasdaq one
Speaker 4: hundred and maybe the logic here is that Microsoft one
Speaker 4: of the biggest buyers of invidious chips along with Meta,
Speaker 4: their growth outlooks are disappointing. So even though they're both
Speaker 4: saying we are committed to spending on AI if they
Speaker 4: can't sustain the growth that investors want to see in
Speaker 4: response to that, maybe those plans change. I just think
Speaker 4: that's so interesting to see that name down significantly despite
Speaker 4: its biggest customers saying yeah, we're going to spend money
Speaker 4: on them, no worries.
Speaker 5: Well, a lot of that also has to do because
Speaker 5: the lingering concerns about the black wall chips, and especially
Speaker 5: when you think of product delays and it's long term
Speaker 5: growth prospects. So a lot of that really is tied
Speaker 5: there to your point as far as what that means
Speaker 5: and as far as how long can some of these
Speaker 5: companies continue to ramp up that spending because we normally
Speaker 5: haven't seen that, Like I mentioned, when it comes to something.
Speaker 4: Like Microsoft astonishing gains going into earnings. It's an amazing
Speaker 4: and interesting market session, and we have Bloomberg's Jesmentum, we're
Speaker 4: grateful for it. Thank you. Let's get the cell side
Speaker 4: reaction and bring in Sweater Cajuria, Managing director for Global
Speaker 4: Internet at Wolf Research, And I think we've got to
Speaker 4: start with Meta. It's a really interesting company to understand
Speaker 4: because beaten, the care to gone, the social media advertising
Speaker 4: supported business reality labs will see greater losses. Capital expenditures
Speaker 4: will continue to grow. I've got a really big sense
Speaker 4: of deja vu. I don't know about you, Schweta, but
Speaker 4: what was your takeaway from that?
Speaker 6: Yeah, well, first of all, thanks for having me ed,
Speaker 6: it's good to be here. My takeaway was that there
Speaker 6: are a lot of good things that are going on
Speaker 6: for Meta and if we think about at a high level, yes,
Speaker 6: on the negative side, gapex remains unclear. They'll probably spend
Speaker 6: maybe fifty to sixty billion dollars in gapex next year.
Speaker 6: We'll see when they guide, but that's a pretty big number.
Speaker 6: And the losses in reality labs, certainly to your point,
Speaker 6: is a concern. But on the flip side, what they
Speaker 6: are doing in terms of how they are leveraging LAMA,
Speaker 6: which I believe is a stroke of genius on their
Speaker 6: part to their own advantage, is amazing. Especially as we
Speaker 6: think about engagement and monetization. Video recommendations alone are driving
Speaker 6: mid to high single dige percentage growth on time spent
Speaker 6: impression growths are highcing gole digit pricing is improving eleven
Speaker 6: percent for them and so and METAAI already has five
Speaker 6: hundred million mus and so the engagement on the platform
Speaker 6: is remarkable, and what they are trying to do is
Speaker 6: continue to be able to monetize on a go forward basis.
Speaker 6: So we expect their revenue growth to be sustained that
Speaker 6: you know, call it mid team's growth rate even at
Speaker 6: current levels. And they are probably one of the biggest
Speaker 6: beneficiaries of deploying AI for their own advantage.
Speaker 3: I mean, not half a billion monthly active use as
Speaker 3: a metter AI was arresting, but what arrested the market
Speaker 3: was the twenty twenty five promise to spend.
Speaker 2: Just take a listen to what Mark Zuckerbag said on
Speaker 2: the core.
Speaker 7: First, it's clear that there are a lot of new
Speaker 7: opportunities to use new AI advances to accelerate our core
Speaker 7: business that should have strong ROI over the next few years.
Speaker 7: So I think we should invest more there. And second
Speaker 7: are AI and continue to require serious infrastructure, and I
Speaker 7: expect to continue investing significantly there too.
Speaker 3: So in your note Shretter, you talk about the new opportunities,
Speaker 3: the new revenue avenues that we're going to see. What
Speaker 3: are they articulate that for the market.
Speaker 6: Sure, well, in the nearer mid term it is leveraging
Speaker 6: these AI, the AI models and LAMA to their own
Speaker 6: advantage around engagement and monetizations, so they are making their
Speaker 6: recommendations better. An example would be unified videos. They're making
Speaker 6: a full screen video on their platforms across their apps,
Speaker 6: and that's going to drive engagement because it's live videos,
Speaker 6: short form videos, differentiated videos, all on one platform on
Speaker 6: a full screen, and that itself has opportunity to increase
Speaker 6: supply in terms of ad impressions in that format. In
Speaker 6: addition to that, they're using AI to make those recommendations
Speaker 6: more targeted and they have not really untapped that opportunity
Speaker 6: as much advantage, which plus is what grew their growth
Speaker 6: in twenty twenty four. In twenty twenty five is most
Speaker 6: likely going to be video recommendation platform and their video
Speaker 6: feed That will probably drive their advertising growth in the
Speaker 6: mid to long term. There are several other revenue sources
Speaker 6: that they never had before. For example, business to business
Speaker 6: messaging on WhatsApp that's probably two years out, but they're
Speaker 6: already monetizing that, and then beyond two years Meta AI
Speaker 6: in terms of adding advertising to their search feeds on
Speaker 6: Meta ai in addition to subscription. Just like Chad GPT
Speaker 6: or Gemini are completely new revenue sources for them.
Speaker 4: And they continue to see early surprise success with ray
Speaker 4: van Metas the Glasses and Swetter. You do not cover Microsoft,
Speaker 4: but you do follow Alphabet, the parent of Google and
Speaker 4: Amazon that reports after the bell and in the context
Speaker 4: of cloud, I look at what Alphabet said and last
Speaker 4: night Microsoft both seeming to suggest that the number three
Speaker 4: and two players took market share from Aws, Amazon the
Speaker 4: number one player. Do you go into Amazon's earning tonight
Speaker 4: with that analysis as well?
Speaker 6: Absolutely, I mean the top three players in the market
Speaker 6: are Amazon's AWS, Azure and Google Cloud. What we also
Speaker 6: saw with Google Cloud because I do cover it is
Speaker 6: thirty five percent cloud growth rate and in part driven
Speaker 6: by them not only gaining share, but also part of
Speaker 6: expanding markettam, which is their AI services and products are
Speaker 6: really driving that growth. If we look at their ten
Speaker 6: Q and the backlog, the demand rends that they're seeing
Speaker 6: are pretty amazing. So going into Amazon's print, our expectation
Speaker 6: is that Amazon's AWS Cloud revenue likely grew twenty to
Speaker 6: twenty one percent, and the streets looking for nineteen percent
Speaker 6: growth rate. That's our expectation and we expect that to
Speaker 6: accelerate in the fourth quarter.
Speaker 3: You have an outperform writing on Amazon allies in that
Speaker 3: after the ball Schwartzek.
Speaker 2: Great to have you of Wolf Research coming up.
Speaker 3: DoorDash remarks a major milestone since launching its IPO. The
Speaker 3: CFO Rabi Uconda joins us. Next, this is Blueberg Technology
Speaker 3: Time now for talking tech. First up, It's official the
Speaker 3: EU is investigating e commerce platform Temu for potentially violating
Speaker 3: the Digital Services Act. Now, the commission suspects that the
Speaker 3: company is not doing enough to combat sales of illegal
Speaker 3: products on its site.
Speaker 2: Meanwhile, Elon Musk.
Speaker 3: Was sued by the Philip Philadelphia District Attorney of his
Speaker 3: political action committees one million a day sweepstakes targeting swing
Speaker 3: state voters. Now the DA is asking a state court
Speaker 3: to stop Musk from engaging in what it calls an
Speaker 3: unlawful lottery. And Pelton has tapped Ford executive Peter Stern
Speaker 3: as its new CEO. The fitness brand has struggled to
Speaker 3: lose profitability since the pandemic. Ford Hardston last year to
Speaker 3: run a newly created technology focused division of the automaker
Speaker 3: ed Okay.
Speaker 4: Door Dash has topped Wall Street expectations in nearly every
Speaker 4: key metric. This earning season seeing its first quarterly operating
Speaker 4: profit since the start of the pandemic, generating one hundred
Speaker 4: and seven million dollars in operating income. And really it's
Speaker 4: a story about an app or platform that's shifted from
Speaker 4: restaurant deliveries to so much moreh CFO Rave in a
Speaker 4: Conda is with us here in San Francisco. Let's just
Speaker 4: focus on the future. So that was the story, right,
Speaker 4: that what's happening is success in other business lines. But
Speaker 4: so many interested about this long term future of door Dash.
Speaker 4: You hinted there would be long term investments in new areas.
Speaker 1: What are they sure?
Speaker 8: We started our business with the restaurants as the core focus,
Speaker 8: but today we are so much more than restaurants. Consumers
Speaker 8: have it an all time high. More consumers are ordering
Speaker 8: from more categories. It's grocery, its retail, it's Halloween costumes.
Speaker 8: We are partnering with every single store in your local neighborhood.
Speaker 8: Our goal is to be your local neighborhood superstore.
Speaker 4: Which areas are the most profitable potentially business lines for
Speaker 4: the app.
Speaker 8: The overall business has been gap profitable now for the
Speaker 8: first time as a public company. The way we think
Speaker 8: about it is we are trying to build scale in
Speaker 8: our business. Scale is the most important thing because scale
Speaker 8: drives efficiency, which ultimately drives profitability in the business. If
Speaker 8: you look at our restaurants business that has been profitable
Speaker 8: for a few years, we're taking the profitability and building
Speaker 8: our new categories business as well as our international business.
Speaker 3: Let's just talk about international because you made acquisitions there
Speaker 3: and I'm interested as to how the consumers stack up
Speaker 3: US versus international consumer.
Speaker 8: Right now, RABI International is seeing very good and strong growth.
Speaker 8: The growth has been substantially faster than peers. We're gaining
Speaker 8: share virtually in every country that we operate in. All
Speaker 8: of that is being driven by the underlying product innovation.
Speaker 8: Users are growing, order frequencies growing. We launched World Plus,
Speaker 8: our subscription program in international markets, and that's off to
Speaker 8: our flying start.
Speaker 2: What's interesting is.
Speaker 3: You're doing partnerships here in the US.
Speaker 2: It is with lift.
Speaker 3: How integral is that sort of a partnership for growing
Speaker 3: your user base, which, of course your CEO is saying,
Speaker 3: you're still only a single digit fraction of the overall
Speaker 3: restaurant industry.
Speaker 8: We're excited by the partnership with Lyft. We think it's
Speaker 8: an opportunity for us to make dash Pass even more valuable.
Speaker 8: We have over eighteen million plus subscribers that have saved
Speaker 8: over ten billion dollars globally. Partnerships like this make it
Speaker 8: a little bit more attractive, help our consumers save even more.
Speaker 8: But the core focus continues to be to improve the platform.
Speaker 8: That's where we see still the majority of the growth
Speaker 8: for us.
Speaker 4: You know, Rabi combining right hailing with delivery of food
Speaker 4: and groceries sounds a lot like what Uba does, but
Speaker 4: there's an interesting analysis to be done why you're friving.
Speaker 4: But Uber also printed results that showed the consumer is
Speaker 4: a little bit tepid right now in the right hailing
Speaker 4: context in this gig economy world. Why is it that
Speaker 4: you're succeeding in the here and now?
Speaker 8: We have so much more than restaurants. I'll give you
Speaker 8: a small example. Just a couple of months ago, we
Speaker 8: were running late for back to school. We use DoorDash
Speaker 8: for back to school supplies for both of our kids.
Speaker 1: Okay, we want to.
Speaker 8: Take away the worry of having a to do list.
Speaker 1: We want DoorDash to be.
Speaker 8: Your local commerce to do list. Local commerce is a
Speaker 8: large opportunity. Delivery is the most frequent use case people
Speaker 8: need at local stores. People order from local stores more
Speaker 8: than any other activity, and we are the leaders in
Speaker 8: that space. We are providing selection, We're bringing the best
Speaker 8: of local neighborhoods to your doorstep.
Speaker 3: Let's just talk a little bit more about the geography
Speaker 3: of where you want to be expanding. I mean, is
Speaker 3: it about spending power a geography when it comes to
Speaker 3: a deal like the one that we see with Lift,
Speaker 3: and how do you then extrapolate that to potentially international
Speaker 3: geography growth as well.
Speaker 8: We operate in over thirty countries, and the interesting thing
Speaker 8: is even in all the countries that we operate in,
Speaker 8: we're not in all the cities. Our focus continues to
Speaker 8: be to build the best product possible, not just for consumers,
Speaker 8: but merchants as well as dashers. We just announced a
Speaker 8: product we call Commerce Platform for our merchants, which continues
Speaker 8: to do really well. Even in the US, we are
Speaker 8: the fastest growing from a grocery perspective. We're gaining share
Speaker 8: compared to peers. Our goal is to expand to all
Speaker 8: things within local commerce, within all the countries that we operate.
Speaker 4: In your technology company. You just talk us about your business.
Speaker 4: Why give me one reason why it helps you stand out.
Speaker 4: You're very good at that, maybe others on.
Speaker 8: There's three legs to the stool of growth that we
Speaker 8: think about. It's selection, it's quality, it's affordability. It's not
Speaker 8: one or the other. It's a combination of all three
Speaker 8: things that consumers are looking and asking for. And we're
Speaker 8: driving same store sales growth for merchants. Over seven million
Speaker 8: dashers have dashed with us in the last year, earning
Speaker 8: over fifteen billion, and we are the fasts going from
Speaker 8: an overall consumer footprint perspective as well.
Speaker 3: Rabbi, we want to thank you for coming in spelling
Speaker 3: out the learnings and the potential door dash Cfo Ravi
Speaker 3: in Acondo there. Meanwhile, coming up, I'm going to be
Speaker 3: speaking with the Twilio CEO coming up next on the
Speaker 3: heels of the company's quarterly earnings report and what are
Speaker 3: you looking at in tess of earnings?
Speaker 4: So really quick check on eBay stockdown more than eight
Speaker 4: percent as a familiar story. The forecast for that key
Speaker 4: holiday period was lackluster, and you know, I think It's
Speaker 4: an interesting one because we're just talking about door Dash
Speaker 4: and Uber and this key final three months of the year.
Speaker 4: Everyone is giving us different as signals about consumer behavior,
Speaker 4: but investors do not like what eBay is saying about
Speaker 4: its marketplace and platform. We'll keep tracking it. This has
Speaker 4: been most technology cloud communications player. Twilio's third quarter earnings
Speaker 4: beat all street estimates and the company has now raised
Speaker 4: its full year revenue outlook. Here with more Twilio CEO
Speaker 4: Cozama Ship Chandler turnaround plan seems to be working, Margins
Speaker 4: are improving. There's been this call ay structuring since you
Speaker 4: came in as CEO or jump to CEO, which bit
Speaker 4: is working best?
Speaker 9: Yeah, I wouldn't call it a restructuring.
Speaker 10: I would say it's steady progress, really good financial discipline,
Speaker 10: operating rigor, a lot of innovation focus. And I think
Speaker 10: what you're starting to see is that show up in
Speaker 10: terms of accelerated growth, and I think increasingly we're starting
Speaker 10: to become a beneficiary of this AI wave.
Speaker 4: Let's expand on the innovation. Part of the blackstory you
Speaker 4: know with Twilio was investors who really want to see
Speaker 4: sort of discipline and a growth plan. But you're doing
Speaker 4: things in the world of technology that matter.
Speaker 9: Yeah, I mean, I think you're starting to see margins.
Speaker 10: Really improve over the last several years, which I think
Speaker 10: has been exciting for investors, certainly been exciting for us.
Speaker 10: I think on top of that, though, we've also seen
Speaker 10: a real return to innovation. So we're making some really
Speaker 10: focused bets in terms of where that innovation lies. And
Speaker 10: for us, it's really about delivering for consumers Visa VR
Speaker 10: customers personalization at scale, and what that really means is
Speaker 10: how do we combine communications plus contextual data plus AI
Speaker 10: to deliver these amazing consumer experiences through digital interactions.
Speaker 4: Because the magic of television. Your IFB's popped out, feel
Speaker 4: free to pop it back in. And I'll point out
Speaker 4: that a lot of the cell side analysts have raised
Speaker 4: price targets on this idea. I think they see a
Speaker 4: clearer future just very quick. So I want carry to
Speaker 4: come in. I think that's fair. There's a clear longer
Speaker 4: term coffee.
Speaker 10: Yeah, I do think so, and I think we feel
Speaker 10: pretty optimistic about our long term growth ambitions. Obviously, we
Speaker 10: want to balance our ability to grow the company as
Speaker 10: well as drive ongoing profitability and free cash flow and
Speaker 10: finding that balance really is the trick.
Speaker 9: But as I look out.
Speaker 10: And see what's happening in sort of this age of AI,
Speaker 10: I think we're going to be one of the real beneficiaries.
Speaker 3: Let's talk about monetizing that AI cousmurf. You can hear
Speaker 3: me well, because Morgan Stanley says, look, it's encouraging this
Speaker 3: AI product integration, but they want to see the monetization.
Speaker 2: How do you turn that on?
Speaker 10: I mean, I think the way that it happens is
Speaker 10: is that we've got this great data asset that we
Speaker 10: bought several years ago in Segment, and on kind of
Speaker 10: a standalone basis, it's a relatively small piece of our revenue.
Speaker 10: But the long term play here is is that what
Speaker 10: Segment does is extract contextual data out of the businesses
Speaker 10: that we serve and our ability to combine that with
Speaker 10: communications capabilities and then use a little bit of a
Speaker 10: to create that awesome consumer outcome on the other side.
Speaker 9: Like, that's really what we're going for, And.
Speaker 10: What it kind of means is is that whether it's you,
Speaker 10: whether it's the two of us, or whether it's thousands
Speaker 10: of other consumers all at the same time, us being
Speaker 10: able to achieve that personalization as if a business knows
Speaker 10: every single thing about us in the way that they
Speaker 10: interact with us.
Speaker 9: That's what we unlock.
Speaker 3: It's really interesting you bring up that segment part because
Speaker 3: that was the area of the business that activist investors
Speaker 3: wanted you to shirk to sell off. There is still
Speaker 3: some weakness within it. Are you standing by the decision
Speaker 3: to keep it as part of Twilio and how do
Speaker 3: you tell that story going forward?
Speaker 10: Yeah, I mean, look, I think we've made progress in
Speaker 10: that business. We made a number of commitments at the
Speaker 10: start of the year in terms of what we intended
Speaker 10: to do to improve the ongoing performance of that business.
Speaker 10: We're very much on track to get that business to
Speaker 10: break even. We've made a number of improvements in the
Speaker 10: go to market capacity of that business. It's not like
Speaker 10: our work has done yet, it's still kind of continues
Speaker 10: to pace. Again, I think it's important to remember that
Speaker 10: it's really less than seven percent of our revenues overall,
Speaker 10: and so when you consider it in the totality of Twilio,
Speaker 10: the business growth is reaccelerating, the margins have been fantastic,
Speaker 10: free cash flows have been activating, and now segment really
Speaker 10: becomes an activation engine for AI using data and communications.
Speaker 4: Because the stock is up fifteen percent, on track for
Speaker 4: his biggest jump since twenty twenty two, at one point,
Speaker 4: biggest jump since twenty twenty. I know that this is
Speaker 4: a technology show and that many executives on it are
Speaker 4: very disciplined about talking about the stock. But the market's
Speaker 4: rewarding you here. What do you make of it?
Speaker 10: Look, I think we're making steady progress right and we're
Speaker 10: not necessarily focused on the day to day movement of
Speaker 10: the stock price. I think this is the long game
Speaker 10: that we're fundamentally playing here, and I think the age
Speaker 10: of AI is going to play out for a long
Speaker 10: time to come.
Speaker 9: That's what we're excited about.
Speaker 10: How can we deliver for customers in a very personalized way,
Speaker 10: again using communications plus contextual data plus AI to deliver
Speaker 10: those amazing consumer outcomes.
Speaker 3: Twillio, CEO Kozumership Chandler, thanks for joining us today on
Speaker 3: the numbers. Welcome back to BlueBag Technology. I'm Caroline Hide
Speaker 3: in New York, kind of ed.
Speaker 2: Lovelo in San Francisco.
Speaker 4: In terms of earnings and markets, car I'm going to
Speaker 4: go to some of the crypto related stocks because there's
Speaker 4: a lot to fit in. So coin based missed estimates
Speaker 4: essentially in the quarter gone. And what they're talking about
Speaker 4: is we're entering election week, there is volatility and crypto
Speaker 4: assets and markets tied to that, but it's not really
Speaker 4: clear whether they're going to benefit or not. We'll continue
Speaker 4: to track it. Micro Strategy again, it's a name that
Speaker 4: holds bitcoin in particular on its balance sheet and has
Speaker 4: pledged to buy more bitcoin but saw a loss in
Speaker 4: the quarter. Were one of the first companies to do that,
Speaker 4: by the way. And when we think about bitcoin volatility, yes,
Speaker 4: but still above seventy thousand dollars per token. Then there's
Speaker 4: the megacaps. Much to discuss with them.
Speaker 3: So much on the megacaps. Let's talk about Microsoft earnings.
Speaker 3: You want to get back to it because it underwhelmed
Speaker 3: the forecast for growth from as you're perhaps letting the
Speaker 3: market down somewhat in terms of growth.
Speaker 2: But Microsoft CEO Sati and Adella is continuing to talk.
Speaker 3: Up the company's AI business on the earning school at
Speaker 3: least just take a listen.
Speaker 1: All up.
Speaker 11: Our AI business is on track to surpass an annual
Speaker 11: revenue run rate of ten billion dollars next quarter, which
Speaker 11: will make it the fastest business in our history to
Speaker 11: reach this milestone.
Speaker 2: He's got big talk.
Speaker 3: Let's analyze it with the BLUEBG intelligence Senior and this
Speaker 3: manly saying Microsoft is such an interesting one.
Speaker 2: Because the cores look great.
Speaker 3: They're seeing as your growth back at thirty four percent,
Speaker 3: and then the forecast was a little bit weaker and
Speaker 3: it seems to be a capacity that's limited.
Speaker 2: Here would you make of it?
Speaker 12: Well, so look at the Google Cloud growth and all
Speaker 12: these vendors are growing. You know, the core business is
Speaker 12: growing north of twenty percent. When you take out the
Speaker 12: AI element. In the case of Google Cloud, we saw
Speaker 12: the growth accelerate to thirty five percent and that was
Speaker 12: all powered by AI. In the case of Microsoft, they
Speaker 12: did some resegmenting, so they took out some portion and
Speaker 12: it's not a very clean number to see. Okay, AI
Speaker 12: contribution was twelve percentage points, and that's where you know
Speaker 12: whether it's behind Google Cloud. It's not very clear because
Speaker 12: of the resegmenting. But net Net, you know, they called
Speaker 12: out GPUs supply shortages when your capex is growing up
Speaker 12: fifty percent, and that's where you have to ask for yourself,
Speaker 12: what is the CAPEX being spent on then if you
Speaker 12: don't have enough GPUs, are they spending more on facilities?
Speaker 12: And you know it's hard to parse that out, but
Speaker 12: Google didn't call that out, so you know, it'll be
Speaker 12: interesting to see what Amazon does tonight in terms of
Speaker 12: you know, their n radio allocation and how they are
Speaker 12: framing you know, the capacity shortages when it comes to
Speaker 12: the advanced accelerators. But that's what it comes down to,
Speaker 12: is how much capacity do you have available for external
Speaker 12: use versus what is open AI consuming internally for training?
Speaker 4: A lot of that is geared towards the enterprise business,
Speaker 4: right Mandy. Even with Microsoft, this is a company that's
Speaker 4: been wonderful. It's selling software to consumers as well, particularly
Speaker 4: software that sometimes you can get for free on other platforms.
Speaker 4: Did you get any sense of the trajectory of consumer
Speaker 4: adoption for these kind of AI Improved Office three sixty
Speaker 4: five and products like.
Speaker 1: That, I mean, very unlikely.
Speaker 12: I don't think they want to focus on consumer right
Speaker 12: now because the enterprise opportunity is so big.
Speaker 13: And they called out you.
Speaker 12: Know, separate products Copilot, Copilot, Studio, Agent studio, so they
Speaker 12: are creating you know that bundle that Microsoft is so
Speaker 12: good at selling, and I'm sure they'll get a lot
Speaker 12: of traction. But in terms of separate AI contribution, which
Speaker 12: is what I think Meta got penalized for last night,
Speaker 12: is not having that separate AI contribution even though it's
Speaker 12: getting reflected in their family of apps. That's what investors
Speaker 12: are focused on because the topics increases are so big,
Speaker 12: and these companies keep calling out skialing was so you know,
Speaker 12: you have to find that ceiling. How much will their
Speaker 12: cabex keep going up?
Speaker 3: Need the transparency you help bring it. Bloomberg Intelligence Senior
Speaker 3: analyst Mandat Singh.
Speaker 4: As the election approaches, leading voices in technology and the
Speaker 4: bench capital industry on both sides are throwing their weight
Speaker 4: behind their preferred candidates, like Elon Musk appearing at a
Speaker 4: Donald Trump rally just this past weekend. Today on Bloomberg Technology,
Speaker 4: we're going to speak with Reid Hoffman. You perhaps know
Speaker 4: him best as the co founder of LinkedIn, but the
Speaker 4: billionaire and investors also part of a group of Silicon
Speaker 4: Valley investors that are immersed in this presidential election, rallying
Speaker 4: behind his or their favorite candidate in the race.
Speaker 1: Kamala Harris.
Speaker 4: Reid Hoffman joins US now and read thank you for
Speaker 4: your time in coming on Bloomberg Technology. You know, the
Speaker 4: pitch and the place is to keep this focused on tech.
Speaker 4: So I would like to ask you why is Kamala
Speaker 4: Harris the best candidate for the technology industry and bench
Speaker 4: capitalists around the US.
Speaker 14: Well, So, what the tech industry needs is kind of
Speaker 14: a stable environment in order to you know, kind of
Speaker 14: follow the rules and prosper in an ability because, by
Speaker 14: the way, one of the things that the tech industry
Speaker 14: brings to the US is a kind of a It's
Speaker 14: one of our most successful global industries where most of
Speaker 14: for example, the large tech companies get the vast majority
Speaker 14: of the revenues overseas, like the majority and depends on
Speaker 14: the business and and so good global relations. In addition
Speaker 14: to stability and an ability to kind of know that
Speaker 14: you're following a rule of law versus what I think
Speaker 14: of as grifter capitalism, all of that leads to, like,
Speaker 14: you know, the reason why I and others like me
Speaker 14: support Vice President Harris for president because I think those
Speaker 14: are the more fundamental things. Then you know whether or
Speaker 14: not a corporate tax rate goes up or down a little. Obviously,
Speaker 14: those can be important in other other times for business.
Speaker 14: But that's the reason why I think within the technology industry,
Speaker 14: I think it's a fairly clear choice.
Speaker 1: Read.
Speaker 4: We recently had SEC chair Gary Ginster on the program
Speaker 4: and a part of the conversation for both candidates is
Speaker 4: continuity at the FTC and the SEC. You've actually spoken publicly,
Speaker 4: I think about both already, But what is your latest position.
Speaker 2: On those two roles.
Speaker 4: Lina Kahn and Gary Gensler if Kamala Harris were to
Speaker 4: continue in the White House due to their impact on
Speaker 4: the technology industry.
Speaker 1: Well, let's see.
Speaker 14: So first, since I've spoken, because I get asked a
Speaker 14: lot about Lena Kahn, I've spoken more about Lena Kahan.
Speaker 14: You know, one misconception of clear Up is I've never
Speaker 14: ever talked to Kamala Harris or anyone in the White
Speaker 14: House about Lena con for this. So this is entirely
Speaker 14: a press set of stories where I'm asked about my.
Speaker 1: Point of view.
Speaker 14: And I think she's done a very good job on
Speaker 14: a number of things, the anti compete stuff that click
Speaker 14: to cancel and subscriptions, the number of things on M
Speaker 14: and A speaking as a partner at Greylock and as
Speaker 14: a Silicon Valley person who invests in companies trying to
Speaker 14: create the next generation of large tech companies.
Speaker 1: Her you know, kind of like waging.
Speaker 14: War on M and A is actually, in fact as
Speaker 14: unhelpful to the tech industry. It actually accomplishes something different
Speaker 14: than what she thinks she's accomplishing. She thinks she's trying
Speaker 14: to accomplish the you know, kind of the limitation of
Speaker 14: the growth of the large tech companies, and actually, in
Speaker 14: fact she's causing a lack of funding for any of
Speaker 14: the companies that might potentially compete with them. And so
Speaker 14: that's a that's a different thing, and that's the Lena Khan,
Speaker 14: which I still have the same point of view, and
Speaker 14: I've asked about it from anyone and from.
Speaker 1: An Nextperti's point of view.
Speaker 14: I will continue to say that Gary Gensler, I think
Speaker 14: the question, and I know Gary, I've talked to him
Speaker 14: from the MIT days, is how do you kind of
Speaker 14: shift kind of a kind of approach to crypto that's
Speaker 14: less kind of hit with stick and more of a
Speaker 14: here's the set of rules that we could set out
Speaker 14: that would create a beneficial technological investment that helps US
Speaker 14: position globally, and I think it's been uneven, And so
Speaker 14: I would hope that you know, Vice President Harris, who
Speaker 14: grew up within the California tech community, understands the importance
Speaker 14: of this kind of rule of law, you know, kind
Speaker 14: of equal basis innovation economy. She talked about, you know,
Speaker 14: kind of innovation opportunities. She's the only presidential candidate in
Speaker 14: US history who's spoken about the importance of founders. And
Speaker 14: so I hope that she would bring a kind of
Speaker 14: a more innovation forward point of view here.
Speaker 1: And you know, would anticipate that.
Speaker 2: An innovation forward perspective.
Speaker 3: Is that the key difference that you anticipate if hypothetically
Speaker 3: we had Harris administration, a difference from the current Biden administration,
Speaker 3: or where else might she differ?
Speaker 1: Well, I think so.
Speaker 14: So she has always brought a certain because of you know,
Speaker 14: talk to her over the years, and this intellectual curiosity
Speaker 14: to what's going on in the tech industry, how that
Speaker 14: can help everyday Americans, how that can help the rest
Speaker 14: of American industry. And so it's kind of like, look,
Speaker 14: I realize that the tech industry is about innovation and
Speaker 14: building new things and those building of new things or
Speaker 14: new products and services. But there are also ways that
Speaker 14: can help all of America. And those are the questions
Speaker 14: that she's asked. Now Biden, who has done a number
Speaker 14: of great things in his presidency. You know, he's controlled
Speaker 14: inflation better than you know, post COVID, than any other
Speaker 14: you know, kind of first world country in doing that,
Speaker 14: and I.
Speaker 13: Think has done a number of very good things.
Speaker 1: But he has not been as.
Speaker 14: Engaged with the tech industry, whereas I think, you know,
Speaker 14: Vice President Harrises, including you know, kind of in her
Speaker 14: very acceptance speech, has been And so I think that
Speaker 14: that kind of of how do we engage in the
Speaker 14: conversation and look, for example, what she did in the
Speaker 14: artificial intelligence you know, regulation and executive order process she
Speaker 14: ran that first thing she did is she brought the
Speaker 14: companies into the White House to say, hey, we really
Speaker 14: need you guys to be going foot forward on safety
Speaker 14: and regulation. What kinds of things can you voluntarily commit to?
Speaker 14: You know, I talked to the folks who were there.
Speaker 14: She pushed them very hard on map. Then she looked
Speaker 14: at okay, so this is what they can commit to.
Speaker 14: Here's what we can put into an executive order law.
Speaker 14: Here's what we can do to ongoing monitor to what
Speaker 14: happened and leave room renovation. That's what I expect across
Speaker 14: her approaching the entire technology industry with AI as the
Speaker 14: instance of it.
Speaker 3: Let's go to the other hypothetical, because she's engaging at
Speaker 3: the moment with the tech community. But many would say
Speaker 3: that Trump is very much engaging with technology community with
Speaker 3: the amount that he's having.
Speaker 2: Elon Musk on stage.
Speaker 3: Is we see Musk taking a bigger role within a
Speaker 3: future administration? What does that mean for you and and
Speaker 3: ultimately for the relationship that Silicon Valley has with el
Speaker 3: On the Musk.
Speaker 14: Well, I think it depends on what the Trump administration,
Speaker 14: what Elon does. I think you know, the the Trump
Speaker 14: you know, Trump and Trump presidency won. You know, his
Speaker 14: his early presidency has shown a certain amount of grifter capitalism.
Speaker 14: It's like trying to penalize his opponents using the instruments
Speaker 14: of state. You know, obviously, you know, we saw that
Speaker 14: happen with Amazon, which probably is you know, no inside
Speaker 14: knowledge that probably correlated with Bezos's you know, forbidding the
Speaker 14: Washington Post from issuing a support statement and so It's
Speaker 14: kind of like the if you're going to be individual
Speaker 14: company retaliatory, It's part of what might underlie a terrorist
Speaker 14: is I can choose like who I'm going out favors
Speaker 14: to that does not create a good stable environment for
Speaker 14: investing in, you know, kind of like you know, how
Speaker 14: do you invest in an overall industry and ecosystem. And
Speaker 14: so then the question, you know, would come down with Elon. Obviously,
Speaker 14: Elon's businesses have great ties to government. I mean, the
Speaker 14: whole space business is deeply tied to regulation and kind
Speaker 14: of government contracts. UH Automobiles is also tied to a
Speaker 14: bunch of regulatory frameworks.
Speaker 1: Obviously, you know what's going on with you know.
Speaker 14: Kind of media and information has ties there too, And
Speaker 14: I think unfortunately X dot Com is the primary supporter
Speaker 14: of conspiracy theories and you know other kinds of things,
Speaker 14: which is a serious problem.
Speaker 1: All of that, the question.
Speaker 13: Is is, all right, well, does it continue to be.
Speaker 14: Grifter capitalism which is calling out to specific companies, or
Speaker 14: is it rule of law?
Speaker 4: I read on X and conspiracy theories. Bloomberg did a
Speaker 4: deep report, a data based piece of investigative journalism on
Speaker 4: that recently, and in that segment on the show, which
Speaker 4: you can find on YouTube. We gave X's point of view,
Speaker 4: which is that they disagree with that. And if you
Speaker 4: allow me to, I've invited Elon Musk onto this program
Speaker 4: many times, and you are here and he's not. Something's
Speaker 4: different in this election. You're a well known person in
Speaker 4: the world of technology, but there are others on both
Speaker 4: sides who are speaking out, in my experience, more prominently
Speaker 4: than previously. Have there been any negative consequences of that.
Speaker 4: For example, if you are a bench capitalist or a
Speaker 4: CEO that publicly speaking about your political orientation and your
Speaker 4: support of a candidate has resulted in a loss of
Speaker 4: opportunity in deals or whatever it may be.
Speaker 14: Well, I've seen and you know, I think, you know,
Speaker 14: this is something that's this fraught. You know, I don't
Speaker 14: think it's just you know, retaliation in business circumstances from
Speaker 14: folks who are supporting Trump, like I saw, you know,
Speaker 14: kind of you know, when vcs were speaking out, some
Speaker 14: LPs were very supportive of Trump, not at gray Lock
Speaker 14: in this, but in other firms kind of uh, you know,
Speaker 14: withdrew their support from the venture firms. I've seen other
Speaker 14: kinds of things where you know, people you know kind
Speaker 14: of uh, you know, kind of business relationships of soured
Speaker 14: because of it, you know, which I think is very unfortunate.
Speaker 14: I mean, I actually think the part of what we
Speaker 14: should aspire to as Americans and as business people is
Speaker 14: to is to kind of say, hey, look, what we
Speaker 14: should do is say what's the thing that we do
Speaker 14: to make American business and American industry better? And you know,
Speaker 14: like I've I've I've heard of Republican senators trash talking
Speaker 14: me internationally where you know, you think they'd be supportive
Speaker 14: of American business people. So I think that there is
Speaker 14: I think there are consequences of it, which you know,
Speaker 14: I think is unfortunate. But I think it's more important
Speaker 14: to be, you know, kind of patriotic about what is
Speaker 14: good for America, American industry, and American society even when.
Speaker 1: You have this fear.
Speaker 3: Let's talking about the souring of certain relationships. The first
Speaker 3: one that comes to my mind is the souring of
Speaker 3: the relationship of who was a co founder of open ai,
Speaker 3: Elon Musk and now open ai more.
Speaker 2: Explicitly in its new form.
Speaker 3: Have you spoken to Sam Altman about and indeed open
Speaker 3: ai about the worries of Elon Musk, who seems to
Speaker 3: have a dislike for the business, if he took a
Speaker 3: more prominent role within the administration, what would it look
Speaker 3: like for AI more broadly to have Elon Musk in
Speaker 3: a position of power.
Speaker 14: Well, one of the things that I would worry about
Speaker 14: if Elon took a more prominent role is that he
Speaker 14: would view that the only real success for you know,
Speaker 14: the AI.
Speaker 1: Industry is if he is doing it.
Speaker 14: I mean, this is part of the question around the
Speaker 14: fact that he's kind of doing these baseless lawsuits against
Speaker 14: open AI that are you know, kind of like, well,
Speaker 14: I gave money philanthropically and I should kind of cut
Speaker 14: of what then turns into commercial, which is by the way, illegal, right,
Speaker 14: and so you know, so that kind of of of
Speaker 14: of issue might then rear its head in this kind
Speaker 14: of tradition of you know, kind of Trump's grifter or capitalism.
Speaker 14: I would hope that actually, in fact, if if Elon
Speaker 14: were to accept a role, that he would go, look,
Speaker 14: what I care about is all of them, you know,
Speaker 14: the tech sector of American industry, not just my own efforts.
Speaker 13: And I think we'd have to see what would play out.
Speaker 4: Then the latest on the listigation between the two I
Speaker 4: believe is also the eighth when open AI accused Elon
Speaker 4: Musk of harassment in that legal fight, and again we've
Speaker 4: covered it on this program Read and we'll go back
Speaker 4: to it. Is AI and regulation of AI being discussed
Speaker 4: enough in this election by either candidate.
Speaker 14: Well, I'm not sure that it's the most central thing
Speaker 14: for kind of the general American society at the moment. Look,
Speaker 14: I think the how we get the benefits of AI
Speaker 14: for American industry, American society, American consumers, I think is
Speaker 14: really important. And one of the things about regulation is
Speaker 14: it tends to slow down innovation, it tends to delay
Speaker 14: and I think our tools for getting a medical assistant
Speaker 14: on every smartphone, a tutor on every smartphone for every
Speaker 14: American and maybe even more globally, I think those are
Speaker 14: the important things to be trying to get to. And
Speaker 14: that's less of a discussion about, you know, AI in
Speaker 14: the election, but more kind of a like we should
Speaker 14: be building towards the future.
Speaker 4: Read. Ifdent former President Trump were to get a second
Speaker 4: term in office, how are you preparing for that and
Speaker 4: how do you approach it?
Speaker 1: Were that to be the A case.
Speaker 14: Well, if that's the case, then I would hope for
Speaker 14: the folks who who have argued to me that, you know,
Speaker 14: you shouldn't actually in fact take President Trump's words seriously.
Speaker 14: That the fact that he is declaring a you know,
Speaker 14: like a tariff war where you can do individual kind
Speaker 14: of grifter capitalism, but that's actually not what.
Speaker 1: He's going to do.
Speaker 14: That he's going to try to be more business forward,
Speaker 14: more technology forward, and you should not be paying attention
Speaker 14: to what his words are. I would hope that they
Speaker 14: would be they would be correct if it ends up
Speaker 14: being what I fear, which is actually in fact a
Speaker 14: you know, kind of an individual kind of uh, you know,
Speaker 14: like sweating various businesses for his own kind of political favor.
Speaker 14: I think that will affect American industry in a way
Speaker 14: that will affect American prosperity. And so I think you
Speaker 14: have to you have to you build in more resilience
Speaker 14: to chaos an uncertainty, and that's what you would do.
Speaker 14: I'm obviously very hopeful that Vice President Harris will win
Speaker 14: the election, and so therefore haven't done enormous contingency planning yet.
Speaker 3: We want to thank you so much for your perspective
Speaker 3: today as you do. Indeed back Vice Paradison and Harris
Speaker 3: for the administration is the future, Gray Lot partner Reid Hoffman,
Speaker 3: we appreciate it, ed Okay.
Speaker 4: Today's Big Take focuses on how Amazon is working to
Speaker 4: make its Alexa devices a force in artificial intelligence. CEO
Speaker 4: Andy jasse is eager to take on chat GPT with
Speaker 4: the voice assistant that Amazon's claims is in one quarter
Speaker 4: of US households, but technical challenges are slowing the company down.
Speaker 4: Bloomberg's Austin carr Co wrote the Big Take, we are
Speaker 4: an Alexa household that I'm using Chat GPT four oh,
Speaker 4: voice inputs, so much more meta AI through the ray
Speaker 4: banned glasses. It's an incredible dissection of the struggle Amazon
Speaker 4: is having bringing Alexa into that field.
Speaker 1: Yeah, it's pretty wild.
Speaker 15: I mean just think it's been already almost two years
Speaker 15: since chat GPT launched. Meanwhile, Microsoft, Google, even Apple have
Speaker 15: rolled out a lot of AI tools and we haven't
Speaker 15: really seen anything from Amazon despite them having more than
Speaker 15: a decade lead in the chat bond space. You know,
Speaker 15: they're in five hundred million some households with their devices,
Speaker 15: but they've been struggling to move that old Alexa brain
Speaker 15: to sort of a new LLM large language model approach.
Speaker 15: And they've been dealing internally, based on the sources we're
Speaker 15: talking to, with tons of hallucinations, with struggles with basic
Speaker 15: tax The old Alexa used to be good at, like
Speaker 15: turning on and off lights. And it's been really fascinating
Speaker 15: to watch this company that is, you know, famous for
Speaker 15: data infrastructure for cloud computing with AWS and with Alexa
Speaker 15: A really fall behind in this AI war, and there's
Speaker 15: a lot of questions among the sources we talked to
Speaker 15: over whether or not they'll be able to catch up.
Speaker 3: What's so great about the way you write is you
Speaker 3: make it interesting and personal. We all know Andy Jesse,
Speaker 3: of course, the leader of Amazon, is a big sports fan,
Speaker 3: and you talk about how he keeps plodding the Alexa
Speaker 3: with sports questions, and it just hallucinates in that effect,
Speaker 3: particularly about up to the moment results. What therefore are
Speaker 3: we seeing in terms of further investment, What are we
Speaker 3: seeing in terms of eventual rollout.
Speaker 15: It's TVD at this point, but our sources are indicating
Speaker 15: that it's actually been repeatedly pushed back. There was an
Speaker 15: early target in twenty twenty early twenty twenty four. Then
Speaker 15: it was moved back month by month, most recently in
Speaker 15: October they were hoping to launch it. They scrap that
Speaker 15: event and they've replaced it with a smaller Kindle rollout.
Speaker 15: So sourts are telling us this could actually be their target.
Speaker 15: Deadline is being kicked back into twenty twenty five, which
Speaker 15: really puts them behind the ball. But again, it's all
Speaker 15: these technical challenges they're facing. It's not a matter of
Speaker 15: necessarily buoucracy or some lack of overall goal. They're really
Speaker 15: marghaling at troops toward this, and they're really running into
Speaker 15: challenges with again making sure sort of an LLLM can
Speaker 15: do basic tasks like you know, all the tasks that
Speaker 15: you asked it to do around your home. Lms are
Speaker 15: actually not particularly good at that. And with the hallucinations
Speaker 15: with all these devices and homes of families, kids, you
Speaker 15: don't want it spewing off sort of information that's provocative
Speaker 15: or the list that can be a really reputational cause
Speaker 15: a lot of reputational damage for Amazon and the Alexa brand.
Speaker 4: There's this great academic debate we could have, but we
Speaker 4: don't have time about the best hardware form factor to
Speaker 4: use AI models in the voice system form. The other
Speaker 4: bit of news is there is a timeline delay into
Speaker 4: twenty twenty five. Just tell us what you understand. The
Speaker 4: team is working to Amazon to get this into the
Speaker 4: real world.
Speaker 15: So the big challenge right now is merging that old
Speaker 15: brand with the new brain. There's a lot of argument
Speaker 15: about whether they should just scrap the old Amazon approach
Speaker 15: and move to the sort of an LLM model that chat,
Speaker 15: GPT and meta or using. But they're trying to do
Speaker 15: this hybrid approach and that takes a lot of custom
Speaker 15: code to make sure you know, when I ask it
Speaker 15: to do a request it can deliver that it knows
Speaker 15: my permissions, it knows that I have access to this
Speaker 15: light bulb or this kitchen time or this microwave. And
Speaker 15: that's the irony is that all the stuff that Amazon
Speaker 15: Alexa is actually re good at are very simple tasks,
Speaker 15: and that's what lms are not particularly adept at.
Speaker 3: Bloomberg's Austin Carr, it's a great read. Thank you for
Speaker 3: bringing it to us. Meanwhile, that does it for this
Speaker 3: edition of Bloomberg Technology and Ed. We've got earnings like
Speaker 3: Amazon after the Bell. But an important conversation coming up tomorrow.
Speaker 4: Yeah, today the Democratic perspective. Tomorrow the Republican vivet Ramaswami,
Speaker 4: a surrogate or backer or booster for Trump, will be
Speaker 4: on the program to give his take on the technology
Speaker 4: discussion to be had for either candidate. But you should
Speaker 4: recap on the podcast. It was a pack show. It
Speaker 4: was crazy. You know where to find it. Cara and
Speaker 4: the team in New York. Everyone here in SF. Wow,
Speaker 4: this was a great Bloomberg technology