Speaker 1: Bloomberg Audio Studios, podcasts, radio news. Bloomberg Tech is alive
Speaker 1: from coast to coast with Caroline Hide in New York
Speaker 1: and v Lovelow in San Francisco.
Speaker 2: This is Bloomberg Tech coming up.
Speaker 3: Open Ai raises one hundred and ten billion dollars with
Speaker 3: key Amazon backing and a deal that values and startup
Speaker 3: at seven hundred and thirty billion plasanthropics dispute with Appendagon
Speaker 3: and intensifies over safeguards around the use of its AI
Speaker 3: technology and block plans to cut close to half of
Speaker 3: its entire workforce in a move the company describes as
Speaker 3: a bet on AI. But first we check in on
Speaker 3: these markets that have a lot more to digest than
Speaker 3: just AI.
Speaker 2: On the day, we're off by four tens percent, and.
Speaker 3: As that investors trying to navigate what has been a
Speaker 3: pretty brutal month. Yes there's anxiety over AI capex. Yes
Speaker 3: there's worried about where on inflatory pressures are going. The
Speaker 3: PPI data today showing that maybe the FED can't cut
Speaker 3: as much as the market had wanted. But there's also
Speaker 3: geopolitical risk. I ran us front and center. Let's look
Speaker 3: at what we're doing over the course of the month,
Speaker 3: because remember we are winding up February, and it means
Speaker 3: we've had the worst month for the NASDAQ one hundred
Speaker 3: and for the SMP five hundred since March of last year.
Speaker 3: We're off by more than three point eight percent. Move
Speaker 3: on and have individual companies in your line of sight today,
Speaker 3: because the key story is a private and a public
Speaker 3: market one. I'm looking at what happening to Amazon. We're
Speaker 3: up four tens a percent. It is going to be
Speaker 3: slump supplying fifty billion dollars to open ai in terms
Speaker 3: of its latest funding rounds.
Speaker 2: Does that come in compute?
Speaker 3: Does that come in terms of really focused access to
Speaker 3: open AI's own agents.
Speaker 2: We're looking at Video off by one point eight percent?
Speaker 2: What does that mean for their GPUs?
Speaker 3: But they're throwing in thirty billion dollars as well, So
Speaker 3: two is softbak. Let's get more details. Seth Biegerman is
Speaker 3: with us and piece to say. And what's so interesting
Speaker 3: is this deepening intertwined between open ai and Amazon.
Speaker 2: What do you make of it?
Speaker 4: Yeah, I mean it's really telling. I think it's another
Speaker 4: example for us that it takes all parties now to
Speaker 4: meet the needs of AI and cloud computing. Amazon obviously
Speaker 4: has been a long time supporter of OPENINGI rival Anthropic,
Speaker 4: but increasingly opening Ianthropic and Amazon have brokeer cloud computing
Speaker 4: deals as part of this form. In addition to the
Speaker 4: money that Amazon is committing, Opening I will be using
Speaker 4: Amazon's training and chips, which is certainly a vogue of confidence,
Speaker 4: and Amazon's technology, and they'll be working together on a
Speaker 4: models that might be useful for Amazon specifically. So again, Google, Amazon, Microsoft,
Speaker 4: the video, they're all kind of backing everyone right now
Speaker 4: to lift up the wider AI market.
Speaker 3: It's interesting therefore that maybe in video is down a
Speaker 3: little bit on the day throwing money into open ai,
Speaker 3: but maybe people worry if there's more dependence on Trainium
Speaker 3: and Amazon chips, maybe less dependence on GPUs. What's so
Speaker 3: interesting as well is open Ai says the funding round
Speaker 3: isn't over.
Speaker 2: They're also tapping venture capitalists coming forward.
Speaker 4: Yeah, it's our understanding that there's still billions more to
Speaker 4: go here, though I think the majority of it is
Speaker 4: now done and committed, and so that next trench of
Speaker 4: it might come from venture firms and from sovereign funds,
Speaker 4: with our expectation that this will all be wrapped up
Speaker 4: this quarter.
Speaker 3: What's been also notable is how maybe some of the
Speaker 3: pr moon music that have been so all consumed with
Speaker 3: open ai and its prowess had slightly shifted to the
Speaker 3: alternatives and propably been leading a lot of the charge
Speaker 3: in terms of unveils.
Speaker 2: To the enterprise. How much is open Ai now able.
Speaker 3: To refocus to talk up its coding tools, to be
Speaker 3: able to talk up its penetration into the enterprise.
Speaker 4: Well, certainly, first off, this is a vote of confidence
Speaker 4: in OPENINGI. I mean keep in mind that during the
Speaker 4: months they've been working on this deal, I think there's
Speaker 4: been heightened concerns on Wall Street about capex spending. With
Speaker 4: Opening I really at the center of a lot of
Speaker 4: that unprofitable startup committing to spend more than a trillion
Speaker 4: dollars on infrastructure, and yet they still are on the
Speaker 4: cusp of raising the largest funding round in history. Now,
Speaker 4: to your point, Hoping has, like Anthropic, been investing heavily
Speaker 4: in AI coding tools, AI agents and working to help
Speaker 4: enterprises figure out how to make the most of its
Speaker 4: existing AI technology. So I think we should just expect
Speaker 4: them to double down on that in the run up
Speaker 4: to what will likely be in IPO pretty.
Speaker 2: Much, Seth Giegman, we so appreciate the roundup. Thank you.
Speaker 3: Let's get the markets tape chaping Morgan Asset Management Global
Speaker 3: market strategy is Stephanie Adiagas here with us.
Speaker 2: Stephanie.
Speaker 3: This is once again shining a light on the extraordinary
Speaker 3: capital expenditure that is necessary for these frontier labs.
Speaker 5: It absolutely is, and I think it comes on the
Speaker 5: heels of this agentic boom that markets are really beginning
Speaker 5: to take issue with. And the reality is the reason
Speaker 5: why these agents are so phenomenal is because they think longer.
Speaker 5: The amount of inference required in these agents is magnitudes
Speaker 5: larger than the kind of single query just prompting an
Speaker 5: LLLM of the past. So, you know, the economics around
Speaker 5: AI continue to mount. We heard that from Nvidia this week.
Speaker 5: I think for the markets, I mean there's just this
Speaker 5: lingering anxiety of Okay, yes, we need a lot of infrastructure,
Speaker 5: but who's going to make money on all of this,
Speaker 5: and where are the competitive modes actually going to stick
Speaker 5: in this rollout? And then of course, what does this
Speaker 5: mean for some of the companies that may be privy to.
Speaker 3: Disruption well, before we get there. I want to go
Speaker 3: to Nvidia because it was sort of extraordinary. That's dound
Speaker 3: today and yesterday on the back of such strong fundamental
Speaker 3: numbers that it posted. How do you interpret that market
Speaker 3: shake off of it.
Speaker 5: I mean, part of it is we've all become, you know,
Speaker 5: Tiger parents, and we're used to exceptional results. It's not enough.
Speaker 5: We're now more concerned about, okay, moving forward. We got
Speaker 5: to see some kind of moderation in these growth rates,
Speaker 5: given just how remarkable that they've been for so long.
Speaker 6: I think markets are thinking about that.
Speaker 5: I think on the other side, there's also this desire
Speaker 5: to diversify perhaps exposure to some of these AI names,
Speaker 5: and that's really where we're seeing caution really emerging in markets.
Speaker 3: I have to say, I'll produce a made the Tiger Parents.
Speaker 2: An a changer yesterday. I'm having a love it. We
Speaker 2: all expect more and more and more.
Speaker 3: But what's interesting is whether or not we're starting to
Speaker 3: expect more of software now. I spoke to the Intuit
Speaker 3: CEO yesterday after their numbers came out, and Sasan has
Speaker 3: been talking about the disappointment he's had in the sell
Speaker 3: off of his stock, the worries that they've had about
Speaker 3: really their growth rates not supporting some of the decimation
Speaker 3: in the market capitalization of this business. And they feel
Speaker 3: that people are adopting into it, and they are striking
Speaker 3: these partnerships with Anthropic and Open Air, and they're like
Speaker 3: the software concerns, And there we have him saying, it's
Speaker 3: very hard to disprove a negative. How are you thinking
Speaker 3: about the market worrying about software and its ability to
Speaker 3: weather this AI disruption?
Speaker 5: Yeah, I think it's rational to price in a greater
Speaker 5: degree of uncertainty around the sustainability of earnings growth. But
Speaker 5: I think markets maybe getting a little ahead of themselves.
Speaker 5: And there is almost some misunderstanding I think around how
Speaker 5: transformed or how disruptive these tools are.
Speaker 2: Isn't the market meant to get ahead of itself?
Speaker 6: Though that's true.
Speaker 5: That's true, and it makes sense to self first and
Speaker 5: ask questions later.
Speaker 6: But now it's time for nuanced discussion.
Speaker 5: Around what these tools are going to do. Because these
Speaker 5: plugins themselves don't distruct businesses. It's about what you use
Speaker 5: those plugins to do. Who is leaning into AI to
Speaker 5: provide AI empowered services, to bolster competitive motes, to do more.
Speaker 5: And the other thing you know crossing headlines today is
Speaker 5: around labor disruption, and I'll say, you know, companies that
Speaker 5: are thinking about how they use AI to substitute their workers,
Speaker 5: they're missing the forest of the trees here. The real
Speaker 5: transformative impact from AI is what you can do to
Speaker 5: do more, to do faster, to build better, to do
Speaker 5: things that you wouldn't have done before, and ultimately outrun
Speaker 5: your competition in doing so.
Speaker 3: We are going to be discussing BLOCK at length in
Speaker 3: a moment, but I'm assuming that's exactly where you're pointing
Speaker 3: the fact that Jack Dorsey has admitted he over hired
Speaker 3: and in some ways has been rectifying and rebalancing BLOCK
Speaker 3: from a personnel perspective, But he is saying I am late,
Speaker 3: and we are going all in an AI and other
Speaker 3: companies are going to follow all that, other companies to
Speaker 3: follow who are bloated, who do need to RECTI five
Speaker 3: and are going to use AI as a good excuse.
Speaker 5: I think the reality is AI is going to create
Speaker 5: a lot of transformation in work, and that transformation could
Speaker 5: at times look like layoffs in some areas. But I
Speaker 5: think over the medium term, we're going to see all
Speaker 5: sorts of job creation too.
Speaker 3: Maybe they want because we'll keep talking about promot engineering.
Speaker 2: Well that's sort of thing.
Speaker 6: It is a thing of the past.
Speaker 5: Well, one of the things is, look, these agents can
Speaker 5: create a whole bunch of work. They can automate processes,
Speaker 5: but the amount of work that they can reliably automate
Speaker 5: relative to what a human worker does in a services
Speaker 5: oriented economy is still a fraction I should add. And
Speaker 5: all of these you, our listeners should know. Hallucination rates
Speaker 5: for the current frontier models still range between twenty.
Speaker 6: Six percent and eighty percent.
Speaker 5: Whatever frontier model you're using, Claude Gemini, chatchbt. They're still
Speaker 5: getting things wrong. There is still a real layer here
Speaker 5: and oversight. And the thing is, the need for human
Speaker 5: oversight only compounds when now we're talking about a lot
Speaker 5: more product, a lot more output because AI is helping
Speaker 5: us achieve that.
Speaker 3: It's interesting because of late, I think there's been pushed
Speaker 3: back on the hallucinations that are happening at the very
Speaker 3: cutting edge models.
Speaker 2: And yes, that might be a thing of the past.
Speaker 3: So I'd love to dig into that deity that you're
Speaker 3: still seeing maybe up to eighty percent. More broadly, how
Speaker 3: you thinking about the macro impact and whether or not
Speaker 3: we will see a FED that's able to tackle this
Speaker 3: in any way or not.
Speaker 5: Yeah, it's a challenge, and that's an artificial analysis for
Speaker 5: the FED. It's a challenge right now. You see there's
Speaker 5: a little bit warmer inflation. Right now, we kind of
Speaker 5: know what's contributing to that.
Speaker 6: It's tariffs. Maybe we can see through that.
Speaker 5: And I was just in DC earlier this week hearing
Speaker 5: from a bunch of these FED governors, and.
Speaker 6: There is a range of opinions here.
Speaker 5: But I think the reality is the FED is very
Speaker 5: data dependent, and right now, in the hard data, you
Speaker 5: still see very very early impacts of AI labor disruption
Speaker 5: over the medium to long term. There are I think
Speaker 5: some big questions I think we have to rely on
Speaker 5: I guess what his history has told us, and then
Speaker 5: ultimately the fact that yes, we're all amazed at the
Speaker 5: exponential growth of the technology of the frontier, but the
Speaker 5: diffusion the real economy isn't exponential.
Speaker 6: It's linear.
Speaker 5: It's going to be jagged. That's going to give us time.
Speaker 5: It's going to give policy makers time to adjust. Stephanie,
Speaker 5: thank you for helping push us forward. Sevani Aniaga of
Speaker 5: JP Morgan Acid Management. Now coming up, Anthropic rejects the
Speaker 5: pentigons the latest offer in a dispute over AI safeguards.
Speaker 5: All the details coming next is a bretting back tech.
Speaker 7: I offered more talks if so long as they're in
Speaker 7: good faith. We're always open to talks. And we set
Speaker 7: a deadline, and we meant the deadline, and up until
Speaker 7: that deadline, I'm open to more talks. And I told
Speaker 7: them so.
Speaker 3: Emil Michael nan, under Secretary of Defense for Research and Engineering.
Speaker 3: After Anthropic rejected the Pentagon's latest off in a dispute
Speaker 3: over safeguards around the use of its AI technology by
Speaker 3: the US military. Now and Thropic CEO said, quote, we
Speaker 3: cannot in good conscience accede to these their request. And
Speaker 3: now well, the deadline for any further talks is fast approaching.
Speaker 3: Lumos Tech in Industrial Policy reporter Maggie Island joins us
Speaker 3: for more.
Speaker 2: It's fast approaching.
Speaker 3: It's five pm New York time, Washington time.
Speaker 2: Maggie. What can be done until then? Exactly?
Speaker 8: So? Look, the rhetoric here has been rather intense.
Speaker 6: You see.
Speaker 8: Emil Michael the Pentagon under secretary accusing Dario.
Speaker 6: Amidae of having a God complex. Last night, you see.
Speaker 8: Dario continuing to say that we need these two safety guardrails,
Speaker 8: and those guardrails are no autonomous strikes without a human
Speaker 8: in the loop and no surveillance of US citizens, and
Speaker 8: without that he doesn't seem willing to budge. So definitely,
Speaker 8: these two sides are staring each other down, and we're
Speaker 8: going to find out at five pm.
Speaker 6: Who's will to blink.
Speaker 3: We're also seeing coalitions of workers who are employees at Amazon,
Speaker 3: at Google and Microsoft and open Ai also asking their
Speaker 3: companies to join Anthropic in refusing to comply with the
Speaker 3: Defense Department demands. Maggie, what is the argument coming not
Speaker 3: only from amor Michael saying he's got a gold complex
Speaker 3: and actually calling him a liar, but what are the
Speaker 3: legal protections already in place?
Speaker 7: Right?
Speaker 8: So the Pentagon has said, look, according to the Constitution,
Speaker 8: according to US law, the US is not allowed to
Speaker 8: have domestic surveillance over its own citizens now. And Thropic's
Speaker 8: take on that is actually that AI might propose some
Speaker 8: new legal ground where there are situations where just due
Speaker 8: to the sheer power of artificial intelligence to aggregate public data.
Speaker 8: It could lead to new surveillance use cases under which
Speaker 8: the law isn't clear. So there's definitely some semantics going
Speaker 8: on here. At the same time, these are real sort
Speaker 8: of life and death questions about how the US wants
Speaker 8: the AI tools to be used for warfare.
Speaker 3: Mag Eastland, You're reporting throughout has been stella. Thank you
Speaker 3: very much for joining us on it. Let's continue the conversation.
Speaker 3: Sarah creps is with US, director of the Tech Policy
Speaker 3: Institute at rot Cornell University, and you're at the intersection
Speaker 3: of how national security, geopolitics, and tech policy intertwine. This
Speaker 3: is anthropic having to lead the charge here in many
Speaker 3: ways and the only one have got this sort of
Speaker 3: relationship with the Pentagon thus far. Would you make of
Speaker 3: Dario's pushback?
Speaker 9: Yeah, and I think we should take a step back
Speaker 9: and acknowledge why they're at the tip the no pun
Speaker 9: intended the tip of the spear here with the Pentagon,
Speaker 9: which is that a year or so ago, you know,
Speaker 9: they seem to go in the direction of focusing on
Speaker 9: enterprise and what that more than a year ago because
Speaker 9: their first contract with pell Andeer was in twenty twenty four,
Speaker 9: and so that's the market they're going for, and so
Speaker 9: they engaged. They were part of, you know, one two
Speaker 9: hundred million dollar contracts with Pellenteer and the Pentagon in
Speaker 9: part of that enterprise kind of business that they're focusing on,
Speaker 9: and so as part of that, that enters them into
Speaker 9: a you know, this arrangement that I think has then
Speaker 9: led to where we are now, which is this standoff
Speaker 9: in terms of how they balance their kind of ethical
Speaker 9: constitution with the need to be doing enterprise work that
Speaker 9: will bring in the revenue.
Speaker 3: There is a lot at stake because what is It's
Speaker 3: not only just a two hundred million dollar contract of
Speaker 3: work that Anthropic has, but there's almost a threat coming
Speaker 3: from the Pentagon that if you don't abide by our rules,
Speaker 3: we're going to say that you're a supply chain issue
Speaker 3: and lots of other military related companies are not going
Speaker 3: to be able to use your models in the future.
Speaker 3: How much of a problem would that be for Anthropic?
Speaker 3: How much you surprise by the Pentagon's focus there?
Speaker 9: Well, I think they are definitely two sides of this story.
Speaker 9: So we're is what I think makes this generative AI
Speaker 9: so different from bombs and bullets and nuclear weapons is
Speaker 9: that nuclear weapons and missile silo only has one purpose
Speaker 9: and it was built by defense contractors. The cutting edge
Speaker 9: AI is coming out of the civilian world, and it's
Speaker 9: a classic dual use technology problem, which is it's starting
Speaker 9: in a civilian space and now it's getting appropriate and
Speaker 9: used by the Pentagon, and so it really it's a
Speaker 9: civilian technology that now has this critical national security, you know, value.
Speaker 9: And so that's where this tension is. That both sides
Speaker 9: are correct, but the Pentagon does have a lot of
Speaker 9: leverage because it's it's the federal government.
Speaker 3: It's the federal government, and we've been hearing from the
Speaker 3: federal government. I just want to hear a little bit
Speaker 3: more from under Sexuary Michael. That's what he told Blomberg
Speaker 3: earlier today. Just take a listen.
Speaker 7: We've been negotiating in good faith on the Department of
Speaker 7: Warside for about three months and we're working pretty diligently,
Speaker 7: and we sent over a proposal that we thought made
Speaker 7: a lot of concessions to the language that Anthropic wanted,
Speaker 7: and then without any notice, they published an article where
Speaker 7: we thought we were getting close, saying that they were
Speaker 7: breaking off talks well before the deadline, which is generally
Speaker 7: not good partner oriented practice, if you.
Speaker 3: Will and look Panthropic in return, has said that while
Speaker 3: the Pentagonservator's proposal fell short, the company continues to negotiate
Speaker 3: with defense officials and remains committed to working with the military.
Speaker 2: Sarah, So, when you think more broadly.
Speaker 3: And this is an echo of what happened with Google
Speaker 3: years ago, how do you think tech policy can be
Speaker 3: written by the Pentagon, by the government to fit current purposes.
Speaker 9: It is surprising that we're seeing this repeat of twenty eighteen,
Speaker 9: where Google and the CEO seem to have been blindsided
Speaker 9: by the employees reluctance to work with a Pentagon, And
Speaker 9: here we are eight years later, and it seems like
Speaker 9: a repeat of this that could have been avoided. But
Speaker 9: I think if we put ourselves in the position of
Speaker 9: how quickly AI has been moving in the last couple
Speaker 9: of years, you can see how this just becomes kind
Speaker 9: of a somehow new territory, even though it feels like
Speaker 9: we've been here before. And so I think, what was
Speaker 9: happening last you know, the last year or two, AI
Speaker 9: was moving so quickly. The Pentagon is moving quickly, trying
Speaker 9: to do things differently, and you can see then why
Speaker 9: you know? And I worked in the acquisition business in
Speaker 9: the Air Force, and there was always this question, why
Speaker 9: can't we move faster? This is why you can't move
Speaker 9: faster is because things with the federal government and national
Speaker 9: security and classified work and removing leaders from Venezuela are
Speaker 9: just not the same as coming up with a grocery
Speaker 9: list for yourself at home with chatch Ebt or in
Speaker 9: this case, Claude Daria.
Speaker 3: Armide has been very clear that he thinks more about
Speaker 3: the implications of grocery list, and he's written about the
Speaker 3: adolescence of technology, written large at the beginning of this year,
Speaker 3: thinking about the geopolitical implications, the implications for ethics for
Speaker 3: our world of work going forward. Sarah, just tell us
Speaker 3: a little bit about where you think there might be
Speaker 3: any room for agreement.
Speaker 2: Can the Pentagon go as.
Speaker 3: Far as to agree, as with Dariamide's desire to not
Speaker 3: have surveillance of US citizens or not use models for
Speaker 3: autonomous lethal strikes without human in the loop. Is that
Speaker 3: ever something that they could be specific enough about.
Speaker 9: I think it's a great question, and I think that's
Speaker 9: the reluctance of anthropic which is that the US has
Speaker 9: been saying, we are we one is to use AI,
Speaker 9: use cloud for any lawful use, and it's not lawful
Speaker 9: to use autonomous weapons, and it's not lawful to do
Speaker 9: mass surveillance. So what's the problem here. I think the worry,
Speaker 9: probably from the perspective of Anthropic is that slippery slope.
Speaker 9: What does it mean to be fully autonomous? What does
Speaker 9: it mean to do mass surveillance? And so I think
Speaker 9: that's that great. What they think is gray area that
Speaker 9: they want to be very careful about. And I think
Speaker 9: the view has been that they would rather be trying
Speaker 9: to influence safe use of AI from the inside rather
Speaker 9: than take a sanctimonious perspective and be on the outside
Speaker 9: and not be able to influence the implementation and deployment
Speaker 9: of AI. And so I think that's what they're trying
Speaker 9: to do. And so for the Anthropics leverage, I think
Speaker 9: is that their model is really good and that the
Speaker 9: Pentagon wants to use it. So my expectation would be
Speaker 9: that they probably will find some middle ground here. Before
Speaker 9: five pm.
Speaker 3: Today, Sarah Craps of the Tech Policy Institute at Cornell University,
Speaker 3: we thank you very much. Indeed, now we just want
Speaker 3: to bring you some breaking news from a Trump post
Speaker 3: on truth social So President Trump posting about an FTC
Speaker 3: letter to Apple. Now Trump is posting FTC letter to
Speaker 3: Apple on Apple News's political actions. The FTC wrote to
Speaker 3: Apple on Februy the twelfth, regarding Apple News, we're off
Speaker 3: by one point six percent. Will bring you any further
Speaker 3: details regarding that post, It is just simply a post
Speaker 3: of what the FTC has written to the CEO, Tim
Speaker 3: Cook and the fact that it's nation's consumer protection agency
Speaker 3: responsible for protecting the American consumer and they're looking to
Speaker 3: look Apple News as one of Apple's many products and
Speaker 3: services coming up, the Hollywood drama to buy Warner Brothers
Speaker 3: reaches it too climax, but as Netflix bows out, story
Speaker 3: isn't over.
Speaker 2: We're on that next to suplomleg Tech.
Speaker 3: Netflix has dropped its bid for Warner Brothers Discovery, clearing
Speaker 3: the way for Paramount Skynounce to clinch its deal for
Speaker 3: the home of Bugs, Parney and Superman Now. In a statement,
Speaker 3: Netflix's co CEOs said the price to match Paramount had
Speaker 3: gotten too high and investors rewarding that move. Just check
Speaker 3: out the shares and let's get the details. Bruemugs Luka
Speaker 3: sure who leads our entertainment coverage? Did it come as
Speaker 3: a surprise?
Speaker 10: The speed with which Netflix pulled out came as a surprise.
Speaker 10: You know, there'd been a growing suspicion over the last
Speaker 10: week that this was tilting right. Warner Brothers had selected
Speaker 10: the Netflix bid in December. Over the last couple of months,
Speaker 10: Paramount had waged this campaign to change it. For most
Speaker 10: of that time, it still seemed like Netflix was the
Speaker 10: clear front runner. But over the last week, you know,
Speaker 10: Paramount made a bid that Warner Brothers thought was better,
Speaker 10: and people started to get the feeling that, you know,
Speaker 10: that Netflix was having second thoughts. But I think the
Speaker 10: speed with which it all came together on Thursday was
Speaker 10: a real.
Speaker 3: Surprise, and it came straight after the meeting at the
Speaker 3: White House with Ted surroundos. Can we interpret anything from
Speaker 3: a political perspective, look.
Speaker 10: I think the political pressure that Paramount brought to Bayar
Speaker 10: definitely had an influence. It made a lot of Warner
Speaker 10: Brothers shareholders believe that the Netflix deal was going to
Speaker 10: take a long time and be more complicated, and maybe
Speaker 10: be more interested in the Paramount deal. But I wouldn't
Speaker 10: read too much into the meeting yesterday. I don't think
Speaker 10: it's like Ted Sarando's walk into the White House, came
Speaker 10: away saying, oh, we can't do it, and then pulled out.
Speaker 10: I think Netflix had been sort of ga building to
Speaker 10: this point for a little while.
Speaker 3: And now all eyes on the Ellisons and what's next.
Speaker 3: Luca Shaw, thank you so much for jumping on that news. Meanwhile,
Speaker 3: coming up, Jack Dorsey and as is huge jub plots
Speaker 3: over at Block as a fintech makes a big bet
Speaker 3: on AI, but is AI really the only catalyst for
Speaker 3: these job cuts at Block We're on that Next. This
Speaker 3: is bluembg Tech. Welcome back to Bloomberg Tech, checking in
Speaker 3: on these markets, checking in on individual names. To the
Speaker 3: downside after earnings. This time it's core weave off by
Speaker 3: nineteen percent. We haven't seen this sort of fall in
Speaker 3: six months for the Neo cloud. And this is as
Speaker 3: their couple expenditure continues to balloon to thirty to thirty
Speaker 3: five billion dollars for the year that was more than the.
Speaker 2: Market had anticipated.
Speaker 3: They're also posting a bigger loss than had been thought,
Speaker 3: even though revenue did climb. Look again and trade to
Speaker 3: the CEO saying, this is our business model. We build
Speaker 3: because we've already got the orders from the likes of Microsoft,
Speaker 3: from the likes of other key cloud demand and GPU demanders.
Speaker 3: But for now the market still wants more proof point
Speaker 3: and we're lower. As move on to some individual names
Speaker 3: also on the move on the back of that big
Speaker 3: private market deal.
Speaker 2: I'm looking what's happening to this points of nim video.
Speaker 3: We're off by three points, We're down by two percent
Speaker 3: for the giant, Yes, second day running that we're on
Speaker 3: the downside after its earnings. But crucially it's putting thirty
Speaker 3: billion dollars of its own money into open Ai. Now
Speaker 3: does that come in the form of GPUs we get
Speaker 3: to understand. But really this is as we understand that
Speaker 3: we are gu see Amazon lent on more by open ais.
Speaker 3: They put fifty billion dollars into this one hundred and
Speaker 3: ten billion dollar funding round for open Ai. Does that
Speaker 3: mean that we're dependent less on a video more on
Speaker 3: Amazon's own chips and cloud. Certainly Microsoft to the downside
Speaker 3: as people start to interpret that that relationship between open
Speaker 3: air and Microsoft is continuing to untangle.
Speaker 2: We get all more about Capex.
Speaker 3: And the likes with bluemeg Equity's reporter around Verstelica, who
Speaker 3: you've been singling out how cheap and video has become.
Speaker 3: But after its earnings, we are still trying to find
Speaker 3: the proof point then it still is going to dominate
Speaker 3: market share like it always has.
Speaker 6: Maybe this deal with.
Speaker 3: Open Ai on Amazon showing that perhaps we can't depend
Speaker 3: on that so much.
Speaker 11: Hey, good morning, thanks for having me. Yeah, I say
Speaker 11: that's become a growing concern. So even though in Vidia
Speaker 11: continues to grow pretty rapidly, it's multiple is getting pretty cheap.
Speaker 11: We are seeing a number of competitors, including its own customers,
Speaker 11: showing pretty good success with their own internal chip offerings.
Speaker 11: Obviously we have Alphabet with its TPU chips. You mentioned
Speaker 11: Amazon this morning and the deal that they have with
Speaker 11: open Ai. This just shows that even though in Vidia
Speaker 11: looks like the results in their just overall trends are
Speaker 11: pretty positive, there you still have a lot of concern
Speaker 11: about how sustainable is this, what is competition going to
Speaker 11: look like, and what does all that mean for how
Speaker 11: we should be interpreting the stocks prospects, especially as we
Speaker 11: look out over the longer term.
Speaker 3: I mean extraordinary because in video posted the seventy percent
Speaker 3: growth in revenue said that it's going to be accelerated
Speaker 3: into fiscal quarter that.
Speaker 2: Were currently in RYAN at the moment.
Speaker 3: But this ongoing AI capex uncertainty is also running at
Speaker 3: the same time, you've got the software uncertainty as well.
Speaker 3: Are we what is it that the market needs to
Speaker 3: hear to galvanize some support.
Speaker 11: That is a great question, because it really does seem
Speaker 11: like no matter what part of the market you're looking
Speaker 11: at when it comes to AI, seems like there's just
Speaker 11: sort of growing concerns everywhere. I mean, you mentioned Corewave
Speaker 11: not too long ago, another company that's spending very aggressively,
Speaker 11: and while they're also showing pretty good growth, people are skeptical.
Speaker 11: How much is this spending going to pay off? When
Speaker 11: an't we going to start to see more pronounced returns
Speaker 11: from it? What does the impact all this is having
Speaker 11: on earnings and cash flow and so forth. Major concerns
Speaker 11: out there, and then software is a little bit of
Speaker 11: a separate issue. But at the same time you have
Speaker 11: this sort of growing adoption of AI, you have sort
Speaker 11: of improved efficiency of these models and more capabilities. What
Speaker 11: does this mean for sort of traditional vendors, and we
Speaker 11: did get some mixed results out of the software group
Speaker 11: this week, companies like Salesforce, into It, Autodesk, all these
Speaker 11: companies coming out painting sort of a mixed picture. I
Speaker 11: think I'll just flag a duo Lingo, So maybe a
Speaker 11: little bit of a separate thing here, but the language
Speaker 11: learning software company that desk stock is plummeting today because
Speaker 11: they give a weaker than expected outlook, and that looks
Speaker 11: like one where people are just sort of looking and saying, like,
Speaker 11: what is the demand for this kind of service going
Speaker 11: to be in a world where we have AI providing
Speaker 11: auto translation sort of services out there. So that is
Speaker 11: just sort of I think indicative of just the growing
Speaker 11: concern and fear out there.
Speaker 3: Joe Lingo off by fifteen percent and the moment ran Vasilika,
Speaker 3: thanks for bringing us that one. As we think about
Speaker 3: how powerful these models have become. Just take a look
Speaker 3: at the two day chart of block shares. We've got
Speaker 3: that huge spike coming after the company which owns Square
Speaker 3: and cash app to a shareholders it plans to cut almost.
Speaker 2: Half of its workforce. Why AI.
Speaker 3: Let's talk about it with Bluebot Fintech report Emily Mason,
Speaker 3: and there is a lot of hand ringing as to
Speaker 3: whether this is AI washing or actual AI productivity Emily,
Speaker 3: but first of all gives us the fact, what did
Speaker 3: Jack Dawsey announce.
Speaker 12: I mean, he is.
Speaker 13: Really saying that this is driven by AI. They've made
Speaker 13: a lot of investments in their internal tools like Goose,
Speaker 13: which are meant to help employees across the board operate
Speaker 13: more efficiently. So they were really trying to communicate that
Speaker 13: this is coming from a position of strength and that
Speaker 13: you know, it's a bet on AI making them more efficient.
Speaker 13: I think they're getting a lot of skepticism that you know,
Speaker 13: they hired really aggressively over Covid and similar to a
Speaker 13: lot of their peers, and you know, maybe they needed
Speaker 13: to reduce some.
Speaker 3: Blow when they say a position of strength. I think
Speaker 3: the CFO was talking about how they've seen more than
Speaker 3: twenty percent growth in their gross profit for the core
Speaker 3: to they just talked about his Jack Dorsey discussing how they, yeah.
Speaker 2: They did over hire in COVID.
Speaker 3: He admitted that, but they also feel that they've been
Speaker 3: pretty well run. That's something that I've been hearing echoed
Speaker 3: by Annus as well, that compared to other payment companies. Actually,
Speaker 3: they're pretty profitable on a per employee basis, on a
Speaker 3: one year basis, it's been more volatile for the stock,
Speaker 3: so Emii painter as as to what the reaction is
Speaker 3: going to be like and how you actually let go
Speaker 3: of that many people, four thousand all in one shop.
Speaker 13: I mean, that's part of what made it so surprising, right,
Speaker 13: is like it's not totally clear what pushed them to
Speaker 13: make such a dramatic change. If they are performing so well,
Speaker 13: they're really trying to increase their product velocity to keep
Speaker 13: up with competitors. I think people feel like they've done
Speaker 13: a good job of that, catching up with Toast as
Speaker 13: far as future parity for serving restaurants, which has been
Speaker 13: a focus area for them on the square side. So
Speaker 13: I think that's kind of where they are, and they're
Speaker 13: hoping to just continue on that trajectory. They've made a
Speaker 13: lot of restructuring changes to kind of operate more efficiently.
Speaker 13: They've gotten a rid of a lot of middle management people,
Speaker 13: and I think part of a question I have is
Speaker 13: like is this the culmination of that? Like are they
Speaker 13: now happy with their organizational structure and are they going
Speaker 13: to be able to just execute without restructuring anymore.
Speaker 2: And that was the argument.
Speaker 3: Don't have wave off the wave, just do it once
Speaker 3: and do it efficiently, shall we say? But still, this
Speaker 3: is a human story, Emily Mason, thanks for bringing it
Speaker 3: to us from Bloc, and therefore let's get you the
Speaker 3: wider human picture here as it intertwined with AI. JP
Speaker 3: Gownder's with us, his vice president and principal analyst, a
Speaker 3: Future of Work team and the research for Forester.
Speaker 2: You've been writing a lot.
Speaker 3: About the potential for AI washing, for companies to blame
Speaker 3: AI and technology for job cuts.
Speaker 2: But what do you interpret Block as.
Speaker 12: I think it's a story in part potentially of AI washing.
Speaker 12: AI washing is incredibly pervasive right now. After all, if
Speaker 12: you lay people off and you say, well, we've just
Speaker 12: become so much more productive because of AI, it makes
Speaker 12: you sound innovative, it makes you sound in control. But
Speaker 12: the truth of the matter is that Block does, as
Speaker 12: you've pointed out, have some other problems. They're down seventy
Speaker 12: five percent from their record high, all time high of stock,
Speaker 12: but they also did over hire during COVID and that
Speaker 12: can't be overlooked. I will say this in the tech
Speaker 12: sector when you have a software developer centric kind of organization,
Speaker 12: there is more potential using AI to fill in for
Speaker 12: productivity because coding is moving in the direction of becoming
Speaker 12: very much generated by AI.
Speaker 3: What caught my attention when I first read the post
Speaker 3: yesterday from Jack Dorsey was he was saying, I'm late,
Speaker 3: I'm not early.
Speaker 2: Others are going to copy me.
Speaker 3: Now do you think there's going to be a copycat
Speaker 3: effect here, particularly from software from tech companies that are
Speaker 3: at the cutting edge of using the latest, greatest front
Speaker 3: end models.
Speaker 12: Probably. I mean there have been quite a few tech layoffs,
Speaker 12: including of developers from some of the biggest firms in
Speaker 12: the world. We've seen Amazon layoff thirty thousand employees over
Speaker 12: the last few months, and it will be happening everywhere.
Speaker 12: But again, all of these companies were in a war
Speaker 12: for talent during COVID, and they were kind of hiring
Speaker 12: everyone they could get their hands on who had talent. Now,
Speaker 12: these newer tools that allow software developers to generate code
Speaker 12: at a much faster pace, well, it does change the economics.
Speaker 3: A bit, but there's still a war for talent, just
Speaker 3: a different kind of war for talent.
Speaker 2: And so I'm.
Speaker 3: Interested as to who there for these companies are fighting
Speaker 3: to hire and who gets let's go in this scenario.
Speaker 12: Right, Well, look, I think what we saw that was
Speaker 12: different during COVID is even relatively junior developers were being
Speaker 12: snapped up people straight out of college. And right now
Speaker 12: we know that junior talent is suffering in the job market.
Speaker 12: Very qualified people find it hard to get on that
Speaker 12: first rung of the career ladder. Who they're fighting over
Speaker 12: are really the leading edge AI experts and people with
Speaker 12: a lot of hardcore AI experience who are really adept
Speaker 12: at using these tools in a variety of ways and
Speaker 12: who have proven that they could drive some business value.
Speaker 12: Because we know that ROI remains relatively elusive with AI
Speaker 12: rit large at.
Speaker 3: The end of the day, skategoating or not, job cuts
Speaker 3: are still occurring, JP push us forward as to what
Speaker 3: the future of work in your mind's I actually does
Speaker 3: look like. The reason this block announcement had such an
Speaker 3: impact is because it comes on the back of a
Speaker 3: week where we had the Sutrini research to kick it off,
Speaker 3: when we all had this angst about what a dystopian
Speaker 3: two years time looks like. With ten percent unemployment is
Speaker 3: that what you're thinking is a reality.
Speaker 12: So at Forrester we have a forecast. We believe that
Speaker 12: by twenty thirty that AI and automation will take about
Speaker 12: ten million jobs out of the US economy, which is
Speaker 12: about one hundred and sixty million jobs, so that's about
Speaker 12: six point one percent. That is nothing to sneeze at.
Speaker 12: There's real human pain involved there, but it's not the
Speaker 12: apocalypse that some people are talking about. We believe that
Speaker 12: usually AI is augmenting rather than effectively replacing people. And
Speaker 12: if you look beneath the covers and mi T did
Speaker 12: to study, ninety five percent of companies have yet to
Speaker 12: see any tangible return on an investment in a financial
Speaker 12: sense from all the AI investments they've been making over
Speaker 12: the last few years. So we have a sober look.
Speaker 12: It will have an impact. Ten million jobs is not nothing,
Speaker 12: but it is hardly the apocalypse.
Speaker 2: Will it create jobs JP?
Speaker 12: Yeah, there are definitely some new categories, at least of
Speaker 12: skills that are necessary. I mean, did you ever hear
Speaker 12: of a prompt engineer three years ago?
Speaker 2: I know? But are they still needed?
Speaker 3: I thought that was I thought that was last year's issue.
Speaker 12: It certainly was, and now we're moving to who's good
Speaker 12: at agentic AI, but those agents still base their actions
Speaker 12: on a lot of prompting. So prompting hasn't quite gone
Speaker 12: away to the degree that people would lead you to believe.
Speaker 12: But we are indeed moving toward a more agentic world.
Speaker 3: JP Gander, it's great to connect with you today, a forester,
Speaker 3: thank you for the thought leadership.
Speaker 2: Coming up. Thirteen percent.
Speaker 3: That's the amount of the global smartphone market could shrink
Speaker 3: this year. More on that IDC number next Disciplue mag Tech.
Speaker 3: A new report from my DC says the global memory
Speaker 3: crunch will lead to a historic contraction in the smartphone market.
Speaker 3: Nobila popol Scene, a research director at IDC, joins us
Speaker 3: to discuss.
Speaker 2: This next thing. You call it a crisis like no other.
Speaker 3: What's driving it purely the fact that we all need
Speaker 3: memory for data centers.
Speaker 14: Absolutely, I mean it is like no other be because
Speaker 14: we've been through the pandemic, We've been through a really
Speaker 14: volatile year just now, like with a terrorists, and we
Speaker 14: still didn't see a drop like this, right, so this
Speaker 14: is completely different situation. And essentially there is just not
Speaker 14: enough memory for the players that needed. And given that,
Speaker 14: how many different products we need memory in right, So
Speaker 14: that's what's essentially creating the crunch. But more importantly, it's
Speaker 14: not just about the drop now and then the market
Speaker 14: will recover. It's about what makes us really different and
Speaker 14: much more dire for the industry. It's how this is
Speaker 14: going to create a permanent change, a structural reset of
Speaker 14: the entire industry, both in terms of ten So just
Speaker 14: this year, we're looking at about one hundred and sixty
Speaker 14: million units wiped off the market. But even when it
Speaker 14: starts to recover, which as of our assumptions, the situation
Speaker 14: was stabilized somewhat mid twenty seven and we're starting to
Speaker 14: go in positive growth territory, but you're still looking at,
Speaker 14: you know, close to one hundred and sixty million off
Speaker 14: the TEMP. So throughout our forecast we're not expecting the
Speaker 14: TAM to get back to prior you know, twenty twenty
Speaker 14: five levels right within that Again.
Speaker 3: Can I join pan on that TAM Why will it
Speaker 3: be so long term diminished?
Speaker 14: So essentially the U and the reason for the drop
Speaker 14: is how the change in the competitive landscape is going
Speaker 14: to is gonna you know, the impact that it's going
Speaker 14: to take. So where the you know, where is that
Speaker 14: one hundred and sixty million coming from. It's the prices
Speaker 14: of the memory, right, And why we keep saying, I
Speaker 14: mean that have the prices of the memory that are
Speaker 14: shot up up to have been three hundred percent from
Speaker 14: what they were last year, and they're continuing to go higher.
Speaker 14: Memory that used to contribute to about twenty percent of
Speaker 14: a smartphone bomb cost is now anywhere, you know, tripling that.
Speaker 14: So imagine a smartphone that is at below one hundred dollars.
Speaker 14: If the memory costs used to be fifteen twenty dollars
Speaker 14: and that's tripled, it's essentially making below hundred and fifty
Speaker 14: dollars smartphones uneconomical to make anymore. So those OEMs, and
Speaker 14: there are a lot of you know, Android OEMs operating
Speaker 14: in that space with majority of their portfolio, some with
Speaker 14: ninety percent of the portfolio below that, those are the
Speaker 14: ones that are at extreme risk. You know, not to
Speaker 14: say that anyone is immune. Even the larger players like
Speaker 14: Apple and Samsung are going to face higher memory prices,
Speaker 14: but at least they are able to secure the supply,
Speaker 14: and when they get the supply, or at least majority
Speaker 14: of it, they can afford those higher prices, right, because
Speaker 14: their devices have larger margins. It's really those lower end
Speaker 14: Android players that are already operating on you know, racer
Speaker 14: thin margins that's simply not going to be able to
Speaker 14: make those phones, those below one hundred and fifty dollars phones.
Speaker 3: So it feels a bit like it's the emerging markets
Speaker 3: that are going to be hit the most in terms
Speaker 3: of en demand in terms of low cost phones.
Speaker 2: Can we not innovate our way out of this?
Speaker 14: You know I would, and I think I said that
Speaker 14: earlier to someone that we are. You know, this is
Speaker 14: going to be a time of like survival of the fittest,
Speaker 14: where the of course, the larger players are going to
Speaker 14: be able to secure their supply and leverage their you know,
Speaker 14: their margins to be able to absorb some of the costs.
Speaker 14: But we're you know, we always see, right at times
Speaker 14: of crisis is when the biggest innovations come out, right,
Speaker 14: So you know, we're curious to see and we're already
Speaker 14: hearing of some of the lower OEMs either resorting to
Speaker 14: use devices to get the RAM from that or you know,
Speaker 14: and memory from older phones. But you know, we still
Speaker 14: don't think it'll be enough to overt the drop that
Speaker 14: we're seeing. The other strategy and mitigation strategy that they're
Speaker 14: thinking about or going to leverage is that they're going
Speaker 14: to try to move up in price segments, right, so
Speaker 14: target above two hundred dollars phones. But again the challenge
Speaker 14: there is that demand there is going to be very
Speaker 14: sensitive because one, there's going to be so much increased
Speaker 14: competition from more established players in those price segments that
Speaker 14: it's going to be really harder part for the low
Speaker 14: end below one hundred dollars brands to be able to
Speaker 14: get demand or consumers to buy their devices above two hundreds.
Speaker 14: So even though they're being ambitious, I think it's going
Speaker 14: to be a big challenge to operate at the same
Speaker 14: volume at higher price segments. So, you know, that brings
Speaker 14: me to my other point. We're not only looking at
Speaker 14: a full competitive landscape change where many players exit and
Speaker 14: you know, share change between the larger players that are remaining,
Speaker 14: but also a complete product mixshift of the industry that
Speaker 14: it's going to last for a long time because even
Speaker 14: when the crisis stabilizes and memory prices go down slightly,
Speaker 14: they're not going to go back to prior levels. So
Speaker 14: it's almost never, you know, permanently uneconomical to make those
Speaker 14: subundred hundred and fifty dollars devices.
Speaker 3: So we can beat a lot of changes. Are we
Speaker 3: going to be keeping our phones for longer? Nibella that
Speaker 3: was already a trend, and yes, exactly.
Speaker 14: So the consumers that are not going to be able
Speaker 14: to afford those higher price segments or higher prices which
Speaker 14: are across the board, not just on law and we're
Speaker 14: you know, some are going to end up resorting to
Speaker 14: you know, keeping their devices longer, or resorting to the
Speaker 14: use market. So there's just so many dynamics at play,
Speaker 14: and we're eager to see how OEMs and consumers adapt.
Speaker 14: But it's going to be a very challenging couple of years.
Speaker 3: Pope, it was fascinating research Senior research director at I
Speaker 3: d C. Thank you coming up a new way to
Speaker 3: start your weekend. Bloomberg TV is launching Bloomberg this weekend.
Speaker 3: Co host David Gurr is going to be joining us
Speaker 3: for a preview.
Speaker 2: This is Bloomberg Tech.
Speaker 3: NASA shaking up its Ultimism mission to the Moon. The
Speaker 3: Space agency decided to cancel a multi billion dollar Boeing
Speaker 3: upgrade to the centerpiece launch system.
Speaker 2: Rocket and is slotting in a test.
Speaker 3: Fighter fight closer to Earth as the program remains beset
Speaker 3: by delays and coast over ons. Now, even with this
Speaker 3: latest turn of events, NASA insists the twenty twenty eight
Speaker 3: deadline for a lunar touchdown remains unchanged. Meanwhile, there is
Speaker 3: something changing of Bloomberg TV, unveiling a brand new show
Speaker 3: to start.
Speaker 2: Your weekend, Bloomberg this Weekend.
Speaker 3: Joining us is the program's co host, David Gourret, one
Speaker 3: of three and a whole team behind it. David, I
Speaker 3: have a feeling you might be talking for some tech
Speaker 3: stuff this weekend.
Speaker 15: Indeed we will, so there'll be plenty of tech stuff,
Speaker 15: certainly watching what's been happening with the Pentagon and Anthropic,
Speaker 15: and also the private credit story continues to be royaling
Speaker 15: as well. So I think it highlights why we're doing
Speaker 15: this program. That is, it doesn't seem like everything is
Speaker 15: contained in a Monday through Friday week anymore. It seems
Speaker 15: like it starts to build even more at the tail
Speaker 15: end of Friday going into the weekend. So between that,
Speaker 15: what's happening in tech, private credit, and then of course
Speaker 15: what's happening in geopolitics.
Speaker 16: I think it has the makings for very busy launch
Speaker 16: weekend for US.
Speaker 3: I blame Crypto, Yes, they started throughout the week and vibes,
Speaker 3: but what we like to do on a weekend is
Speaker 3: maybe digest in a different way as kind of a
Speaker 3: sit back approach rather than a lean in. Is that
Speaker 3: kind of the style of the program.
Speaker 15: That is definitely the plan, and of course if something
Speaker 15: major happens, we will change course and accommodate that and
Speaker 15: cover the live news very capably with all of our
Speaker 15: colleagues around the world.
Speaker 16: But having done this.
Speaker 15: Once before hosted a weekend show, I know that the
Speaker 15: importance of it center is largely on being able to
Speaker 15: exhale at the end of the week, think about what's
Speaker 15: happened on Saturday, maybe have some longer conversations about themes
Speaker 15: that have developed over the course of the week, and
Speaker 15: then on Sunday position everyone.
Speaker 16: For the week ahead, set the table for that.
Speaker 15: So it'll be three hours a significant amount of time,
Speaker 15: but we're on TV radio and streaming as well, so
Speaker 15: folks can kind of listen to the show as they
Speaker 15: move about their day.
Speaker 16: They don't have to be stationary in front of the
Speaker 16: television or the radio to do it.
Speaker 3: I mean, I really feel like the themes that have
Speaker 3: engulfed this week in many ways are the themes that
Speaker 3: continue from our tech audience perspective day in day out.
Speaker 3: What does AI mean for the future of work? What
Speaker 3: does it mean in terms of a dystopian future in
Speaker 3: twenty to thirty that is articulated a substack by Satrini
Speaker 3: research We've never heard of before. Sorry Satrinia, But is
Speaker 3: that something you're thinking about? Is that what the audience asking.
Speaker 2: For as well?
Speaker 16: I think so.
Speaker 15: And there's some plus to see that this were at
Speaker 15: the beginning of the evolution of a lot of these things.
Speaker 15: And I think that people are very hungry for all
Speaker 15: kinds of analysis. Yes, the most alarmist and thought provoking,
Speaker 15: but I think there are many opportunities when it comes
Speaker 15: to AI, when it comes to productivity, it comes to
Speaker 15: the economy broadly, kind of sit back and really hear
Speaker 15: interesting conversation about what people are thinking about, where it's headed,
Speaker 15: where it might be headed, where it could be headed,
Speaker 15: and we'll be having those conversations.
Speaker 2: Yes, who can we live?
Speaker 15: Let me fly that We'll have the minority leader of
Speaker 15: the House representatives of King Jeffreys on the show tomorrow,
Speaker 15: and the Democrats have just had a big meeting outside
Speaker 15: of Washington, d C.
Speaker 16: Obviously on the heels of the state of the Union.
Speaker 15: We'll be having a conversation with him about that, the
Speaker 15: Democratic agenda. Certainly we'll get into tech, talk about Iran
Speaker 15: as well as we continue to watch what's happening there
Speaker 15: and the House prepares to vote on a war Powers
Speaker 15: resolution next week. Light stuff, light stuff, There'll be light
Speaker 15: fair as well.
Speaker 2: I don't mean to David Gore. There'll be some laughs.
Speaker 2: I know that.
Speaker 3: With your team, we thank you to be sure tune
Speaker 3: into the premiere of Bloomberg this weekend. That's tomorrow's studying
Speaker 3: at seven A at Easton that does have this edition
Speaker 3: of Bloomberg Tech. But keep an eye on some of
Speaker 3: these stocks. Then now's like one hundred having its worst
Speaker 3: week since March was month in fact of March of
Speaker 3: last year. It's down on the week, it's down on
Speaker 3: the day. In video off by two point two percent.
Speaker 3: Amazon without open Ai, fifty billion dollar funding of one
Speaker 3: hundred and ten.
Speaker 2: This is Bloomberg Tech