WEBVTT - VerbalizeIt's Frankel on Smartling Acquiring His Company(Audio)

0:00:03.120 --> 0:00:06.519
<v Speaker 1>Global business news twenty four hours a day. If Bloomberg

0:00:06.559 --> 0:00:09.640
<v Speaker 1>dot com, the radio plus mobile app and on your radio.

0:00:09.920 --> 0:00:13.840
<v Speaker 1>This is a Bloomberg business flag from Bloomberg World Headquarters.

0:00:13.960 --> 0:00:17.360
<v Speaker 1>I'm Charlie Pellets and breaking news involving GAP. It's he's

0:00:17.400 --> 0:00:21.240
<v Speaker 1>closing about seventy five stores, talking about head count reductions

0:00:21.239 --> 0:00:25.279
<v Speaker 1>mainly at corporate headquarters in San Francisco. Also says it's

0:00:25.320 --> 0:00:28.479
<v Speaker 1>old navy chain will exit Japan as it copes with

0:00:28.560 --> 0:00:31.720
<v Speaker 1>eight sales decline. We are sifting through the latest numbers

0:00:31.720 --> 0:00:35.000
<v Speaker 1>coming out of GAP. SMP lower today down seven points

0:00:35.000 --> 0:00:37.280
<v Speaker 1>to two thousand forty a drop there of four tenths

0:00:37.320 --> 0:00:40.040
<v Speaker 1>of one percent. SMP now at a seven week low.

0:00:40.120 --> 0:00:43.080
<v Speaker 1>We've got nez Stack down twenty six points, a drop

0:00:43.120 --> 0:00:46.600
<v Speaker 1>of six tenths of one percent down. Industrials down ninety

0:00:46.600 --> 0:00:49.440
<v Speaker 1>one points to decline there of five tenths of one percent.

0:00:49.880 --> 0:00:53.760
<v Speaker 1>Gold down to twelve fifty five, a drop of one

0:00:53.800 --> 0:00:57.880
<v Speaker 1>and a half percent. Crewed down nine cents to ten

0:00:57.960 --> 0:01:01.120
<v Speaker 1>a barrel on West Texas Centermedia. That is a drop

0:01:01.200 --> 0:01:04.720
<v Speaker 1>of two tents of one I'm Charlie. That's a Bloomberg

0:01:04.760 --> 0:01:09.000
<v Speaker 1>business flash. This is taking stock with Pim Fox and

0:01:09.120 --> 0:01:15.160
<v Speaker 1>Kathleen Hayes on Bloomberg Radio to entrepreneurs who met at

0:01:15.160 --> 0:01:20.200
<v Speaker 1>the Wharton Business School and went on to start a company.

0:01:20.280 --> 0:01:25.720
<v Speaker 1>An innovative smartphone app that connects travelers with live translators

0:01:25.959 --> 0:01:30.160
<v Speaker 1>all over the globe. Verbalize It has some big news

0:01:30.280 --> 0:01:33.520
<v Speaker 1>today and we're very happy to welcome to the show now.

0:01:33.640 --> 0:01:36.600
<v Speaker 1>Ryan Frankel, the CEO of Verbalize It, to tell us

0:01:37.040 --> 0:01:43.319
<v Speaker 1>about their new relationship with Smartling, ran great to have you,

0:01:44.000 --> 0:01:46.720
<v Speaker 1>great to be here, Thanks for welcoming back. Well, so,

0:01:47.000 --> 0:01:49.600
<v Speaker 1>first of all, tell people a little bit more about

0:01:49.880 --> 0:01:52.240
<v Speaker 1>where you are. I think it's fascinating that you've got

0:01:52.240 --> 0:01:55.800
<v Speaker 1>a deal on shark Tank back in that didn't pan out,

0:01:55.840 --> 0:01:58.520
<v Speaker 1>but some advice you've got on shark Tank really helped

0:01:58.560 --> 0:02:00.960
<v Speaker 1>you focus the company in ultimate raise the funding you

0:02:01.000 --> 0:02:03.960
<v Speaker 1>needed to grow this company. We did the experience that

0:02:04.000 --> 0:02:07.720
<v Speaker 1>allowed us to pivot from a purely consumer application play

0:02:07.800 --> 0:02:12.680
<v Speaker 1>into more and more lucrative and more powerful business internationalization

0:02:12.760 --> 0:02:16.320
<v Speaker 1>experience UM short of It, which allowed us to help

0:02:16.400 --> 0:02:19.799
<v Speaker 1>companies of all shapes and sizes translate all of their

0:02:19.840 --> 0:02:24.520
<v Speaker 1>content over any medium of communication in order to facilitate

0:02:24.960 --> 0:02:28.560
<v Speaker 1>international expansion. Hey, Ryan, I was just looking at the

0:02:29.040 --> 0:02:31.800
<v Speaker 1>report from the U. S. Bureau of Statistics that says

0:02:31.800 --> 0:02:35.560
<v Speaker 1>that the translation industry is expected to grow by forty

0:02:35.639 --> 0:02:41.519
<v Speaker 1>two It's the time frame they use is twenty twenty.

0:02:41.680 --> 0:02:44.240
<v Speaker 1>And I'm wondering if you could describe some of the

0:02:44.280 --> 0:02:49.480
<v Speaker 1>applications some of the customer uses for verbalize it. Sure, so, Pam,

0:02:49.560 --> 0:02:51.679
<v Speaker 1>you hit the nail on the head. This is quickly approaching,

0:02:51.680 --> 0:02:55.920
<v Speaker 1>actually at forty billion dollars a year industry for outsourced

0:02:55.960 --> 0:02:59.880
<v Speaker 1>language translation, and the types of expenditures are really being

0:03:00.040 --> 0:03:04.200
<v Speaker 1>driven by companies across the spectrum, So your traditional large

0:03:04.320 --> 0:03:08.160
<v Speaker 1>enterprise organizations all the way down to today's startups and

0:03:08.200 --> 0:03:10.959
<v Speaker 1>everyone in between. And the types of use case is

0:03:11.000 --> 0:03:13.679
<v Speaker 1>really ranged from you know, a company might want to

0:03:13.720 --> 0:03:17.560
<v Speaker 1>start translating their marketing documents to evaluate demand overseas, and

0:03:17.560 --> 0:03:19.800
<v Speaker 1>then all of a sudden, a matter of weeks or

0:03:19.800 --> 0:03:23.280
<v Speaker 1>months later, they might need to completely localize their website,

0:03:23.360 --> 0:03:27.280
<v Speaker 1>translate their mobile apps, even subtitle and caption their videos.

0:03:27.320 --> 0:03:29.520
<v Speaker 1>So it really is that it's an exciting time to

0:03:29.520 --> 0:03:31.240
<v Speaker 1>be in that industry. And I just and I just

0:03:31.280 --> 0:03:33.400
<v Speaker 1>want to make offer you the chance to make it

0:03:33.440 --> 0:03:35.600
<v Speaker 1>clear that we're not talking about some kind of machine

0:03:35.680 --> 0:03:41.080
<v Speaker 1>translation algorithm. You're talking about connecting people. It's people to people.

0:03:41.120 --> 0:03:44.600
<v Speaker 1>We really believe that the best quality translations, both in

0:03:44.720 --> 0:03:47.680
<v Speaker 1>terms of the accuracy of the translation itself but also

0:03:47.720 --> 0:03:51.760
<v Speaker 1>the actual context, really does come from from other humans.

0:03:51.560 --> 0:03:55.760
<v Speaker 1>And so the platform that is today smartling um that

0:03:55.800 --> 0:03:59.760
<v Speaker 1>we are now part of, is really a technology platform

0:03:59.840 --> 0:04:03.800
<v Speaker 1>that connects those in need of language translation with a

0:04:03.960 --> 0:04:08.120
<v Speaker 1>vetted community of translators all over the group. So how

0:04:08.240 --> 0:04:14.240
<v Speaker 1>much do you charge for your service? How how where

0:04:14.360 --> 0:04:17.960
<v Speaker 1>is the business now in terms of revenues, a number

0:04:18.000 --> 0:04:20.920
<v Speaker 1>of people using it? And how big do you expect

0:04:21.000 --> 0:04:24.040
<v Speaker 1>to get? Well, the Smartling company of which we are

0:04:24.040 --> 0:04:27.159
<v Speaker 1>now a part is just around a hundred fifty employees

0:04:27.200 --> 0:04:29.920
<v Speaker 1>and growing by leaps and bounds. And while we can't

0:04:29.920 --> 0:04:32.680
<v Speaker 1>to school with the actual revenue metrics, I can tell

0:04:32.720 --> 0:04:35.960
<v Speaker 1>you that there are hundreds of businesses of all shapes

0:04:35.960 --> 0:04:40.839
<v Speaker 1>and sizes utilizing the platform for a wide range of

0:04:40.880 --> 0:04:45.000
<v Speaker 1>translation needs, ranging from your one off single document translation

0:04:45.080 --> 0:04:49.480
<v Speaker 1>to a full on, you know, daily email translation, video

0:04:49.560 --> 0:04:54.320
<v Speaker 1>subsideally translation, Ryan, Why sell the company to Smartling? Why

0:04:54.400 --> 0:04:56.479
<v Speaker 1>become part of them? Why not grow the company and

0:04:56.480 --> 0:04:59.359
<v Speaker 1>go public? That's a great question, paim we Um. We

0:04:59.440 --> 0:05:01.640
<v Speaker 1>found the per a partner and acquir in smartling, and

0:05:01.680 --> 0:05:05.240
<v Speaker 1>it really enables us to, you know, achieve our longstanding

0:05:05.320 --> 0:05:07.960
<v Speaker 1>vision of breaking down language barriers to make the world

0:05:08.480 --> 0:05:11.719
<v Speaker 1>a more connected place. And the combination of our businesses

0:05:11.800 --> 0:05:14.320
<v Speaker 1>really does bring together what I like to call you

0:05:14.520 --> 0:05:18.359
<v Speaker 1>to best in class technology platforms and two rock solid

0:05:19.000 --> 0:05:21.920
<v Speaker 1>teams that will allow us to truly make a dent

0:05:22.160 --> 0:05:25.760
<v Speaker 1>in the language translation industry. But ultimate really creates the

0:05:25.800 --> 0:05:30.200
<v Speaker 1>ultimate platform for helping businesses go global. So how big

0:05:30.320 --> 0:05:32.480
<v Speaker 1>is this industry now compared to where it was ten

0:05:32.560 --> 0:05:35.440
<v Speaker 1>or twenty years ago? And I'm just curious, is Chinese?

0:05:35.520 --> 0:05:38.360
<v Speaker 1>Is that one of the main growth areas. Chinese has

0:05:38.400 --> 0:05:44.240
<v Speaker 1>been big? Japanese is huge, Korean, even Brazilian Portuguese, you

0:05:44.279 --> 0:05:46.680
<v Speaker 1>know obviously, which has been a big We have got

0:05:46.720 --> 0:05:50.320
<v Speaker 1>some upcoming with the Olympics and some strong international development there.

0:05:50.640 --> 0:05:53.320
<v Speaker 1>So we're seeing a lot of the same languages being

0:05:53.320 --> 0:05:55.680
<v Speaker 1>requested that we're ten years ago. Control also seeing a

0:05:56.160 --> 0:06:00.600
<v Speaker 1>really nice uptick in demand for these other languages as well.

0:06:00.680 --> 0:06:04.640
<v Speaker 1>Ryan in using a new technology to bring these language

0:06:04.640 --> 0:06:09.080
<v Speaker 1>skills to maybe even small and mid sized businesses. What

0:06:09.160 --> 0:06:13.240
<v Speaker 1>about incorporating them into actual applications that would run on

0:06:13.279 --> 0:06:16.600
<v Speaker 1>a smartphone. How do you see that playing out? It's

0:06:16.600 --> 0:06:18.520
<v Speaker 1>a it's a very interesting question of them. We're seeing

0:06:18.520 --> 0:06:21.919
<v Speaker 1>a lot of companies today actually looking to translate and

0:06:21.960 --> 0:06:25.640
<v Speaker 1>localize their apps. Um. And so we'll see with with

0:06:25.720 --> 0:06:28.960
<v Speaker 1>the smart Wing platform is the ability for app developers

0:06:29.480 --> 0:06:33.799
<v Speaker 1>and app first companies to literally link into a PI

0:06:33.880 --> 0:06:36.520
<v Speaker 1>which is essentially a plug in into the platform that

0:06:36.600 --> 0:06:40.440
<v Speaker 1>is Smartling, enabling them to constantly push updates to their

0:06:40.480 --> 0:06:43.800
<v Speaker 1>apps and seeing that they receive back translation in any

0:06:43.839 --> 0:06:48.360
<v Speaker 1>given language. Finally, any advice to would be entrepreneurs, no

0:06:48.400 --> 0:06:52.479
<v Speaker 1>matter what business, no matter what industry they're in. UM,

0:06:52.760 --> 0:06:54.520
<v Speaker 1>I truly believe one of the best piece of advice

0:06:54.560 --> 0:06:57.880
<v Speaker 1>I ever got was, you know, entrepreneurs, especially those in

0:06:57.920 --> 0:06:59.840
<v Speaker 1>New York City, we have a habit for spending a

0:06:59.839 --> 0:07:03.120
<v Speaker 1>lot of our time behind the computer screen and touring

0:07:03.120 --> 0:07:04.560
<v Speaker 1>away at allow us to night. But some of the

0:07:04.640 --> 0:07:08.120
<v Speaker 1>best things and truly comes from face to face interaction

0:07:08.160 --> 0:07:10.800
<v Speaker 1>and being a New York City entrepreneur and ending in

0:07:10.880 --> 0:07:14.640
<v Speaker 1>such close proximity to other entrepreneurs and world class leaders.

0:07:14.680 --> 0:07:17.600
<v Speaker 1>My advice is to get out their network, meet these

0:07:17.600 --> 0:07:19.960
<v Speaker 1>people face to face. It's how we first connected with

0:07:20.000 --> 0:07:22.960
<v Speaker 1>the with the leadership team with Jack Welby, a smart

0:07:23.040 --> 0:07:25.760
<v Speaker 1>Ling and it's a it's a great example of how

0:07:25.760 --> 0:07:28.040
<v Speaker 1>we got to where we are today. Thanks very much.

0:07:28.160 --> 0:07:31.880
<v Speaker 1>Ryan Franklin is the chief executive and the co founder

0:07:31.960 --> 0:07:38.760
<v Speaker 1>of Verbalize It now being acquired by Smartling International Translation Services.

0:07:39.080 --> 0:07:41.840
<v Speaker 1>If you're listening to taking Stock and this is Bloomberg

0:07:41.960 --> 0:07:47.600
<v Speaker 1>Radio coming up, Bloomberg Law brought to you by Deutch

0:07:47.680 --> 0:07:50.680
<v Speaker 1>Jakins PC. If you feel you've been unlawfully terminated, you

0:07:50.720 --> 0:07:52.760
<v Speaker 1>owe it to yourself to call the law firm of

0:07:52.760 --> 0:07:56.000
<v Speaker 1>Deutch Jakins now for a free phone consultation called eight

0:07:56.040 --> 0:07:57.160
<v Speaker 1>hundred four nine eight Z