WEBVTT - Microsoft, Nvidia Commit $15 Billion to OpenAI Rival 0:00:02.520 --> 0:00:13.200 Bloomberg Audio Studios, podcasts, radio news. Bloomberg Tech is a 0:00:13.320 --> 0:00:17.000 live from coast to coast with Caroline Hyde in New 0:00:17.120 --> 0:00:20.800 York and Eva though in San Francisco. 0:00:21.720 --> 0:00:23.280 This is Bloomberg Tech Coming up. 0:00:23.320 --> 0:00:25.680 Microsoft and in video commit to invest up to fifteen 0:00:25.680 --> 0:00:30.120 billion dollars combined in AI startup Anthropic. This is Saudi 0:00:30.160 --> 0:00:32.879 Arabia's Crown Prince is set to discuss tech investments and 0:00:33.000 --> 0:00:37.239 AI innovation with President Trump today, and gaming giant Roadblocks 0:00:37.280 --> 0:00:40.640 takes steps to expand age verification across its platform. 0:00:40.800 --> 0:00:42.760 We'll discuss with the CEO, but. 0:00:42.800 --> 0:00:45.839 First we check in on these markets once again. Under pressure, 0:00:45.840 --> 0:00:48.440 the nasdack off by one point seven percent. That we 0:00:48.479 --> 0:00:52.200 have eraised one point eight trillion dollars from this benchmark 0:00:52.320 --> 0:00:55.560 since the end of October, in large part because some 0:00:55.600 --> 0:00:57.400 of the key AI players have been on the downside. 0:00:57.440 --> 0:00:59.960 Bitcoin no recovers ever, so slightly uppercentage for we're in 0:01:00.040 --> 0:01:02.360 NY two eight hundred and forty six. Move on to 0:01:02.440 --> 0:01:05.640 individual movers because it's all around some of our top 0:01:05.680 --> 0:01:07.840 story today cloud flaw. We want to check in and 0:01:07.880 --> 0:01:10.920 we're down three percent. That's after it's been fixed. But 0:01:11.040 --> 0:01:14.000 we were struggling to get onto NJ Transit, you are 0:01:14.040 --> 0:01:16.760 struggling to get onto open AI's chatch ept, you are 0:01:16.760 --> 0:01:19.080 struggling to get onto many A website because of cloud 0:01:19.080 --> 0:01:21.720 flare more broadly, and that's as we saw an outage 0:01:21.760 --> 0:01:23.560 that now they say has been fixed. We're still off 0:01:23.560 --> 0:01:26.240 by three percent. Let's talk about, though, the top story 0:01:26.280 --> 0:01:29.560 that we just mentioned, Microsoft and Nvidia both committing to 0:01:29.640 --> 0:01:33.399 invest up to a combined fifteen billion dollars in Anthropic, 0:01:33.400 --> 0:01:35.959 and a move that ties the AI developer closer to 0:01:36.040 --> 0:01:39.720 the biggest backers of its rival, open Ai. Lumg's AI 0:01:39.840 --> 0:01:42.680 editor Seth Bieman joins us some more, it's a tough 0:01:42.720 --> 0:01:44.880 time to be announcing that you're going to be buying 0:01:44.959 --> 0:01:47.440 cloud from one company. Well, they're going to be investing 0:01:47.480 --> 0:01:48.440 equity in another. 0:01:48.920 --> 0:01:50.720 Just more circular deals. 0:01:50.760 --> 0:01:53.040 It feels like this one feels very clearly following the 0:01:53.080 --> 0:01:56.160 opening eyeplaybook that we've been seeing in recent weeks. Here, Yes, 0:01:56.240 --> 0:01:59.000 I think Anthropic is taking money from Microsoft and Nvidia. 0:01:59.280 --> 0:02:01.920 Microsoft it's in the Anthropic then plans to commit spending 0:02:01.960 --> 0:02:06.000 to Microsoft's platform using Nvidia chips. Kind of textbook here, 0:02:06.040 --> 0:02:07.600 and I think we'll add to some of the anxiety there, 0:02:07.600 --> 0:02:09.800 but it is on a big of a smaller scale. Also, 0:02:09.880 --> 0:02:12.560 our understanding at this point is that this financing is 0:02:12.600 --> 0:02:15.200 part of a larger investment round to be announced at 0:02:15.200 --> 0:02:18.000 some in determined time. So tbd how much Anthropic is 0:02:18.040 --> 0:02:19.160 actually planning to bring in here. 0:02:19.280 --> 0:02:21.520 I mean they already just closed around that valued. 0:02:21.240 --> 0:02:23.360 Them at more than one hundred and eighty. 0:02:23.360 --> 0:02:25.919 The new normal. That's a bottomless need and everyone is 0:02:25.960 --> 0:02:28.120 tapping everyone else. All the ships have to rise together 0:02:28.200 --> 0:02:28.919 or else they fail. 0:02:29.240 --> 0:02:32.520 But what's interesting is Amazon had to make clear that 0:02:32.560 --> 0:02:35.120 they're still the number one provider of cloud and of 0:02:35.240 --> 0:02:39.880 training compute to Anthropic. Everyone seems to be an Anthropic now, 0:02:39.960 --> 0:02:42.840 But how are we seeing that rival that likes of 0:02:42.840 --> 0:02:43.320 open Ai. 0:02:43.600 --> 0:02:45.119 Yeah, I mean again, this is not going to either 0:02:45.280 --> 0:02:47.360 or a model. It's a yes. And you know, I 0:02:47.360 --> 0:02:50.239 think we've seen open Ai turned to anthropics backers, namely 0:02:50.280 --> 0:02:53.320 Google and Amazon, so Anthropic is doing the same. 0:02:53.360 --> 0:02:53.480 Now. 0:02:53.480 --> 0:02:55.040 There's a lot of intrigue there about what that means 0:02:55.040 --> 0:02:57.520 about the Microsoft opening our relationship. But again, at this moment, 0:02:57.720 --> 0:03:00.959 everyone is tapping everyone else until the music stops. 0:03:01.240 --> 0:03:04.440 And the music has been sounding a little jerky of late. 0:03:04.600 --> 0:03:07.360 I mean, certainly in the public sector people have been 0:03:07.400 --> 0:03:12.360 worrying about these circularity deals on the actual productivity gains 0:03:12.400 --> 0:03:14.120 that we might ever get with AI, That's right. 0:03:14.120 --> 0:03:16.560 I do think Anthropic, though, has messaged clearly in the 0:03:16.639 --> 0:03:18.520 last week or so that while they're kind of playing 0:03:18.600 --> 0:03:21.359 the Opening I playbook here, we're investing heavily in infrastructure, 0:03:21.600 --> 0:03:23.640 in chips, building out more, we're doing it on a 0:03:23.680 --> 0:03:25.840 smaller scale now. As I said, the last time I 0:03:25.880 --> 0:03:29.600 was on fifteen twenty fifty billion dollars. These are massive sums, 0:03:29.600 --> 0:03:31.600 but when compared to Opening Eyes one point four trillion, 0:03:31.760 --> 0:03:32.600 a bit more measured. 0:03:33.000 --> 0:03:33.160 Well. 0:03:33.160 --> 0:03:37.240 We've also got other breaking news today from LLM innovations 0:03:37.280 --> 0:03:39.640 and improvements, this time coming from Alphabet. Shares R under 0:03:39.680 --> 0:03:41.680 a pressure down two point three percent, but they rallied 0:03:41.680 --> 0:03:43.720 hard yesterday because we know Berkshire. 0:03:43.360 --> 0:03:44.520 Halfaway is getting into Alphabet. 0:03:44.560 --> 0:03:46.720 But now we've got Gemini three and it seems to 0:03:46.760 --> 0:03:48.040 actually be really rather good. 0:03:48.160 --> 0:03:48.480 That's right. 0:03:48.520 --> 0:03:50.440 So at the same time that Google has been helping 0:03:50.440 --> 0:03:53.440 Anthropic and Open AI, they're also still trying to be 0:03:53.440 --> 0:03:54.840 the best model on the market, and so I think 0:03:54.840 --> 0:03:58.280 with Gemini three they're really touting their gains encoding and 0:03:58.280 --> 0:04:01.040 in mimicking the process human reasoning. Obviously, those are key 0:04:01.080 --> 0:04:04.240 aspects for Anthropic and for Opening Eye as well. Interestingly, 0:04:04.240 --> 0:04:07.280 the GENERI I three model also offers a more premium tier. 0:04:07.280 --> 0:04:08.760 I think it's two hundred and fifty dollars something like 0:04:08.800 --> 0:04:11.080 that amount that you get to do even more intense 0:04:11.120 --> 0:04:14.000 reasoning where you can test different hypotheses and we'll see, 0:04:14.040 --> 0:04:16.320 but they're all competing with the same kind of benchmark 0:04:16.360 --> 0:04:18.640 claims here to try to be the dominant force. 0:04:18.960 --> 0:04:22.919 And will we have news of LM's getting ever more sophisticated. 0:04:23.240 --> 0:04:25.520 We're able to code, We're able to vibe code, and 0:04:25.560 --> 0:04:29.039 your team has been so busy because vibe coding startup Lovable, 0:04:29.040 --> 0:04:32.360 which is actually a European startup, seems to be expanding 0:04:32.520 --> 0:04:35.360 and maybe even getting a really high valuation too. 0:04:35.400 --> 0:04:37.760 Yeah. I think it's really probably the most promising or 0:04:37.760 --> 0:04:39.359 one of the two most promising coming out of Europe 0:04:39.400 --> 0:04:40.960 right now. A lot of the vibe coding leaders are 0:04:40.960 --> 0:04:43.799 from the US, including Cursor, and you can argue Anthropic 0:04:43.880 --> 0:04:47.000 and others. I think Level has seem pretty strong organic 0:04:47.120 --> 0:04:51.039 demand and pretty promising growth in recurring revenue. But this 0:04:51.080 --> 0:04:53.720 is a crowded market and if Google's model changes the 0:04:53.760 --> 0:04:56.920 game overnight for coding capabilities, that might have disruptions further 0:04:56.960 --> 0:04:57.480 on down the line. 0:04:57.520 --> 0:04:58.479 It's very much to be seen. 0:04:58.680 --> 0:05:02.440 Two hundred million dollars annual recurring revenue and according to sources, 0:05:02.440 --> 0:05:03.640 a six billion dollar valuation. 0:05:03.680 --> 0:05:04.880 We have the CEO and a little. 0:05:04.680 --> 0:05:07.760 Bit later Seth amazing wrap up of all things AI, 0:05:07.839 --> 0:05:10.800 Seth Fiegerman, of course, who helps edit across that team. 0:05:11.240 --> 0:05:12.320 Let's turn to Washington. 0:05:12.360 --> 0:05:14.520 Now, guess what we're talking about, AI, but with the 0:05:14.560 --> 0:05:17.840 Saudi Arabian Crown Prince Mohammed Vin Sulman. Here's at the 0:05:17.839 --> 0:05:20.840 White House today meeting President Trump. We know the talks 0:05:20.920 --> 0:05:23.800 about deepening US Saudi ties, but really there is such 0:05:23.800 --> 0:05:26.839 a focus on tech, on investment, on innovation, as Digital 0:05:26.839 --> 0:05:29.159 Wi begs Tyler Kendall joining us from the White House. 0:05:29.200 --> 0:05:31.320 A lot of it's going to be about chip access. 0:05:31.880 --> 0:05:35.159 Right exactly, Caroline, and good morning to you. No doubt 0:05:35.200 --> 0:05:38.000 access to critical chip technology is going to be at 0:05:38.040 --> 0:05:40.800 the top of the agenda today. As Saudi Arabia has 0:05:40.800 --> 0:05:44.200 faced US restriction since twenty twenty three, in part over 0:05:44.560 --> 0:05:47.680 the Kingdom's ties to Beijing. Now, I will point out 0:05:47.680 --> 0:05:50.400 that when President Trump visited Saudi Arabia back in May, 0:05:50.480 --> 0:05:53.760 the two countries announced a slew of investment commitments related 0:05:53.880 --> 0:05:57.000 to AI, related to data centers that are going to 0:05:57.040 --> 0:06:00.159 come to rely on access to these advanced semiconductors. But 0:06:00.320 --> 0:06:02.560 six months has gone by and we have yet to 0:06:02.600 --> 0:06:06.359 see the US greenlight those export licenses. Now, people familiar 0:06:06.520 --> 0:06:08.520 tell us here at Bloomberg News that the two sides 0:06:08.560 --> 0:06:12.120 are still hashing out one the security conditions for these 0:06:12.160 --> 0:06:16.680 shipments and two these specific reciprocal investments that RIOD is 0:06:16.720 --> 0:06:19.000 going to commit to making when it comes to making 0:06:19.040 --> 0:06:21.760 good on their pledge for six hundred billion dollars in 0:06:21.920 --> 0:06:25.039 US investments over the next four years. Now, perhaps adding 0:06:25.080 --> 0:06:27.440 to the pressure here is that we know that recently 0:06:27.480 --> 0:06:30.520 the UAES saw some of its export licenses green light 0:06:30.600 --> 0:06:33.440 when it comes to projects run by US companies there. 0:06:33.480 --> 0:06:37.320 But Caroline, this really does dovetail into the other key 0:06:37.360 --> 0:06:39.719 part of the conversations today, which has to do with defense. 0:06:39.760 --> 0:06:41.960 We are watching closely whether or not the two countries 0:06:42.040 --> 0:06:45.160 enter into a defense Mutual Cooperation pact, and also those 0:06:45.240 --> 0:06:48.360 F thirty five's that President Trump indicated that he will 0:06:48.400 --> 0:06:50.560 allow the sale of Of course, this comes back to 0:06:50.560 --> 0:06:54.160 the chip conversation, because there are concerns here also about 0:06:54.160 --> 0:06:57.479 whether or not China could have access to this advanced 0:06:57.520 --> 0:07:00.520 technology in these fighter chets. Caroline, I'll end on this. 0:07:00.600 --> 0:07:03.640 It's absolutely packed here in Washington. We're expecting tech leaders 0:07:03.760 --> 0:07:06.840 from across the country to descend, in world, to descend here, 0:07:06.960 --> 0:07:10.120 all leading up to tomorrow's US Saudi LNE Investment Summit 0:07:10.160 --> 0:07:12.440 at the Kennedy Center here in Washington. 0:07:12.160 --> 0:07:14.559 And we await that arrival of MBS to the White House. 0:07:14.800 --> 0:07:18.120 Tyler Kendall, thank you very much. Indeed, let's get the 0:07:18.160 --> 0:07:21.080 wider investor perspective here, please say. Margi Btella is with 0:07:21.120 --> 0:07:23.800 US all Spring Global Investment, senior portfolio manager, head of 0:07:23.840 --> 0:07:28.880 capital Allocation, and we are thinking about how global narrative 0:07:28.920 --> 0:07:30.480 around AI continues to develop. 0:07:30.520 --> 0:07:32.000 Have you got any worries. 0:07:31.680 --> 0:07:33.840 That we've been seeing, at least in the pressure. 0:07:33.480 --> 0:07:34.400 In the stock market of ly. 0:07:36.760 --> 0:07:36.840 No. 0:07:36.960 --> 0:07:39.880 I think this is a little garden variety correction because 0:07:39.880 --> 0:07:42.440 we've had a few wobbles bad news in the private 0:07:42.480 --> 0:07:45.960 credit market. I think they we'll have maybe five percent correction. 0:07:46.080 --> 0:07:46.640 I think the year. 0:07:46.680 --> 0:07:50.000 We'll finish on a very very strong note because really 0:07:50.040 --> 0:07:53.880 the trend for artificial intelligence is so strong for data centers. 0:07:54.440 --> 0:07:57.680 In fact, when you look at the companies that have commented, 0:07:58.000 --> 0:08:00.800 basically they don't have enough capacity for all the demand, 0:08:00.960 --> 0:08:03.040 and they've been able to raise prices. So that doesn't 0:08:03.080 --> 0:08:05.400 sound to me like a peak of a market that's 0:08:05.480 --> 0:08:07.320 very to collapse or all. 0:08:07.760 --> 0:08:09.760 I'm just going to go out to some sound that 0:08:09.800 --> 0:08:11.560 we heard a little bit earlier in a summit that 0:08:11.560 --> 0:08:13.480 Bloomberg has been having over in Africa. They have the 0:08:13.560 --> 0:08:16.400 JP Morgan vice chairman joining Tavipinto. 0:08:16.560 --> 0:08:19.720 Just listen what he said about a correction is possible. 0:08:20.200 --> 0:08:25.040 There is probably a correction there, and that correction will 0:08:25.080 --> 0:08:28.560 also create a correction in the rest of the segments 0:08:28.960 --> 0:08:33.440 in the SMPN, in the industry, because you are probably 0:08:33.600 --> 0:08:37.840 in order to justify these valuations, you are considering a 0:08:37.960 --> 0:08:42.240 level of productivity. That it will happen, but it may 0:08:42.320 --> 0:08:45.000 not have been as fast as the market is pricing. 0:08:45.360 --> 0:08:48.840 Daniel Pinto there, JP Morgan, just speaking with our own 0:08:49.400 --> 0:08:52.520 editor over in Africa today, Margie, and I'm really interested 0:08:52.600 --> 0:08:55.920 as to well, why you think this will just be 0:08:56.040 --> 0:08:59.559 I think a garden variety correction. What will be there 0:08:59.559 --> 0:09:01.480 to support it will be in Vidia's numbers that get 0:09:01.520 --> 0:09:02.160 us back on track. 0:09:04.200 --> 0:09:06.720 Well, I'm not sure anything in Vidia could say will 0:09:06.720 --> 0:09:10.240 be enough to assuage market concerns. But really, when you 0:09:10.280 --> 0:09:13.560 look at the big market corrections, the economic corrections, they've 0:09:13.559 --> 0:09:17.760 all been driven by frankly, Federal Reserve activity, whether when 0:09:17.760 --> 0:09:20.480 they start to aggressively raise rates. So right here it 0:09:20.480 --> 0:09:22.440 looks you could say, well, the fit is somewhere between 0:09:22.480 --> 0:09:26.040 neutral to slightly easing, and again that is not the precondition. 0:09:26.120 --> 0:09:28.439 I think we've been through so many of these cycles, 0:09:28.480 --> 0:09:30.800 all driven by the FED, that we think it's natural 0:09:30.840 --> 0:09:33.280 that we should have a big downward correction, and I 0:09:33.280 --> 0:09:35.400 don't think we will. I think we'll just have a 0:09:35.440 --> 0:09:37.960 continued period of slow growth for most of the economy. 0:09:38.200 --> 0:09:41.840 The tech sector is very strong because artificial intelligence is 0:09:41.880 --> 0:09:45.360 really a qualitative leap in the kind of technology that 0:09:45.400 --> 0:09:48.640 we've had over the last several decades. So we think 0:09:48.640 --> 0:09:51.160 it's just a small correction. In fact, if you look 0:09:51.200 --> 0:09:54.400 at Nvidia, the stock really for this quarter the fourth 0:09:54.480 --> 0:09:58.520 quarter is really just about flatish, and all they are 0:09:58.559 --> 0:10:01.600 except for Googles, only one that's up for the quarter, 0:10:02.000 --> 0:10:04.120 So that says to me there's a lot of nervousness 0:10:04.520 --> 0:10:06.520 waiting for it in Video. But I think after that 0:10:06.600 --> 0:10:08.120 clear as a year, I think we'll have a strong 0:10:08.200 --> 0:10:11.520 finish because the fundamentals are still so strong as far 0:10:11.520 --> 0:10:13.079 as the I can see, which I would say is 0:10:13.080 --> 0:10:14.240 at least for another year or so. 0:10:14.520 --> 0:10:16.440 And we look at you today in video up thirty 0:10:16.440 --> 0:10:18.360 five percent, but it has erode it about half a 0:10:18.400 --> 0:10:22.280 trillion dollars of market cap since the end of October, Margie. 0:10:22.440 --> 0:10:26.679 So is that a buying opportunity, Well. 0:10:26.520 --> 0:10:26.959 I think it's. 0:10:27.080 --> 0:10:29.560 I think it's a moderate opportunity, yes, because at least 0:10:29.640 --> 0:10:32.959 you have some of a discount. The pe is around 0:10:33.200 --> 0:10:36.640 forty times, and that's higher than the average stock which 0:10:36.679 --> 0:10:39.080 is around twenty seven times. But on the other hand, 0:10:39.120 --> 0:10:41.480 their leaders in their sector, they should have an above 0:10:41.520 --> 0:10:44.080 average growth as far as the guy can see, so 0:10:44.200 --> 0:10:47.559 it's really not as high priced as it was relatively 0:10:47.559 --> 0:10:48.280 a few months ago. 0:10:48.320 --> 0:10:49.360 So I'd say, yes, it's a. 0:10:49.320 --> 0:10:52.960 Good time to add to in video because their fundamental 0:10:53.000 --> 0:10:55.280 position is really strong. I think it's just as I said, 0:10:55.400 --> 0:10:58.679 market nervousness. Short term traders have gotten badly whipsawed back 0:10:58.760 --> 0:11:00.560 and forth in the last couple of months, and I 0:11:00.559 --> 0:11:03.000 think that's what's we're all causing this downward wave, involved 0:11:03.160 --> 0:11:04.160 orly giving us. 0:11:04.080 --> 0:11:06.080 The longer term perspective. We always so appreciate it. 0:11:06.160 --> 0:11:09.280 Margie Patel of all Spring Global Investments, Stay well, see 0:11:09.280 --> 0:11:12.080 you soon we home. Meanwhile, coming up, gaming giant Roadblock 0:11:12.160 --> 0:11:15.160 takes steps to expand age verification across its platform. We'll 0:11:15.200 --> 0:11:17.400 discuss the details of Roblox CEO Dave Zuki. 0:11:17.440 --> 0:11:19.240 That's next. This is a Blume meg Tech. 0:11:30.600 --> 0:11:33.640 Roadblocks and as we've going rolling out age verification technology 0:11:33.679 --> 0:11:37.160 for all users and is introducing age based chat as 0:11:37.160 --> 0:11:40.920 the gaming platform expands safety features with further parental resources too. 0:11:41.360 --> 0:11:44.080 Roblox CEO Dave Zuki joins us now and Dave. This 0:11:44.160 --> 0:11:47.200 really builds on that big, ambitious September announcement. 0:11:47.600 --> 0:11:48.960 How is this going to be rolling out? 0:11:50.240 --> 0:11:50.440 Hey? 0:11:50.480 --> 0:11:53.240 Great to be here and what an enormous responsibility. With 0:11:53.240 --> 0:11:56.720 one hundred and fifty million users every day coming to 0:11:56.760 --> 0:11:59.600 the platform, We're rolling out what we believe will be 0:11:59.679 --> 0:12:02.400 the goal old standard for the future of Internet safety. 0:12:02.440 --> 0:12:06.920 We're the first really major gaming platform to use AI 0:12:07.240 --> 0:12:10.480 to estimate the age of everyone on the platform who 0:12:10.480 --> 0:12:14.160 wants to use chat and communicate. We're going to start 0:12:14.240 --> 0:12:16.720 rolling this out in December and then it'll be should 0:12:16.760 --> 0:12:21.480 be all rolled out by January. Basically, on whatever device 0:12:21.520 --> 0:12:25.520 you're on, take a quick image, will analyze your age 0:12:25.520 --> 0:12:28.440 with AI, complement it with a bunch of other signals, 0:12:28.960 --> 0:12:32.160 and use that really to figure out who who might 0:12:32.200 --> 0:12:34.760 you be chatting with. To keep the platform more safe, 0:12:35.000 --> 0:12:37.800 we're not going to be allowing minors, for example, to 0:12:37.840 --> 0:12:42.120 communicate with people who are adults, and we're going to 0:12:42.160 --> 0:12:43.959 roll it out to everyone on the platform. 0:12:44.440 --> 0:12:46.319 I'm really interested as to how you're going to measure 0:12:46.360 --> 0:12:49.480 success here, Dave, because in many ways you're trying to 0:12:49.520 --> 0:12:52.360 prove a negative. But how are you going to be 0:12:52.440 --> 0:12:56.320 internally thinking this has worked, people are satisfied and they're safe. 0:12:56.960 --> 0:12:59.880 Well, I want to highlight things are already working in 0:13:00.080 --> 0:13:03.440 that we're a very unique platform, and that we filter 0:13:03.640 --> 0:13:07.720 all of the text and communication on our platform. We 0:13:07.880 --> 0:13:12.080 don't allow the sharing of images, we have monitoring for 0:13:12.160 --> 0:13:16.320 critical harms, We work very closely with law enforcement. So 0:13:17.480 --> 0:13:21.160 I see this as an addition to everything we're doing 0:13:21.400 --> 0:13:24.320 and really to our vision of what we've been calling 0:13:24.480 --> 0:13:27.720 the gold standard, but we do estimate over the next 0:13:27.720 --> 0:13:31.480 few months will will know roughly the age of everyone 0:13:31.520 --> 0:13:34.640 on the platform, and we'll complement that with some of 0:13:34.679 --> 0:13:38.640 the other things we do, like trusted connections and things 0:13:38.679 --> 0:13:42.160 like that to constantly build on our innovation. You know, 0:13:42.240 --> 0:13:45.880 we've shipped over one hundred safety innovations in the last year, 0:13:46.240 --> 0:13:48.640 so it's really a continuation of that focus. 0:13:48.880 --> 0:13:51.839 You're using a third party vendor persona, I believe, and 0:13:52.320 --> 0:13:54.400 how are you going to be ensuring that that's robust 0:13:54.480 --> 0:13:56.840 enough the AI The underlying technology is we're bust enough 0:13:56.880 --> 0:14:00.360 ever in the UK well from the using Discord for example, 0:14:00.480 --> 0:14:04.640 managed to bypass previous facial recognition age verification tests. 0:14:05.320 --> 0:14:08.360 There's a bunch of other signals we have in addition 0:14:08.480 --> 0:14:11.480 to the facial age estimation, and we do have the 0:14:11.520 --> 0:14:16.160 ability to estimate several times if we need to so, 0:14:16.679 --> 0:14:19.040 so in addition to using the camera to do an 0:14:19.040 --> 0:14:22.480 age check, we have other ways to validate and putting 0:14:22.520 --> 0:14:26.160 all of these signals together, we believe is pretty robust. 0:14:26.240 --> 0:14:29.480 Really, what's so interesting is clearly you're here with safety 0:14:29.520 --> 0:14:32.080 as a priority. You did mention back in the earnings 0:14:32.160 --> 0:14:35.120 your CFO in particular that maybe you'll see some friction, 0:14:35.440 --> 0:14:38.240 maybe the numbers, the revenue, the growth might be impacted 0:14:38.240 --> 0:14:41.280 as people start to have to verify their age, maybe 0:14:41.360 --> 0:14:42.640 slower to come and adopt. 0:14:42.880 --> 0:14:44.360 Do you think that that will bear out? How will 0:14:44.360 --> 0:14:45.480 it look longer term? 0:14:45.920 --> 0:14:49.680 We shared this vision that we believe over ten percent 0:14:49.800 --> 0:14:53.000 of the global gaming market, which is somewhere between a 0:14:53.040 --> 0:14:55.600 one hundred and eighty and two hundred billion dollar market, 0:14:55.680 --> 0:14:58.240 is going to be running on roadblocks. And in the 0:14:58.600 --> 0:15:02.160 earnings call we just had, we shared this amazing growth 0:15:02.200 --> 0:15:06.320 both on bookings and DAUS in the seventy percent year 0:15:06.400 --> 0:15:10.120 on year rate. Long term, we believe this is just 0:15:10.160 --> 0:15:12.760 the right thing for the platform. We're unique and that 0:15:12.800 --> 0:15:16.880 we have all ages. We have people under thirteen, over 0:15:16.960 --> 0:15:20.360 thirteen or over thirteen is growing rapidly. This is the 0:15:20.440 --> 0:15:24.320 right long term vision and we're really optimistic about continuing 0:15:24.360 --> 0:15:24.960 our growth. 0:15:25.480 --> 0:15:27.960 Okay, so this is the right balance from your perspective, 0:15:28.720 --> 0:15:31.120 What do you think the data will bear out as 0:15:31.160 --> 0:15:34.320 to the name, well, ultimately the actual ages of people 0:15:34.360 --> 0:15:35.000 you have using it. 0:15:35.040 --> 0:15:37.280 Do you think you have more under thirteen's you anticipated? 0:15:37.280 --> 0:15:39.320 Do you think you have more older users? 0:15:40.600 --> 0:15:43.920 We can't estimate that exactly. What I can say is 0:15:43.960 --> 0:15:46.640 that our the facial age estimation tech we're going to 0:15:46.720 --> 0:15:49.880 use is pretty reasonable and pretty accurate. I've tried it, 0:15:50.520 --> 0:15:52.520 some of my kids have tried it. We've tried it 0:15:52.840 --> 0:15:55.680 within our staff meeting. So I think we're going to 0:15:55.760 --> 0:15:59.320 find out we're reasonably close. But over time we will 0:15:59.320 --> 0:16:01.760 get a better signal on everyone's age. 0:16:02.160 --> 0:16:05.760 And this must be something that marked is that those 0:16:05.800 --> 0:16:08.200 that eventually we're buying more ads with roadblocks are going 0:16:08.240 --> 0:16:10.600 to be looking at is this going to help well 0:16:10.880 --> 0:16:14.200 inject some fuel to that offering because people will feel 0:16:14.200 --> 0:16:16.960 safer about what age group can be consuming such efforts. 0:16:17.720 --> 0:16:20.800 We have shared a couple things. You know, we don't 0:16:20.840 --> 0:16:25.160 target under eighteen already on the platform, but there's an 0:16:25.360 --> 0:16:30.360 enormous number of older users joining the platform. We shared 0:16:30.440 --> 0:16:33.320 in our earnings call I believe in Q four like 0:16:33.360 --> 0:16:37.320 we're literally earn qth running at over ten billion hours 0:16:37.400 --> 0:16:41.240 a month of engagement. That's an amazing amount of engagement. 0:16:41.400 --> 0:16:45.600 Our economy is primarily driven right now by our virtual 0:16:45.600 --> 0:16:49.800 economy powered by Robucks, but advertising is a wonderful compliment, 0:16:50.520 --> 0:16:52.920 and you're right, we're going to have a better more 0:16:53.040 --> 0:16:56.240 accurate estimate of everyone's age, which for a lot of 0:16:56.280 --> 0:17:00.000 our advertisers that are starting to hop on with events 0:17:00.080 --> 0:17:03.360 supporting all kinds of things, beauty products, movies, things like that, 0:17:03.680 --> 0:17:06.560 they'll have a better idea of really the number of 0:17:06.600 --> 0:17:09.320 people over eighteen on our platform. 0:17:09.600 --> 0:17:12.960 Reblock CEO David Zuki on their latest safety updates. 0:17:13.000 --> 0:17:15.199 We really appreciate you joining the show today. Thank you. 0:17:16.119 --> 0:17:17.800 Now, coming up, we're going to be speaking with a 0:17:17.800 --> 0:17:21.040 Lovable CEO, Anton Asika, as the company is said to 0:17:21.040 --> 0:17:23.879 be nearing a six billion dollar valuation. This is bloom 0:17:23.880 --> 0:17:34.640 bag tech AI coding startup Lovable. It's set to hit 0:17:34.680 --> 0:17:37.800 a six billion dollar valuation. That's according to sources. The 0:17:37.880 --> 0:17:41.160 company is seeing rapid growth, reaching two hundred million dollars 0:17:41.200 --> 0:17:44.439 in annual recurring revenue and expanding with new offices in 0:17:44.440 --> 0:17:48.679 Boston and San Francisco. Joining us now to discuss Anton Aseka, 0:17:48.800 --> 0:17:51.439 CEO of Lovable, Anton, I go to the numbers that 0:17:51.480 --> 0:17:54.200 you've actually given to us, the two hundred million dollars, 0:17:55.440 --> 0:17:58.960 the annual revenue run rate, that's a lot who's purchasing. 0:18:00.560 --> 0:18:04.400 So we're seeing Lovable since we launched just twelve months ago. 0:18:05.240 --> 0:18:09.119 Empowered by this consumer and prosumer movement of individuals that 0:18:09.240 --> 0:18:11.800 use the product and then they love it so they 0:18:11.840 --> 0:18:14.400 put in their credit card. And that's just the movement 0:18:14.560 --> 0:18:18.840 that's then translated to us being pulled into the enterprise 0:18:18.920 --> 0:18:24.000 where Fortune five hundred companies like Klarna, HCA Healthcare, they're 0:18:24.000 --> 0:18:28.240 transforming how they work on top of a completely new 0:18:28.240 --> 0:18:33.120 weight to build the software, software products, and even software 0:18:33.160 --> 0:18:36.040 companies on top of the products that are being. 0:18:35.960 --> 0:18:37.600 Built two hundred million dollars. 0:18:37.960 --> 0:18:40.440 In terms of what you're saying annual revenue run rate, 0:18:40.680 --> 0:18:43.240 you're seeing, as you say, a breadth of enterprise adoption 0:18:43.400 --> 0:18:47.000 and individual entrepreneurialism. But when it comes to vibe coding 0:18:47.160 --> 0:18:49.960 and the use cases, where are you having to build 0:18:50.000 --> 0:18:52.359 out your building offices in America, it would see. 0:18:52.800 --> 0:18:53.640 Yeah, and that's great. 0:18:54.240 --> 0:18:58.240 What we're seeing is that love is providing a lot 0:18:58.240 --> 0:19:01.480 of value in large companies moving faster, and many of 0:19:01.480 --> 0:19:05.679 those companies are in the US. So we have great 0:19:05.800 --> 0:19:09.520 leadership that has built companies at the largest stage. Before 0:19:10.240 --> 0:19:13.800 Ryan Meadows skilled Eclavio, he's not joining. 0:19:13.920 --> 0:19:15.960 Building out from where he's based in Boston. 0:19:16.240 --> 0:19:19.240 We have Maria and Kobe who joined from notion she's 0:19:19.280 --> 0:19:20.560 moving with her family to Stockholm. 0:19:20.600 --> 0:19:21.760 I think that says a lot. 0:19:22.200 --> 0:19:26.880 While we keep the core headquarters here in Stockholm, as 0:19:26.920 --> 0:19:29.919 we expand globally on the mission, which is simply to 0:19:30.480 --> 0:19:33.840 reimagine how software is built and who gets to build it, 0:19:34.000 --> 0:19:38.199 and it's initnessing a once in a generation democratization of 0:19:38.359 --> 0:19:39.200 the software creation. 0:19:39.720 --> 0:19:41.719 The pace is extraordinary. It's only four months ago. 0:19:41.760 --> 0:19:43.560 It's only back in July that you mentioned that you've 0:19:43.560 --> 0:19:46.400 got one hundred million dollar and your revenue run rate. 0:19:46.480 --> 0:19:50.119 Now that's doubled. You are, we understand looking for funding. 0:19:50.119 --> 0:19:52.280 You could have a six billion dollar valuation. Can you 0:19:52.320 --> 0:19:55.520 comment on how much you were needing to have yet 0:19:55.560 --> 0:19:58.080