1 00:00:02,240 --> 00:00:05,600 Speaker 1: From the heart of where innovation, money and power collive 2 00:00:06,360 --> 00:00:10,879 Speaker 1: in Silicon Valley and beyond. This is Bloomberg Technology with 3 00:00:10,960 --> 00:00:26,680 Speaker 1: Emily Jay. I'm Emily Chant, San Francisco, and this is 4 00:00:26,680 --> 00:00:29,640 Speaker 1: Bloomberg Technology. Coming up in the next hour, micro Strategy 5 00:00:29,680 --> 00:00:34,159 Speaker 1: makes another ten million dollar event on bitcoin, even as 6 00:00:34,200 --> 00:00:38,280 Speaker 1: cryptocurrencies continue to slide, plus n f T sales getting 7 00:00:38,280 --> 00:00:42,960 Speaker 1: a new low for the year. We will discuss and 8 00:00:43,080 --> 00:00:46,480 Speaker 1: subscribing to Snapchat, the social media company announcing a new 9 00:00:46,680 --> 00:00:51,040 Speaker 1: monthly subscription to premium content. But what does premium content 10 00:00:51,159 --> 00:00:54,760 Speaker 1: look like on snap and well, customers pay three a month. 11 00:00:55,880 --> 00:00:58,440 Speaker 1: Clause Maderna co founder New bar Fa, and we'll join 12 00:00:58,520 --> 00:01:01,320 Speaker 1: us to talk about the future of the Crown specific 13 00:01:01,480 --> 00:01:06,840 Speaker 1: boosters and why he's taking on the fight against climate change. Meantime, 14 00:01:06,840 --> 00:01:10,600 Speaker 1: Michael Sailor is doubling down on bitcoin, micro Strategy buying 15 00:01:10,640 --> 00:01:14,320 Speaker 1: another four eight coins worth about ten million dollars at 16 00:01:14,319 --> 00:01:17,200 Speaker 1: the height of the crypto market collapse. According to a 17 00:01:17,200 --> 00:01:21,560 Speaker 1: filing from the SEC, micro Strategy purchased the coins between 18 00:01:21,760 --> 00:01:25,600 Speaker 1: May three in June for about twenty dollars and eight 19 00:01:25,640 --> 00:01:29,880 Speaker 1: hundred seventeen dollars each. Blue Works Katie Gray felt with 20 00:01:29,959 --> 00:01:33,920 Speaker 1: us now to discuss and not necessarily a surprise given 21 00:01:33,920 --> 00:01:38,480 Speaker 1: our last interview with Michael, but still now even below 22 00:01:39,480 --> 00:01:43,039 Speaker 1: it's so fascinating. I mean, the fact that you're getting 23 00:01:43,040 --> 00:01:45,479 Speaker 1: this big whale buying at a time when no one 24 00:01:45,560 --> 00:01:47,600 Speaker 1: really else is and Emily, like you said, and you 25 00:01:47,640 --> 00:01:50,400 Speaker 1: know this very well, he's a true believer Michael Sailors. 26 00:01:50,400 --> 00:01:53,160 Speaker 1: So maybe not surprising in this sense, but it is 27 00:01:53,200 --> 00:01:54,960 Speaker 1: a little interesting if you look into the details. So 28 00:01:55,040 --> 00:01:58,800 Speaker 1: this was micro Strategy smallest bitcoin by in over a year, 29 00:01:58,960 --> 00:02:01,440 Speaker 1: and I mean, if you look at their entire ward, 30 00:02:01,560 --> 00:02:05,280 Speaker 1: micro Strategy owns a hundred twenty nine thousand bitcoin in 31 00:02:05,320 --> 00:02:09,280 Speaker 1: total at this pert point, the average price for all 32 00:02:09,320 --> 00:02:13,359 Speaker 1: of those purchases it's thirty dollars. So micro Strategy it's 33 00:02:13,440 --> 00:02:16,760 Speaker 1: well underwater on this bet. But Michael Sailor, I mean 34 00:02:16,760 --> 00:02:21,000 Speaker 1: he's known as the biggest corporate advocate of bitcoin, and truly, 35 00:02:21,040 --> 00:02:23,519 Speaker 1: I mean his actions are backing that up. Whether that 36 00:02:23,639 --> 00:02:26,120 Speaker 1: will pay off for means to be seen. And clearly 37 00:02:26,200 --> 00:02:28,520 Speaker 1: that wasn't created as good news in the stock market, 38 00:02:28,560 --> 00:02:32,239 Speaker 1: but I mean, he does stick to his word. So 39 00:02:32,680 --> 00:02:36,120 Speaker 1: here's a clip from my interview with Sailor. A couple 40 00:02:36,120 --> 00:02:39,880 Speaker 1: of weeks ago. First question, any regrets. Take a listen 41 00:02:40,160 --> 00:02:43,160 Speaker 1: to what he had to say. The bottom line is 42 00:02:43,280 --> 00:02:46,920 Speaker 1: the bitcoin strategy is ten x better than any other alternative, 43 00:02:47,600 --> 00:02:50,680 Speaker 1: and so no, I don't regret it. We've got two 44 00:02:50,720 --> 00:02:53,560 Speaker 1: point eight billion dollars worth the bitcoin on our balance 45 00:02:53,600 --> 00:02:55,800 Speaker 1: sheet right now, and we feel like we're positioned well 46 00:02:56,440 --> 00:02:59,720 Speaker 1: for when the markets turn around, and our only other 47 00:02:59,760 --> 00:03:01,679 Speaker 1: choice would be to give all the capital back to 48 00:03:01,720 --> 00:03:05,040 Speaker 1: the shareholders, in which case we would have nothing and 49 00:03:05,080 --> 00:03:10,200 Speaker 1: we would be struggling, uh to get by without any assets. 50 00:03:10,200 --> 00:03:12,800 Speaker 1: Ten x better than any other alternative. He's thinking in 51 00:03:12,840 --> 00:03:15,960 Speaker 1: the really, really really long term. But even in the 52 00:03:16,160 --> 00:03:19,520 Speaker 1: short term, how is bitcoin standing up to alt coins 53 00:03:19,520 --> 00:03:22,120 Speaker 1: and the alternatives out there? Well, if you look across 54 00:03:22,120 --> 00:03:24,840 Speaker 1: the crypto ecosystem, I mean a really crude way to 55 00:03:24,880 --> 00:03:27,760 Speaker 1: think about Bitcoin is sort of the Amazon or the 56 00:03:27,800 --> 00:03:30,600 Speaker 1: apple of the crypto sphere. I mean, this is sort 57 00:03:30,600 --> 00:03:33,640 Speaker 1: of the biggest coin out there. It tends to move 58 00:03:33,760 --> 00:03:35,480 Speaker 1: less than some of the other coins, and you definitely 59 00:03:35,480 --> 00:03:38,000 Speaker 1: saw that today. I mean to borrow a phrase from 60 00:03:38,120 --> 00:03:41,119 Speaker 1: Ed Ludlow, I think he said flat as a floppy 61 00:03:41,200 --> 00:03:44,280 Speaker 1: disk of bitcoin fell just three tents of percent. If 62 00:03:44,320 --> 00:03:46,560 Speaker 1: you look at some of the old coins, they're more 63 00:03:46,640 --> 00:03:49,280 Speaker 1: like the speculative tech stocks out there, the high flyers. 64 00:03:49,280 --> 00:03:53,400 Speaker 1: You saw ether full almost five per cent, Salona even 65 00:03:53,440 --> 00:03:55,320 Speaker 1: more than that. And this is why you typically see 66 00:03:55,560 --> 00:03:59,360 Speaker 1: on the downside and the upside too, when Bitcoin moves higher, 67 00:03:59,440 --> 00:04:02,640 Speaker 1: it the old coins that lead the gains. And as 68 00:04:02,680 --> 00:04:04,520 Speaker 1: we've learned over the past few months, the same is 69 00:04:04,520 --> 00:04:06,640 Speaker 1: true on the downside. When you do have this big 70 00:04:06,720 --> 00:04:10,240 Speaker 1: draw down in bitcoin, it tends to be even bigger 71 00:04:10,400 --> 00:04:13,240 Speaker 1: out the risk curve well. And at the same time, 72 00:04:13,280 --> 00:04:15,680 Speaker 1: you have the bitcoin believer as you've got the folks 73 00:04:15,800 --> 00:04:17,880 Speaker 1: are never ever going to give up on n f 74 00:04:17,960 --> 00:04:21,799 Speaker 1: T s, and yet n f T s continuing to fall. 75 00:04:21,839 --> 00:04:24,800 Speaker 1: I mean, you know, would you say we were were 76 00:04:24,839 --> 00:04:27,279 Speaker 1: past the peak? It's a good question. I mean, just 77 00:04:27,560 --> 00:04:30,080 Speaker 1: looking at the data, because you're gonna get a thousand 78 00:04:30,240 --> 00:04:32,000 Speaker 1: different opinions. But if you look at the data on 79 00:04:32,080 --> 00:04:34,760 Speaker 1: open see that is the biggest n f T marketplace 80 00:04:34,880 --> 00:04:37,080 Speaker 1: out there. This is a really shocking stat In a 81 00:04:37,120 --> 00:04:42,279 Speaker 1: Bloomberg News article today, sales volume has fallen just since 82 00:04:42,480 --> 00:04:46,479 Speaker 1: ny It's at the lowest level since July. So I 83 00:04:46,520 --> 00:04:48,680 Speaker 1: don't know, perhaps some of the air is coming out 84 00:04:48,720 --> 00:04:51,240 Speaker 1: of that n F T bubble and whatever this is, 85 00:04:51,440 --> 00:04:54,279 Speaker 1: you know, approaching the bottom remains to be seen. But Emily, 86 00:04:54,320 --> 00:04:56,719 Speaker 1: this is what a crypto winter looks like. You tend 87 00:04:56,720 --> 00:04:58,920 Speaker 1: to see a shakeout like this, and you're clearly seeing 88 00:04:58,960 --> 00:05:01,240 Speaker 1: it in n F T S and all coins. It 89 00:05:01,360 --> 00:05:04,719 Speaker 1: is cold. Indeed, Now the deadline for US regulators to 90 00:05:04,880 --> 00:05:08,680 Speaker 1: rule on gray stales campaign to convert its bitcoin trust 91 00:05:08,720 --> 00:05:12,039 Speaker 1: into a spot E t F is coming up. What 92 00:05:12,080 --> 00:05:15,720 Speaker 1: are we expecting there? I am laser focused on this decision. 93 00:05:15,720 --> 00:05:17,600 Speaker 1: I cover crypto, I cover E t F s. Now 94 00:05:17,640 --> 00:05:20,920 Speaker 1: we have them coming full circle. So the consensus in 95 00:05:20,960 --> 00:05:22,920 Speaker 1: both industries is that this is going to be a 96 00:05:22,920 --> 00:05:25,800 Speaker 1: denial that the SEC isn't going to allow Gray Skill 97 00:05:25,880 --> 00:05:28,440 Speaker 1: to convert it streuss into a physically backed e t F. 98 00:05:28,520 --> 00:05:30,760 Speaker 1: That isn't a structure that exists in the U S. 99 00:05:30,760 --> 00:05:32,840 Speaker 1: But I crunched the numbers on what that would actually 100 00:05:32,839 --> 00:05:35,839 Speaker 1: mean for Gray Skill if this fund were to convert 101 00:05:35,880 --> 00:05:37,960 Speaker 1: into an E t F. Again, not the base case. 102 00:05:38,320 --> 00:05:41,719 Speaker 1: Right now, as a trust, it's able to charge two percent, 103 00:05:42,000 --> 00:05:45,160 Speaker 1: So if you times that by the assets under management, 104 00:05:45,200 --> 00:05:48,000 Speaker 1: about thirteen billion dollars. That works out to over two 105 00:05:48,040 --> 00:05:51,360 Speaker 1: hundred thirty million dollars in revenue for gray Skill per 106 00:05:51,440 --> 00:05:53,560 Speaker 1: year as a trust. But if it converts to an 107 00:05:53,560 --> 00:05:56,760 Speaker 1: e t F, two percent is very very high for 108 00:05:56,800 --> 00:05:58,840 Speaker 1: an e t F, You're almost never going to see that. 109 00:05:59,040 --> 00:06:02,080 Speaker 1: Feel the most expre one of the most expensions crypto 110 00:06:02,120 --> 00:06:04,479 Speaker 1: et f s out there, charges a fee of less 111 00:06:04,520 --> 00:06:07,080 Speaker 1: than one percent, So even if they get a win 112 00:06:07,520 --> 00:06:09,880 Speaker 1: in the next week, I mean, that would mean hundreds 113 00:06:09,880 --> 00:06:13,240 Speaker 1: of millions of dollars lost in revenue. And Emily, we're 114 00:06:13,240 --> 00:06:15,600 Speaker 1: in a crypto winter. All right, Katie, what are you 115 00:06:15,640 --> 00:06:18,440 Speaker 1: gonna be watching tomorrow? Tomorrow? I mean, I'm right back 116 00:06:18,440 --> 00:06:20,520 Speaker 1: to the fundamentals of the U S economy. I'm looking 117 00:06:20,560 --> 00:06:24,359 Speaker 1: at core PC figures. But as we've learned, bitcoin tends 118 00:06:24,400 --> 00:06:27,559 Speaker 1: to move along with stocks, and stocks are absolutely moving 119 00:06:27,600 --> 00:06:32,120 Speaker 1: with inflation. Bloomberg's Katie Greifeld, thank you for telling us 120 00:06:32,160 --> 00:06:35,080 Speaker 1: what's on your radar? All right? Coming up, the co 121 00:06:35,200 --> 00:06:37,960 Speaker 1: founder of maderna new bar off and joins me next 122 00:06:38,000 --> 00:06:41,480 Speaker 1: as a pandemic moves into yet another phase. Plus how 123 00:06:41,520 --> 00:06:44,599 Speaker 1: the newest ruling from the U. S. Supreme Court could 124 00:06:44,640 --> 00:06:49,000 Speaker 1: impact climate change and his portfolio. That is all. Next, 125 00:06:49,000 --> 00:07:03,279 Speaker 1: this is Bloomberg. On Thursday, the U s. Supreme Court 126 00:07:03,360 --> 00:07:06,160 Speaker 1: is set to issue another major decision. This one will 127 00:07:06,200 --> 00:07:09,080 Speaker 1: have a big impact on climate change. Specifically, the power 128 00:07:09,120 --> 00:07:11,760 Speaker 1: of the US government has to tell companies to reduce 129 00:07:12,200 --> 00:07:15,280 Speaker 1: their greenhouse gas emissions. As we wait for the decision, 130 00:07:15,480 --> 00:07:17,800 Speaker 1: many tech companies have been taking it upon themselves to 131 00:07:17,880 --> 00:07:21,840 Speaker 1: reduce their carbon footprints. Indigo Agriculture is one such company 132 00:07:21,840 --> 00:07:24,760 Speaker 1: helping fight climate change with carbon removal technologies backed by 133 00:07:24,760 --> 00:07:28,920 Speaker 1: the venture capital firm Flagship Pioneering, which might sound familiar 134 00:07:28,960 --> 00:07:31,320 Speaker 1: to you because the CEO of Flagship New Bar, a Fan, 135 00:07:31,360 --> 00:07:33,200 Speaker 1: has been on our show many times. He is also 136 00:07:33,240 --> 00:07:36,360 Speaker 1: the co founder of Maderna New Bar. It's great to 137 00:07:36,400 --> 00:07:38,040 Speaker 1: talk to you again. I want to talk to you 138 00:07:38,080 --> 00:07:41,240 Speaker 1: about Indigo Agriculture their carbon farming program. What is the 139 00:07:41,320 --> 00:07:45,200 Speaker 1: dent you expect this or hope? Uh? This will make 140 00:07:45,640 --> 00:07:50,240 Speaker 1: in the climate fight. Emily, thanks for having me. This 141 00:07:50,280 --> 00:07:52,679 Speaker 1: is very exciting day today because it's really the first 142 00:07:52,720 --> 00:07:57,320 Speaker 1: time that a certified carbon credit has been issued against 143 00:07:58,040 --> 00:08:02,520 Speaker 1: basically output from farmers. And while today we announced twenty 144 00:08:02,560 --> 00:08:07,920 Speaker 1: thousand tons of of of certified carbon being captured Uh, 145 00:08:08,080 --> 00:08:12,000 Speaker 1: that really can scale and can scale rapidly, we think, uh, 146 00:08:12,000 --> 00:08:14,920 Speaker 1: And so it really is a proof point. Um, there's 147 00:08:15,000 --> 00:08:18,280 Speaker 1: there's probably several orders of magnitude a hundred of thousandfold 148 00:08:18,280 --> 00:08:20,920 Speaker 1: more that can be expected from this. And I think 149 00:08:20,960 --> 00:08:25,240 Speaker 1: that agriculture is kind of a very interesting way to 150 00:08:25,320 --> 00:08:30,600 Speaker 1: think about carbon storing, capturing and storing carbon and creating 151 00:08:30,600 --> 00:08:34,520 Speaker 1: with urns for farmers, which is also a very important, uh, 152 00:08:34,600 --> 00:08:36,920 Speaker 1: kind of part of the circular economy aspect of this. 153 00:08:37,920 --> 00:08:41,120 Speaker 1: So we're bracing for yet another Supreme Court ruling, this 154 00:08:41,200 --> 00:08:43,920 Speaker 1: one on whether the e p A has the authority 155 00:08:44,000 --> 00:08:48,439 Speaker 1: to tell companies to regulate greenhouse gas emissions. What are 156 00:08:48,480 --> 00:08:52,000 Speaker 1: you bracing for here and how could this impact your 157 00:08:52,040 --> 00:08:56,480 Speaker 1: new venture? Well, I mean, certainly, I think that that 158 00:08:56,480 --> 00:08:59,559 Speaker 1: that we see a lot of mixed signals as when 159 00:08:59,600 --> 00:09:04,160 Speaker 1: it comes to how consistently we want to to to 160 00:09:04,160 --> 00:09:08,160 Speaker 1: to make sure that corporations and and other entities are 161 00:09:08,200 --> 00:09:12,439 Speaker 1: being responsible for their carbon footprint. Certainly that the momentum 162 00:09:12,440 --> 00:09:15,760 Speaker 1: has been in favor of more and more responsibility, but 163 00:09:15,800 --> 00:09:19,520 Speaker 1: I think that regulation aside, the vast majority of companies 164 00:09:19,559 --> 00:09:22,360 Speaker 1: are moving down a path where they're taking it upon themselves. 165 00:09:22,400 --> 00:09:27,000 Speaker 1: Today's announcement by Indigo involves eleven major brands that actually 166 00:09:27,000 --> 00:09:30,560 Speaker 1: have stepped up and and and associated with the work 167 00:09:30,600 --> 00:09:33,760 Speaker 1: that the farmers do some forty dollars per ton of carbon, 168 00:09:34,440 --> 00:09:36,920 Speaker 1: which is twice what it was a year ago. And 169 00:09:36,960 --> 00:09:40,640 Speaker 1: we think that these incentives that that will drive the 170 00:09:40,679 --> 00:09:43,800 Speaker 1: creation these credits will be part of the solution, and 171 00:09:43,840 --> 00:09:46,600 Speaker 1: I think corporations might be forced to do it, but 172 00:09:46,640 --> 00:09:49,000 Speaker 1: they also may choose to do it because it's the 173 00:09:49,080 --> 00:09:54,640 Speaker 1: right thing to do and it's scalable. Now, regulatory advisors 174 00:09:55,160 --> 00:09:59,120 Speaker 1: just recommended that shots from Maderna and Visor be updated 175 00:09:59,200 --> 00:10:02,560 Speaker 1: to target Oh Macron, what are the next steps from 176 00:10:02,559 --> 00:10:06,600 Speaker 1: a journal here and how will your concoction be different 177 00:10:06,640 --> 00:10:10,520 Speaker 1: than what Fiser has to offer. Well, the context switch 178 00:10:10,559 --> 00:10:13,160 Speaker 1: is pretty sudden, but I think it's it's memorable for me, 179 00:10:13,200 --> 00:10:16,000 Speaker 1: Emily because at some level we're talking about the health 180 00:10:16,040 --> 00:10:17,960 Speaker 1: of the planet, and then we're also talking about the 181 00:10:17,960 --> 00:10:20,320 Speaker 1: health of the inhabitants of the planet. So for us, 182 00:10:20,360 --> 00:10:23,000 Speaker 1: it's really all the same thing from a point of 183 00:10:23,040 --> 00:10:26,400 Speaker 1: view of the science and the innovation. Uh specifically to 184 00:10:26,440 --> 00:10:29,320 Speaker 1: your to your question, clearly we've been caught up in 185 00:10:29,320 --> 00:10:32,800 Speaker 1: this battle for two years now between a virus and 186 00:10:33,080 --> 00:10:36,199 Speaker 1: the detect human technology to combat it, and as the 187 00:10:36,320 --> 00:10:40,400 Speaker 1: virus adapts, we've had to adapt our own vaccine to 188 00:10:40,480 --> 00:10:43,280 Speaker 1: be able to stay ahead of it and provide the 189 00:10:43,360 --> 00:10:46,840 Speaker 1: kind of immune protection. We showed yesterday's hearing with the 190 00:10:46,880 --> 00:10:50,520 Speaker 1: FDA that the data we're generating out of a bi 191 00:10:50,640 --> 00:10:54,040 Speaker 1: valent that is two different spike protein sequences in our 192 00:10:54,080 --> 00:10:58,480 Speaker 1: new vaccines are a robust protection package for what we 193 00:10:58,520 --> 00:11:01,000 Speaker 1: expect to be uh it's coming up in the fall. 194 00:11:01,120 --> 00:11:03,040 Speaker 1: So what we need to do is to work with 195 00:11:03,080 --> 00:11:06,440 Speaker 1: the authorities making sure that we we kind of uh 196 00:11:06,720 --> 00:11:09,840 Speaker 1: put in place that what will be the next vaccine 197 00:11:09,880 --> 00:11:13,280 Speaker 1: that's going to be used. Certainly, yesterday's book encouraged a 198 00:11:13,440 --> 00:11:16,520 Speaker 1: macron to be incorporated into that, and once that's done, 199 00:11:16,520 --> 00:11:19,160 Speaker 1: we're ready to ramp up production and be ready by 200 00:11:19,200 --> 00:11:22,680 Speaker 1: early fall to provide the vaccines needed for protection. I 201 00:11:22,720 --> 00:11:25,559 Speaker 1: think a lot of people, as you know, Emily, are tired. 202 00:11:25,679 --> 00:11:28,840 Speaker 1: I'm tired. Everybody's tired of this, of this pandemic. But 203 00:11:28,880 --> 00:11:31,600 Speaker 1: the bad news is devirus doesn't get tired, and we're 204 00:11:31,600 --> 00:11:34,640 Speaker 1: gonna have to stay vigilant. However tired we get, we 205 00:11:34,640 --> 00:11:37,480 Speaker 1: we are tired. I agree, and also you know there 206 00:11:37,480 --> 00:11:39,920 Speaker 1: are a lot of folks waiting on these boosters and 207 00:11:39,960 --> 00:11:44,240 Speaker 1: guidance on boosters. It's it's it's been kind of confusing 208 00:11:44,440 --> 00:11:48,160 Speaker 1: the messaging from the US government. You said early fall, 209 00:11:48,480 --> 00:11:51,280 Speaker 1: is that the soonest like when do you think O 210 00:11:51,400 --> 00:11:55,920 Speaker 1: macron specific shots will be going into the arms of Americans? 211 00:11:57,080 --> 00:12:01,480 Speaker 1: Ending working out with the FDA and other authorities the 212 00:12:01,640 --> 00:12:05,040 Speaker 1: final vaccine composition that we're going with, and there's a 213 00:12:05,080 --> 00:12:07,720 Speaker 1: little bit of this that begins to look like early 214 00:12:07,840 --> 00:12:10,400 Speaker 1: versions of what we've done with seasonal flu, where there's 215 00:12:10,440 --> 00:12:13,480 Speaker 1: got to be a definition set on what the next 216 00:12:13,920 --> 00:12:16,840 Speaker 1: vaccine looks like. But once that's done, we think the 217 00:12:16,880 --> 00:12:19,080 Speaker 1: sooner that's done, the sooner we can get on we're 218 00:12:19,120 --> 00:12:23,839 Speaker 1: poised to manufacture significant quantities. And like we're looking at 219 00:12:24,080 --> 00:12:26,040 Speaker 1: as early in the fall as we can. You know, 220 00:12:26,080 --> 00:12:29,200 Speaker 1: early September would be great. May well be depending on 221 00:12:29,320 --> 00:12:32,480 Speaker 1: when the go ahead is given that will affect it. 222 00:12:32,520 --> 00:12:35,840 Speaker 1: But but we certainly have planned for in our poise 223 00:12:35,880 --> 00:12:38,679 Speaker 1: to be able to move very very quickly. Now COVID 224 00:12:38,760 --> 00:12:40,880 Speaker 1: vaccines are starting to roll out for kids, and I'm 225 00:12:40,920 --> 00:12:43,560 Speaker 1: curious how you think that campaign is going we've seen 226 00:12:43,600 --> 00:12:48,360 Speaker 1: a kind of a slow vaccination campaign under under pediatricians. 227 00:12:48,840 --> 00:12:51,840 Speaker 1: What's it gonna take to make parents less hesitant to 228 00:12:51,920 --> 00:12:56,120 Speaker 1: get this done? Look, I think that it took a 229 00:12:56,160 --> 00:12:58,720 Speaker 1: while to get to this point, which is unfortunate because 230 00:12:58,800 --> 00:13:01,840 Speaker 1: during that time, people were opposed to any any number 231 00:13:01,920 --> 00:13:06,400 Speaker 1: of conflicting points of view, and and everybody uh seems 232 00:13:06,440 --> 00:13:08,959 Speaker 1: to have a view about any number of topics that 233 00:13:09,000 --> 00:13:12,280 Speaker 1: relate to public health, even though there's public health professionals 234 00:13:12,320 --> 00:13:16,000 Speaker 1: that I'd say are probably much more uh prepared to 235 00:13:16,200 --> 00:13:19,400 Speaker 1: and and qualified to to guide what it is we're 236 00:13:19,400 --> 00:13:22,160 Speaker 1: doing as a population. I think it's gonna take a 237 00:13:22,160 --> 00:13:24,199 Speaker 1: little bit of time for people to get the right information. 238 00:13:24,280 --> 00:13:27,600 Speaker 1: The fact is, rigorous testing has been done. The fact 239 00:13:27,760 --> 00:13:30,839 Speaker 1: is that protecting the youngest kids from getting infected is 240 00:13:30,880 --> 00:13:33,280 Speaker 1: not only important for their health, but the health of 241 00:13:33,280 --> 00:13:35,120 Speaker 1: the people surrounding them and the people who want to 242 00:13:35,120 --> 00:13:38,400 Speaker 1: be with them. And so I think that overall, just 243 00:13:38,440 --> 00:13:41,880 Speaker 1: like we're vaccinated for lots of other things, we care 244 00:13:41,920 --> 00:13:44,040 Speaker 1: about our kids health and this is a very important 245 00:13:44,400 --> 00:13:46,880 Speaker 1: next step. The other thing you have to keep in mind, Emily, 246 00:13:46,880 --> 00:13:49,360 Speaker 1: and again this is I think getting lost in the 247 00:13:49,440 --> 00:13:52,560 Speaker 1: information wars that seem to be going on, is that 248 00:13:52,640 --> 00:13:55,200 Speaker 1: actually just getting COVID, let alone, getting it over and 249 00:13:55,240 --> 00:13:58,679 Speaker 1: over again is from a long term health standpoint dangerous 250 00:13:59,160 --> 00:14:00,960 Speaker 1: and and and I think that we think of this 251 00:14:01,040 --> 00:14:02,719 Speaker 1: as a cold and we go, well, we get it 252 00:14:02,760 --> 00:14:05,600 Speaker 1: every year, so a big deal. There's no evidence that 253 00:14:05,720 --> 00:14:09,480 Speaker 1: the way this disease plays out. Quite the contrary, there's 254 00:14:09,520 --> 00:14:12,640 Speaker 1: evidence that in some subset of people, several percent of 255 00:14:12,720 --> 00:14:14,840 Speaker 1: the people, it has long term effects. And I don't 256 00:14:14,880 --> 00:14:18,160 Speaker 1: see that that's going to be different once enough young 257 00:14:18,280 --> 00:14:21,520 Speaker 1: kids get this. So we have to be less cavalier 258 00:14:21,680 --> 00:14:23,880 Speaker 1: about it and do everything we can to prevent it, 259 00:14:24,120 --> 00:14:27,120 Speaker 1: at least until we learn more about the disease. We 260 00:14:27,240 --> 00:14:29,480 Speaker 1: just got a new headline that Fiser and bion Tech 261 00:14:29,480 --> 00:14:31,360 Speaker 1: are going to get an extra three point two billion 262 00:14:31,400 --> 00:14:35,320 Speaker 1: dollars from the United States for COVID vaccine development. Are 263 00:14:35,360 --> 00:14:39,440 Speaker 1: you expecting more money from Maderna as well? I can't 264 00:14:39,480 --> 00:14:44,400 Speaker 1: comment on that, alright, So let's talk about the national 265 00:14:44,440 --> 00:14:47,520 Speaker 1: bio defense strategy. I'm so curious if you and Flagship 266 00:14:47,560 --> 00:14:50,160 Speaker 1: have spoken to the by Buying administration about this and 267 00:14:50,200 --> 00:14:53,720 Speaker 1: what the role of Flagship could be there. You know, 268 00:14:53,760 --> 00:14:57,280 Speaker 1: obviously the hope is that at some point this pandemic abates, 269 00:14:57,320 --> 00:15:01,240 Speaker 1: but we will be facing other threats, so emily we 270 00:15:01,240 --> 00:15:04,880 Speaker 1: we have indirect contacts or through a number of channels, 271 00:15:05,000 --> 00:15:08,480 Speaker 1: and I'd say that I'm happy to see more discussion 272 00:15:08,520 --> 00:15:11,280 Speaker 1: happening about this whole notion of health security. This is 273 00:15:11,280 --> 00:15:13,360 Speaker 1: something that we've talked about for three years, in fact, 274 00:15:13,600 --> 00:15:16,520 Speaker 1: preceding the pandemic. We do think that we need to 275 00:15:16,560 --> 00:15:20,120 Speaker 1: elevate our health to a matter of security, not just care. 276 00:15:20,520 --> 00:15:23,040 Speaker 1: It's not enough that our health kind of is under 277 00:15:23,080 --> 00:15:25,920 Speaker 1: attack and then we try to then do something about it. 278 00:15:25,960 --> 00:15:28,080 Speaker 1: We have to get ahead of it and health security, 279 00:15:28,120 --> 00:15:32,000 Speaker 1: whether it's against pathogen threats or against a lot of 280 00:15:32,000 --> 00:15:34,800 Speaker 1: the slow pandemics that we are attacked by every day, 281 00:15:34,800 --> 00:15:38,360 Speaker 1: whether that's cancer or Alzheimer's, or obesity or any number 282 00:15:38,360 --> 00:15:41,640 Speaker 1: of diseases, all of these are the same kind of 283 00:15:41,680 --> 00:15:44,240 Speaker 1: threat that can take down our lives, take down our health, 284 00:15:44,560 --> 00:15:46,640 Speaker 1: and we need to get ahead of it. Health security, 285 00:15:46,680 --> 00:15:50,520 Speaker 1: by defense. All of that is part of a comprehensive solution. 286 00:15:50,600 --> 00:15:54,520 Speaker 1: And I certainly hope and expect that the kind of 287 00:15:54,560 --> 00:15:58,120 Speaker 1: damage this pandemic is done will be at least converted 288 00:15:58,160 --> 00:16:02,320 Speaker 1: into some long term lasting value to society. Just like 289 00:16:02,440 --> 00:16:07,160 Speaker 1: major wars have led to significant kind of after effects 290 00:16:07,160 --> 00:16:09,840 Speaker 1: that have been good for mankind. I expect that to 291 00:16:09,880 --> 00:16:12,440 Speaker 1: be the case in this case through a more serious 292 00:16:12,560 --> 00:16:17,560 Speaker 1: effort at preparedness and prevention. All right, well, really appreciate 293 00:16:17,600 --> 00:16:19,600 Speaker 1: all the work you are doing and your team on 294 00:16:19,640 --> 00:16:22,840 Speaker 1: the front lines to keep us all safe and also 295 00:16:22,960 --> 00:16:26,640 Speaker 1: now to fight climate change as well. Majorna, co founder, 296 00:16:26,840 --> 00:16:29,960 Speaker 1: CEO Flagship Pioneering New Bar a fan. Good to have 297 00:16:30,000 --> 00:16:43,000 Speaker 1: you back. The iconic iPhone turns fifteen today. Steve Jobs 298 00:16:43,040 --> 00:16:46,880 Speaker 1: introduced the revolutionary product back in two thousand seven, changing 299 00:16:46,920 --> 00:16:51,280 Speaker 1: the phone and app landscape forever and archuably the world. 300 00:16:51,600 --> 00:16:53,760 Speaker 1: For more on this, I want to bring in Bloomberg's 301 00:16:53,760 --> 00:16:56,960 Speaker 1: Mark German, of course covers all things Apple. It is 302 00:16:57,000 --> 00:17:01,000 Speaker 1: hard to overstate Mark just how much the iPhone has 303 00:17:01,120 --> 00:17:04,560 Speaker 1: changed a lot of things about this world. How do 304 00:17:04,560 --> 00:17:08,360 Speaker 1: you assess the impact of this one particular product and 305 00:17:08,800 --> 00:17:13,080 Speaker 1: the future impact on the Apple ecosystem. So I think 306 00:17:13,080 --> 00:17:15,880 Speaker 1: the iPhone is so much more than just the iPhone, 307 00:17:15,920 --> 00:17:18,520 Speaker 1: even for Apple. If you think about Apple, the company 308 00:17:18,560 --> 00:17:21,000 Speaker 1: that exists today and where they get all of their 309 00:17:21,000 --> 00:17:23,920 Speaker 1: sales from all the revenue from and all the major 310 00:17:23,960 --> 00:17:27,000 Speaker 1: elements their business, it all stems from the iPhone. So 311 00:17:27,040 --> 00:17:29,640 Speaker 1: the iPhone, you look at that, but what came from 312 00:17:29,640 --> 00:17:32,840 Speaker 1: the iPhone? The iPad came from the iPhone? Right, The 313 00:17:32,880 --> 00:17:35,720 Speaker 1: App Store came from the iPhone. All their services, News 314 00:17:35,800 --> 00:17:40,040 Speaker 1: plus TV, plus Apple Arcade, iCloud, all those things work 315 00:17:40,040 --> 00:17:42,520 Speaker 1: hand in hand with the iPhone. So none of their 316 00:17:42,600 --> 00:17:45,680 Speaker 1: peripheral products, the Apple Watch, the air pods, the Apple TV, 317 00:17:45,960 --> 00:17:49,280 Speaker 1: those are all very iPhone reliant. So Apple is the 318 00:17:49,280 --> 00:17:52,080 Speaker 1: iPhone company because the iPhone not only is their biggest seller, 319 00:17:52,520 --> 00:17:54,840 Speaker 1: but it needed to exist for all of their other 320 00:17:54,880 --> 00:17:57,679 Speaker 1: products to exist. So Apple, you might as well rename 321 00:17:57,720 --> 00:18:01,159 Speaker 1: them to iPhone in from that standpoint, and obviously you 322 00:18:01,200 --> 00:18:03,720 Speaker 1: see what it's done for the world. Right. People don't 323 00:18:03,720 --> 00:18:06,560 Speaker 1: talk to each other in lines anymore, right, People can't 324 00:18:06,560 --> 00:18:09,800 Speaker 1: focus on screens in a movie theater anymore. Right. Everyone 325 00:18:09,880 --> 00:18:11,800 Speaker 1: is glued to their phone constantly, and people can do 326 00:18:11,840 --> 00:18:14,920 Speaker 1: anything from their phone, whether it's an iPhone or Samsung. 327 00:18:15,080 --> 00:18:17,560 Speaker 1: It all stemmed from the iPhone. So what are the 328 00:18:17,600 --> 00:18:20,639 Speaker 1: next fifteen years of growth going to come from for Apple? 329 00:18:20,880 --> 00:18:23,440 Speaker 1: Are we gonna be using phones at all? In fifteen years. 330 00:18:23,520 --> 00:18:25,359 Speaker 1: Is it going to be an a R headset? Is 331 00:18:25,359 --> 00:18:29,480 Speaker 1: it going to be recurring revenue from services? I think 332 00:18:29,480 --> 00:18:32,119 Speaker 1: there's always gonna be a place for a handheld device 333 00:18:32,200 --> 00:18:34,520 Speaker 1: of product that you keep in your pocket, in your 334 00:18:34,560 --> 00:18:37,080 Speaker 1: bag or whatnot. I think maybe you'll sleep see people 335 00:18:37,359 --> 00:18:40,680 Speaker 1: wean off of tablets and laptops more in the iPhone 336 00:18:40,680 --> 00:18:44,359 Speaker 1: itself becomes sort of a phone, quote desktop computer or 337 00:18:44,359 --> 00:18:47,359 Speaker 1: your home computer, your laptop, and what was the phone 338 00:18:47,680 --> 00:18:49,800 Speaker 1: sort of shifts to the wrists for the smart watch 339 00:18:49,880 --> 00:18:51,800 Speaker 1: and for the A R glasses. So I think the 340 00:18:51,800 --> 00:18:54,680 Speaker 1: iPhone will have a place fifteen years from now still right. 341 00:18:54,880 --> 00:18:56,880 Speaker 1: I still think there will be new iPhones in over 342 00:18:56,920 --> 00:18:59,040 Speaker 1: a decade from now, but you'll see that sort of 343 00:18:59,040 --> 00:19:03,200 Speaker 1: to use the Steve Jobs analogy, the iPhone become the truck, right, 344 00:19:03,240 --> 00:19:06,360 Speaker 1: and the air glasses in the watch become par So 345 00:19:06,400 --> 00:19:08,000 Speaker 1: I still think there's a place for the phone. One 346 00:19:08,080 --> 00:19:12,199 Speaker 1: term interesting bloom Brooks Mark German, who covers Apple and 347 00:19:12,240 --> 00:19:15,040 Speaker 1: will be hopefully for much, if not all, of those 348 00:19:15,080 --> 00:19:26,400 Speaker 1: texts fifteen years, Mark, thank you, Welcome back to Bloomberg Technology. 349 00:19:26,400 --> 00:19:30,200 Speaker 1: I'm Emily changing in San Francisco, subscribing to Snapchat. That's right. 350 00:19:30,280 --> 00:19:33,240 Speaker 1: Snap is launching a paid version of the widely used 351 00:19:33,240 --> 00:19:38,640 Speaker 1: social media platform, offering quote exclusive and experimental they say 352 00:19:38,880 --> 00:19:42,400 Speaker 1: features gloom Skirt Wagner joins us now to discuss. So 353 00:19:42,640 --> 00:19:45,520 Speaker 1: we've seen the struggles that like Netflix is having, for example, 354 00:19:45,520 --> 00:19:48,640 Speaker 1: with its subscription service, why is not moving into this business? 355 00:19:48,840 --> 00:19:52,000 Speaker 1: So you're noticing this both with Snap you recall Twitter 356 00:19:52,080 --> 00:19:54,720 Speaker 1: did this as well. I think this has to do 357 00:19:54,760 --> 00:19:57,400 Speaker 1: with the fact that these are advertising companies. Um, it's 358 00:19:57,440 --> 00:20:01,439 Speaker 1: been a tough year with everything happening with Apple and 359 00:20:01,480 --> 00:20:03,760 Speaker 1: the tracking changes, and I think these companies that have 360 00:20:04,280 --> 00:20:07,760 Speaker 1: mostly built an entire business around advertising are realizing that 361 00:20:07,920 --> 00:20:09,720 Speaker 1: it's not always in their control, it's not always in 362 00:20:09,760 --> 00:20:12,840 Speaker 1: their hands. It's good to have other forms of revenue, 363 00:20:12,840 --> 00:20:15,760 Speaker 1: even if they're small, to kind of counterbalance that somewhat. 364 00:20:15,800 --> 00:20:17,320 Speaker 1: And so I think that's why you're starting to see 365 00:20:17,320 --> 00:20:19,280 Speaker 1: some of these social platforms start to, you know, tinker 366 00:20:19,359 --> 00:20:21,879 Speaker 1: with subscriptions. So what kind of premium content do I 367 00:20:21,920 --> 00:20:25,200 Speaker 1: get for Yeah, it sounds pretty limited. From what I 368 00:20:25,240 --> 00:20:27,480 Speaker 1: can tell. It sounds like you can, you know, similar 369 00:20:27,520 --> 00:20:29,920 Speaker 1: things to to Twitter. Again. You can change your app icon, 370 00:20:30,200 --> 00:20:33,280 Speaker 1: you can prioritize certain messages, right, So maybe pin things 371 00:20:33,880 --> 00:20:36,399 Speaker 1: that you use regularly. So I don't think it's the 372 00:20:36,480 --> 00:20:38,760 Speaker 1: kind of thing that the vast majority of people will 373 00:20:38,840 --> 00:20:41,280 Speaker 1: want to use. But again, similar to Twitter, if you 374 00:20:41,320 --> 00:20:43,320 Speaker 1: are a power user, if you're someone who does all 375 00:20:43,480 --> 00:20:46,439 Speaker 1: or most of your communication on Snap, maybe this is, 376 00:20:46,640 --> 00:20:48,200 Speaker 1: you know, something that's worth a couple of bucks too. 377 00:20:48,240 --> 00:20:51,400 Speaker 1: Are we going to see more strategies like this from 378 00:20:51,440 --> 00:20:56,000 Speaker 1: other similar company? I think so because of the advertising thing, right, 379 00:20:56,000 --> 00:20:58,240 Speaker 1: I think if you're an advertising business, you have to 380 00:20:58,320 --> 00:21:01,000 Speaker 1: sit around and look and say can we control There's 381 00:21:01,000 --> 00:21:03,040 Speaker 1: a lot that you can't, as we've learned from the pandemic, 382 00:21:03,040 --> 00:21:05,320 Speaker 1: as we've learned from Apple, and so I think you 383 00:21:05,359 --> 00:21:07,399 Speaker 1: know you're going to see the facebooks and others of 384 00:21:07,400 --> 00:21:10,080 Speaker 1: the world. Maybe it's not subscriptions, but maybe it's commerce 385 00:21:10,200 --> 00:21:13,480 Speaker 1: or other types of revenue streams beyond advertising paying for 386 00:21:13,560 --> 00:21:16,720 Speaker 1: certain features. Essentially. Yeah, I mean you heard Mark Zuckerberg 387 00:21:16,840 --> 00:21:19,879 Speaker 1: last week talk about the metaverse and how he wants 388 00:21:19,880 --> 00:21:23,240 Speaker 1: people to you know, shop and buy clothes for their avatar. 389 00:21:23,400 --> 00:21:25,520 Speaker 1: Like that's not advertising in the way we think of 390 00:21:25,560 --> 00:21:28,439 Speaker 1: with with Meta or Facebook. It's a different kind of revenue, 391 00:21:28,480 --> 00:21:30,760 Speaker 1: But I think it's all alt. Are people going to 392 00:21:30,880 --> 00:21:33,399 Speaker 1: be paying for clothes for their avatars? Is that going 393 00:21:33,480 --> 00:21:39,159 Speaker 1: to be? But do you believe UM? I believe that 394 00:21:39,200 --> 00:21:41,840 Speaker 1: people will pay things. Yes, I believe people will buy 395 00:21:41,840 --> 00:21:46,639 Speaker 1: things for the avatar. I don't know if UM it 396 00:21:46,680 --> 00:21:49,239 Speaker 1: will be widely used by people, at least early on. 397 00:21:49,400 --> 00:21:51,440 Speaker 1: Right if if suddenly you and I are having this 398 00:21:51,520 --> 00:21:53,800 Speaker 1: interview in the metaverse someday and I'm working from home 399 00:21:53,800 --> 00:21:56,160 Speaker 1: and you're going from home, like, I'm probably gonna want 400 00:21:56,160 --> 00:21:58,080 Speaker 1: to wear something a little nicer than what I have here, 401 00:21:58,119 --> 00:22:01,040 Speaker 1: So maybe I would I would have Bloomberg expensive. That's 402 00:22:01,040 --> 00:22:04,720 Speaker 1: an interesting use case. I'll think about it. Our car Wagner, 403 00:22:05,280 --> 00:22:10,120 Speaker 1: thank you well. After two years of virtual conferences, hp 404 00:22:10,560 --> 00:22:14,080 Speaker 1: s annual Edge to Cloud Conference is back in person 405 00:22:14,280 --> 00:22:17,720 Speaker 1: in Las Vegas. More than eight thousand people intended to 406 00:22:17,760 --> 00:22:20,320 Speaker 1: hear about the latest innovations as the company leans into 407 00:22:20,440 --> 00:22:25,360 Speaker 1: its everything as a service business strategy. HP CEO Antonio 408 00:22:25,440 --> 00:22:28,000 Speaker 1: Narry joins us now exclusively to bring us the latest 409 00:22:28,400 --> 00:22:30,800 Speaker 1: from Vegas. Antonio, it's great to have you back with us. 410 00:22:31,119 --> 00:22:33,760 Speaker 1: So look that it seems like the everything on people's 411 00:22:33,800 --> 00:22:38,040 Speaker 1: minds NOW is the economy. What are you hearing from customers, 412 00:22:38,080 --> 00:22:41,560 Speaker 1: how worried are they and how is this potentially impending 413 00:22:41,600 --> 00:22:45,800 Speaker 1: recession impacting them? Well, I mean, first of all, thanks 414 00:22:45,840 --> 00:22:48,240 Speaker 1: for having me. Is a great day to be here 415 00:22:48,359 --> 00:22:50,560 Speaker 1: with customers in parliaments. As you said, we have more 416 00:22:50,560 --> 00:22:54,040 Speaker 1: than eight thousand attendees, and he has been an amazing 417 00:22:54,119 --> 00:22:58,399 Speaker 1: couple of days where the energy is unbelievable. It shows 418 00:22:58,480 --> 00:23:02,840 Speaker 1: that being together right is unique and one feed by 419 00:23:02,840 --> 00:23:06,000 Speaker 1: a god from customers, this this time around feels totally 420 00:23:06,080 --> 00:23:08,959 Speaker 1: different and there's a sort of a sense of excitement. 421 00:23:09,560 --> 00:23:12,560 Speaker 1: And what we hear from them is that the power 422 00:23:12,640 --> 00:23:16,800 Speaker 1: of digital transformation is accelerated and they need solutions to 423 00:23:16,880 --> 00:23:20,960 Speaker 1: accelerate inside from the data. Obviously they are all concerned 424 00:23:20,960 --> 00:23:23,600 Speaker 1: about what's happened next, but I think it's more a 425 00:23:23,640 --> 00:23:28,280 Speaker 1: consumer phenomenal than an enterprise at phenomenal. So how that 426 00:23:28,400 --> 00:23:31,119 Speaker 1: impacting your outlook? I mean, do you think a recession 427 00:23:31,560 --> 00:23:33,960 Speaker 1: is inevitable? I mean you have to be planning for 428 00:23:34,040 --> 00:23:38,879 Speaker 1: that scenario. Of course, we do based planning scenarios for 429 00:23:39,000 --> 00:23:41,400 Speaker 1: what comes next. But I have to tell you, Emily, 430 00:23:41,600 --> 00:23:44,720 Speaker 1: the demand that we continue to see the market is 431 00:23:44,720 --> 00:23:48,520 Speaker 1: incredibly strong, and this event is a catalyst to continue 432 00:23:48,640 --> 00:23:53,520 Speaker 1: with the momentum. We showcase amazing innovation and delivering on 433 00:23:53,600 --> 00:23:56,040 Speaker 1: the vision I shift three years ago. By the way, 434 00:23:56,160 --> 00:23:59,080 Speaker 1: when was the last discovered here in Vegas that we 435 00:23:59,160 --> 00:24:01,760 Speaker 1: can offer everything as a service from h to cloud. 436 00:24:02,359 --> 00:24:05,800 Speaker 1: But as I think about the megatrends right related to 437 00:24:06,119 --> 00:24:09,280 Speaker 1: the need to connect, the need to deliver a cloud 438 00:24:09,320 --> 00:24:11,800 Speaker 1: experience for all your loads and data, they need to 439 00:24:11,920 --> 00:24:14,879 Speaker 1: extract insights. You know, I keep saying, you know, we 440 00:24:14,960 --> 00:24:18,320 Speaker 1: have data rich but insight poor and ultimately be able 441 00:24:18,320 --> 00:24:22,480 Speaker 1: to consume it in a more flexible way. That's accelerating. 442 00:24:22,560 --> 00:24:24,919 Speaker 1: That's why I'm more positive about the it T spend 443 00:24:25,280 --> 00:24:29,120 Speaker 1: than obviously the consumer spend. You've got cloud providers out 444 00:24:29,119 --> 00:24:32,520 Speaker 1: there fighting for industries and companies that haven't yet moved 445 00:24:32,520 --> 00:24:36,040 Speaker 1: their data to the cloud. Which companies are these and 446 00:24:36,080 --> 00:24:40,960 Speaker 1: how does HPE win their business? Well, our strategy from 447 00:24:41,000 --> 00:24:44,760 Speaker 1: the get go was to provide a hybrid experience for 448 00:24:44,840 --> 00:24:48,760 Speaker 1: all your loads and data, and that's now very clear. 449 00:24:48,920 --> 00:24:51,360 Speaker 1: When you talk to customers and partners, they tell you 450 00:24:51,440 --> 00:24:55,120 Speaker 1: the world is hybrid. At the same time, digital transformation 451 00:24:55,320 --> 00:24:58,520 Speaker 1: is all about a journey to drive a data first, 452 00:24:58,600 --> 00:25:03,399 Speaker 1: modernization data has gravity and has tremendous value, more value 453 00:25:03,400 --> 00:25:07,640 Speaker 1: than ever we manage imagine before. So what customers are 454 00:25:07,680 --> 00:25:10,520 Speaker 1: going through is a multi generational, a t journey, but 455 00:25:10,680 --> 00:25:14,240 Speaker 1: ultimately they need the hybrid experience. And so as customers 456 00:25:14,320 --> 00:25:20,879 Speaker 1: think about compliance issues, regulatory issues obviously cyber issues and cost, 457 00:25:21,320 --> 00:25:23,720 Speaker 1: they realize they need a platform to be able to 458 00:25:23,760 --> 00:25:27,600 Speaker 1: conduct their business across whatever those worlds and data live 459 00:25:27,760 --> 00:25:31,160 Speaker 1: and h speakering leg is the beating heart of our strategy, 460 00:25:31,240 --> 00:25:33,720 Speaker 1: and they realize they can live in a multi cloud world, 461 00:25:34,080 --> 00:25:38,679 Speaker 1: whatever public cloud environment they use, but also compliment with 462 00:25:38,800 --> 00:25:41,240 Speaker 1: an amazing set of solutions on prem and more and 463 00:25:41,320 --> 00:25:43,880 Speaker 1: more of the edge. I think it's fair to recognize, 464 00:25:44,200 --> 00:25:47,800 Speaker 1: Emily that seventy of the data is actually outside the 465 00:25:47,800 --> 00:25:51,480 Speaker 1: public cloud sits at the edge, and more than thirty 466 00:25:51,840 --> 00:25:54,359 Speaker 1: of that data needs to be processed real find and 467 00:25:54,440 --> 00:25:58,440 Speaker 1: that's the opportunity for of US. HP is one of 468 00:25:58,480 --> 00:26:02,200 Speaker 1: the largest companies that has moved its headquarters from Silicon 469 00:26:02,280 --> 00:26:06,240 Speaker 1: Valley to Texas, and it really looks like we're seeing 470 00:26:06,240 --> 00:26:10,480 Speaker 1: an inflection point in American social and political history right now. 471 00:26:10,680 --> 00:26:13,160 Speaker 1: What do you have to say to employees who might 472 00:26:13,240 --> 00:26:18,120 Speaker 1: be upset that they've now moved to Texas and they 473 00:26:18,160 --> 00:26:23,200 Speaker 1: can't access an abortion. Well, first of all, we decided 474 00:26:23,240 --> 00:26:26,240 Speaker 1: to move our headquarters to Texas a couple of years 475 00:26:26,320 --> 00:26:29,640 Speaker 1: back during the pandemic because I was in the process 476 00:26:29,640 --> 00:26:32,840 Speaker 1: of building a state of the arts site for our 477 00:26:32,960 --> 00:26:36,359 Speaker 1: Houston based employees, and I think about the ability to 478 00:26:36,359 --> 00:26:40,320 Speaker 1: attractively can talent. I thought the opportunity to create two 479 00:26:40,480 --> 00:26:44,919 Speaker 1: very amazing sites. One is the San Jose where a 480 00:26:44,920 --> 00:26:47,840 Speaker 1: lot of a thought leadership takes place, and one is 481 00:26:47,880 --> 00:26:50,359 Speaker 1: in Houston, Texas, where a lot of the operational and 482 00:26:50,400 --> 00:26:53,639 Speaker 1: back office takes place. But at the same time, you know, 483 00:26:53,680 --> 00:26:56,640 Speaker 1: when you talk about this social challenges, listen and I'm 484 00:26:56,680 --> 00:26:59,280 Speaker 1: an immigrant. They have been living now in the United 485 00:26:59,359 --> 00:27:02,760 Speaker 1: States or more than twenty three years. And I'll to 486 00:27:02,800 --> 00:27:05,800 Speaker 1: tell you, I'm incredible disappointed. This is not you know, 487 00:27:05,880 --> 00:27:08,960 Speaker 1: politics is not about a specific state of the other. 488 00:27:09,560 --> 00:27:12,280 Speaker 1: But when we saw what we saw last last week, 489 00:27:12,880 --> 00:27:17,080 Speaker 1: we as a company felt compelled to stand up inside 490 00:27:17,240 --> 00:27:21,600 Speaker 1: by the women choice, meaning given them the choice what 491 00:27:21,840 --> 00:27:24,280 Speaker 1: is right. And ultimately it was a company who offered 492 00:27:24,280 --> 00:27:28,160 Speaker 1: amazing benefits where we actually pay for all the travels 493 00:27:28,160 --> 00:27:31,560 Speaker 1: and the medical needs that they have if they decide 494 00:27:31,800 --> 00:27:37,200 Speaker 1: to make the choice. Have you had any reconsiderations about 495 00:27:37,359 --> 00:27:40,520 Speaker 1: hps own decision in light of the changes to the 496 00:27:40,560 --> 00:27:44,480 Speaker 1: social and political landscape. Are you hearing anything from employees 497 00:27:44,520 --> 00:27:47,840 Speaker 1: who made that choice to move and now you know, 498 00:27:48,000 --> 00:27:52,200 Speaker 1: are we considering No? Not. Remember we're a global company, Emily, 499 00:27:52,320 --> 00:27:54,720 Speaker 1: I do business in a hundred seventy two countries. I 500 00:27:54,760 --> 00:27:58,639 Speaker 1: have sixty thou team members all over the world. Uh 501 00:27:58,680 --> 00:28:02,480 Speaker 1: and we encouraged because work to feedback and obviously we 502 00:28:02,560 --> 00:28:04,480 Speaker 1: want to hear their voices. But at the same time 503 00:28:04,520 --> 00:28:08,159 Speaker 1: we tell them go to the book and vote. Vote 504 00:28:08,200 --> 00:28:10,840 Speaker 1: what you think is the right thing based on your 505 00:28:11,400 --> 00:28:14,840 Speaker 1: view of the issues. And we understand that sometimes we 506 00:28:15,000 --> 00:28:17,959 Speaker 1: run into polarized views. But at the same time, we 507 00:28:18,080 --> 00:28:23,920 Speaker 1: cannot address every individual issues again because whether it's one 508 00:28:23,920 --> 00:28:26,640 Speaker 1: thing in the United States. You also realize we also 509 00:28:26,680 --> 00:28:29,080 Speaker 1: do business in the rest of the world. But what 510 00:28:29,200 --> 00:28:31,760 Speaker 1: we stand up is what is called to our purpose 511 00:28:31,880 --> 00:28:34,760 Speaker 1: and value as you recall our purpose to it once 512 00:28:34,800 --> 00:28:37,320 Speaker 1: the way we all live and work, and we need 513 00:28:37,359 --> 00:28:40,080 Speaker 1: to be a force for good. And that's myself as 514 00:28:40,080 --> 00:28:43,959 Speaker 1: a leader of this company. I guide myself every single day, 515 00:28:44,240 --> 00:28:46,680 Speaker 1: right sure, you also have employees who want to move 516 00:28:46,680 --> 00:28:48,960 Speaker 1: from California to Texas as well. It works both ways, 517 00:28:49,400 --> 00:28:53,240 Speaker 1: HP CEO Antonio Neary from your users conference in Las Vegas. 518 00:28:53,320 --> 00:28:57,120 Speaker 1: Thank you so much for stopping by. Coming up, we 519 00:28:57,160 --> 00:29:00,560 Speaker 1: are going to get a feel for institutional intimate about 520 00:29:00,600 --> 00:29:04,440 Speaker 1: crypto and D five. Falcon X CEO ragu Yar Lagatta 521 00:29:04,760 --> 00:29:21,840 Speaker 1: coming up with me next. This is Bloomberg time now 522 00:29:21,880 --> 00:29:25,360 Speaker 1: for crypto reported losses deep it with popular de fight 523 00:29:25,440 --> 00:29:30,560 Speaker 1: tokens like Salana and Avalanche, Avalanche following more than sector 524 00:29:30,720 --> 00:29:34,920 Speaker 1: bellweather Bitcoin. With all this, where does institutional sentiments stand for? 525 00:29:34,960 --> 00:29:37,440 Speaker 1: More on that I want to bring in ragu Yar Lagatta, 526 00:29:37,520 --> 00:29:40,160 Speaker 1: CEO of the crypto trading platform falcon X, which focuses 527 00:29:40,240 --> 00:29:44,920 Speaker 1: on institutional investors. So where is sentiment ragu right now? 528 00:29:46,120 --> 00:29:49,520 Speaker 1: Good to be back Emily in terms of institutional interest 529 00:29:49,600 --> 00:29:52,400 Speaker 1: in the space, in the shockdom and liam in definitely 530 00:29:52,440 --> 00:29:56,160 Speaker 1: there is fear institutions are being verty cautious and by 531 00:29:56,160 --> 00:29:58,640 Speaker 1: that what I mean is they're not taking directional bets. 532 00:29:59,400 --> 00:30:02,800 Speaker 1: UH insure are focused on market neutral strategies like basis 533 00:30:02,880 --> 00:30:06,760 Speaker 1: rate without taking directional better. The second point that institutions 534 00:30:06,760 --> 00:30:10,120 Speaker 1: are feeling is the idiosyncratic risk that is coming from 535 00:30:10,160 --> 00:30:12,520 Speaker 1: the liquidation cascades that we've seen in the space for 536 00:30:12,520 --> 00:30:16,280 Speaker 1: the last two months. That's definitely affecting crypto, and most 537 00:30:16,320 --> 00:30:18,720 Speaker 1: of it I think is flushed through the system, but 538 00:30:18,880 --> 00:30:21,520 Speaker 1: again for another two to three weeks, we've got to 539 00:30:21,560 --> 00:30:24,560 Speaker 1: be very careful as a segment. Last, but not the least, 540 00:30:24,640 --> 00:30:29,440 Speaker 1: is the the correlation, the high correlation to risk on assets, 541 00:30:29,480 --> 00:30:32,760 Speaker 1: specifically high road text stalks. So we think that that 542 00:30:32,800 --> 00:30:35,240 Speaker 1: correlation is also going to continue for the next few 543 00:30:35,280 --> 00:30:37,880 Speaker 1: quarters at the very least. But overall, if you look 544 00:30:37,920 --> 00:30:41,320 Speaker 1: at the long term, we have seen the highest number 545 00:30:41,320 --> 00:30:44,960 Speaker 1: of customers on board, highest activity on the platform, and 546 00:30:45,000 --> 00:30:47,440 Speaker 1: that's to say that's bigger than Falconnect, and that's to 547 00:30:47,520 --> 00:30:50,240 Speaker 1: say that institutional interest for the mid to long term 548 00:30:50,280 --> 00:30:56,040 Speaker 1: on crypto and more broadly disclasses keeps continues to be strong. Meantime, 549 00:30:56,080 --> 00:30:59,240 Speaker 1: you've got micro strategy buying more bitcoin. What do you 550 00:30:59,280 --> 00:31:03,920 Speaker 1: make of them now, aximalist strategy versus other coins, other 551 00:31:03,960 --> 00:31:08,240 Speaker 1: options out there. Yeah, So for a large part of 552 00:31:08,240 --> 00:31:11,680 Speaker 1: twenty twenty one and continuing into twenty twenty two as well, 553 00:31:12,280 --> 00:31:14,880 Speaker 1: we've seen a lot of institutions go beyond just bitcoin 554 00:31:14,960 --> 00:31:18,800 Speaker 1: and ethereum um. Early part of twenty twenty and through 555 00:31:18,800 --> 00:31:22,320 Speaker 1: twenty twenty. Later part of twenty twenty definitely was all 556 00:31:22,360 --> 00:31:28,080 Speaker 1: centered around bitcoin, but most institutions diversified beyond bitcoin into 557 00:31:28,080 --> 00:31:31,040 Speaker 1: ethereum and some of the elements as well. That said, 558 00:31:31,040 --> 00:31:34,440 Speaker 1: the micro sanctuaries, you know, buy a ten million dollars. 559 00:31:34,480 --> 00:31:37,400 Speaker 1: I think it's symbolic. It is a very strong signal 560 00:31:37,480 --> 00:31:39,960 Speaker 1: despite the market conditions, that they're willing to double down 561 00:31:39,960 --> 00:31:42,040 Speaker 1: on that, and that is something that a lot of 562 00:31:42,080 --> 00:31:45,680 Speaker 1: institutions are watching out because that some institutions consider that 563 00:31:45,800 --> 00:31:49,720 Speaker 1: to be a systemic risk if micro strategy rethinks that decision. 564 00:31:49,800 --> 00:31:53,440 Speaker 1: So that signal is creating very good sentiment in the market. 565 00:31:54,960 --> 00:31:58,320 Speaker 1: How is global sentiment evolving? For example, how is it 566 00:31:58,360 --> 00:32:05,040 Speaker 1: different in the US versus Hong Kong versus let's say, Australia. 567 00:32:05,800 --> 00:32:08,480 Speaker 1: The interesting part is we are actually over the last 568 00:32:08,520 --> 00:32:11,400 Speaker 1: month or two months, Emily, we're seeing a big divergence 569 00:32:11,440 --> 00:32:16,000 Speaker 1: between different markets. For example, US is definitely trending towards 570 00:32:16,040 --> 00:32:20,120 Speaker 1: a much more cautious side. Asia not as cautious as US, 571 00:32:20,400 --> 00:32:23,720 Speaker 1: which means they're still exploring, you know, all coins but 572 00:32:23,920 --> 00:32:27,720 Speaker 1: more broadly, over the last one month, UM institutions are 573 00:32:27,760 --> 00:32:30,320 Speaker 1: not taking directional bets, and that all the price movements 574 00:32:30,320 --> 00:32:33,480 Speaker 1: that we are seen are largely stemming from the retail 575 00:32:33,520 --> 00:32:37,000 Speaker 1: side of the equation. So US is in summary, US 576 00:32:37,080 --> 00:32:41,960 Speaker 1: is tending towards the more conservative side. ASIA slightly more 577 00:32:42,000 --> 00:32:45,760 Speaker 1: aggressive than the US, but holistically as a space, institutions 578 00:32:45,760 --> 00:32:50,120 Speaker 1: are being very cautious. Now, you recently raised a hundred 579 00:32:50,160 --> 00:32:52,840 Speaker 1: fifty million dollars in a new round of funding, eight 580 00:32:52,880 --> 00:32:56,320 Speaker 1: billion dollar valuation, and as I understand it, this funding 581 00:32:56,320 --> 00:32:59,680 Speaker 1: game together in just a couple of weeks. How don't 582 00:32:59,720 --> 00:33:02,959 Speaker 1: you make is to pull this off in like you know, 583 00:33:03,080 --> 00:33:09,000 Speaker 1: a very dismal market, the market conditions in twenty two 584 00:33:09,000 --> 00:33:12,840 Speaker 1: a very different emily to your point, yes, this is 585 00:33:12,880 --> 00:33:15,600 Speaker 1: a very recent round, as recent as about two or 586 00:33:15,600 --> 00:33:19,960 Speaker 1: three weeks back. And again the big hypothesis that US 587 00:33:19,960 --> 00:33:22,240 Speaker 1: and some of the highest quality investors for growth stage 588 00:33:22,240 --> 00:33:25,160 Speaker 1: are seeing right now when we're seeing data to prove 589 00:33:25,160 --> 00:33:28,680 Speaker 1: this hypothesis. The hypothesis is that Crypto, for the first 590 00:33:28,680 --> 00:33:33,440 Speaker 1: time objectively proved that you can run full stack financial services, 591 00:33:33,480 --> 00:33:38,760 Speaker 1: whether it's trading, banking, credit clearing, all of these services seven, 592 00:33:38,880 --> 00:33:43,280 Speaker 1: truly globally and truly elastically. No company, no country so 593 00:33:43,400 --> 00:33:46,280 Speaker 1: far has objectively proved that that can be possible, and 594 00:33:46,320 --> 00:33:49,720 Speaker 1: crypto has done this at a trillion dollar scale. Now 595 00:33:50,480 --> 00:33:52,960 Speaker 1: that is what we see in terms of the future 596 00:33:52,960 --> 00:33:54,720 Speaker 1: of finance. To be right, I mean a lot of 597 00:33:54,720 --> 00:33:57,920 Speaker 1: world's value is going to be tokenized. We are actually 598 00:33:57,920 --> 00:34:01,160 Speaker 1: seeing the data underneath that. As a result, despite the 599 00:34:01,280 --> 00:34:04,520 Speaker 1: very tough market conditions, Q one we've remain profitable as 600 00:34:04,560 --> 00:34:06,960 Speaker 1: a company. Q one we onboarded the highest number of 601 00:34:06,960 --> 00:34:09,279 Speaker 1: customers and Q one we have the highest engagement in 602 00:34:09,320 --> 00:34:13,040 Speaker 1: the platform, and that actually is because of the bigger 603 00:34:13,120 --> 00:34:15,200 Speaker 1: thing at play, which is that this class of transformation. 604 00:34:15,680 --> 00:34:18,160 Speaker 1: We think equities and fixed income markets in the next 605 00:34:18,160 --> 00:34:20,200 Speaker 1: five or ten years are going to be organized as well, 606 00:34:20,400 --> 00:34:24,719 Speaker 1: and institutions want to play in that organized world. I 607 00:34:24,760 --> 00:34:27,040 Speaker 1: have to ask where you stand in this debate. Are 608 00:34:27,040 --> 00:34:30,520 Speaker 1: you a maximalist? Are you more of an ethereum other 609 00:34:30,640 --> 00:34:36,760 Speaker 1: coin kind of guy? I do see you know block 610 00:34:36,840 --> 00:34:39,680 Speaker 1: chains to be You know, in some business constructs you 611 00:34:39,680 --> 00:34:43,320 Speaker 1: can compare them to marketplaces, any marketplaces economies of scale 612 00:34:43,320 --> 00:34:47,680 Speaker 1: and network effects. Bitcoin undoubtedly has the biggest network effects, 613 00:34:47,880 --> 00:34:50,920 Speaker 1: but you know, compared to any other you know, cryptocurrency. 614 00:34:50,960 --> 00:34:54,160 Speaker 1: But that being said, I don't think bitcoin alone will 615 00:34:54,200 --> 00:34:58,960 Speaker 1: cater to every single use case that's out there. So definitely, 616 00:34:58,960 --> 00:35:00,960 Speaker 1: I do think the world is bigger than bitcoin, but 617 00:35:01,040 --> 00:35:03,799 Speaker 1: I don't think it is five thousand bikens either, So 618 00:35:03,880 --> 00:35:06,640 Speaker 1: it's going to be a head heavy equation with like 619 00:35:06,680 --> 00:35:09,400 Speaker 1: you know, five then getting the lead in a meaningfully 620 00:35:09,480 --> 00:35:14,799 Speaker 1: large way. All right, ragu y'allagatas CEO of falcon X, 621 00:35:15,000 --> 00:35:27,480 Speaker 1: thank you for sharing your position with us. Let's get 622 00:35:27,520 --> 00:35:30,400 Speaker 1: back to the markets on a largely flat day, investors 623 00:35:30,440 --> 00:35:32,919 Speaker 1: and consumers just waiting to see if prices will come 624 00:35:32,920 --> 00:35:36,120 Speaker 1: down and a recession will be avoided. For more. Now, 625 00:35:36,160 --> 00:35:39,480 Speaker 1: I'm joined by Betterman CEO Sarah Levy, and Sarah, I 626 00:35:39,520 --> 00:35:42,959 Speaker 1: know that many of your customers are affluent millennials who've 627 00:35:43,040 --> 00:35:45,360 Speaker 1: got you know, a little bit of of of money 628 00:35:45,360 --> 00:35:48,520 Speaker 1: in the bank, some assets to move around. How are 629 00:35:48,560 --> 00:35:52,560 Speaker 1: you advising them at this time? So, you know, it's 630 00:35:52,600 --> 00:35:58,040 Speaker 1: interesting because philosophically, we have always believed in long term diversification, 631 00:35:58,560 --> 00:36:01,520 Speaker 1: and so you know, we we attract a client base 632 00:36:01,640 --> 00:36:04,880 Speaker 1: that believes in that philosophy and sort of stays the course. 633 00:36:05,400 --> 00:36:08,080 Speaker 1: So in general, our advices stay the course, and I 634 00:36:08,120 --> 00:36:10,000 Speaker 1: think in some ways we do our best in this 635 00:36:10,080 --> 00:36:12,720 Speaker 1: sort of economy, um, in this sort of volatle market, 636 00:36:12,880 --> 00:36:15,600 Speaker 1: because text mark technology is a huge part of the 637 00:36:15,680 --> 00:36:19,560 Speaker 1: value proposition that we offer. Betterment was actually founded during 638 00:36:19,719 --> 00:36:24,880 Speaker 1: a downturn. What comparisons do you see between then and now? Well, 639 00:36:24,920 --> 00:36:27,600 Speaker 1: it's interesting, you know, some would say better to be 640 00:36:27,680 --> 00:36:31,640 Speaker 1: lucky than smart, right, so when when Betterment launched, um, 641 00:36:31,680 --> 00:36:34,360 Speaker 1: we it was a downturn, and so we were able 642 00:36:34,400 --> 00:36:37,080 Speaker 1: to put some quick wins on the board for our customers. 643 00:36:37,440 --> 00:36:40,839 Speaker 1: And I think that really holds true now as well. UM. 644 00:36:40,920 --> 00:36:42,680 Speaker 1: You know, I know your last segment was on crypto 645 00:36:42,800 --> 00:36:45,319 Speaker 1: and and we're entering the crypto market, and I think 646 00:36:45,360 --> 00:36:47,960 Speaker 1: they're The similarity I would draw is where we are 647 00:36:47,960 --> 00:36:49,960 Speaker 1: in the crypto space right now relative to where we 648 00:36:49,960 --> 00:36:52,440 Speaker 1: were in the overall market, UM a decade ago when 649 00:36:52,440 --> 00:36:54,960 Speaker 1: we were founded. I know you're working on a crypto 650 00:36:54,960 --> 00:36:58,880 Speaker 1: product for launch later this year. What's your take on 651 00:36:59,040 --> 00:37:04,480 Speaker 1: the broader crypto volatility? And you know Bitcoin at new lows. 652 00:37:05,800 --> 00:37:08,640 Speaker 1: You know, our view is that crypto continues to be 653 00:37:08,680 --> 00:37:10,960 Speaker 1: an asset class to play for the long term, and 654 00:37:11,000 --> 00:37:13,040 Speaker 1: we think about the asset class as a whole rather 655 00:37:13,080 --> 00:37:15,920 Speaker 1: than thinking about the individual stories. So is it you know, 656 00:37:16,000 --> 00:37:18,680 Speaker 1: Bitcoin or the rest of the coins kind of coming 657 00:37:18,760 --> 00:37:22,880 Speaker 1: up behind. So our view is long term diversification works 658 00:37:22,920 --> 00:37:26,480 Speaker 1: in the in traditional finance and similarly works in crypto. 659 00:37:26,560 --> 00:37:29,360 Speaker 1: And then from an advisory standpoint, you know, we believe 660 00:37:29,400 --> 00:37:31,640 Speaker 1: this is not an all or nothing idea, but we're 661 00:37:31,640 --> 00:37:33,640 Speaker 1: going to advise our clients to keep less than five 662 00:37:33,640 --> 00:37:38,400 Speaker 1: percent of their portfolios in crypto as a diversification play. 663 00:37:38,640 --> 00:37:40,800 Speaker 1: We have reported that f t X is Sam Bankman. 664 00:37:40,840 --> 00:37:44,279 Speaker 1: Freed is interested in buying Robin Hood. What's your take 665 00:37:44,320 --> 00:37:47,640 Speaker 1: on that? How how does that change the game. Well, 666 00:37:47,640 --> 00:37:52,320 Speaker 1: it's interesting. You know, I think particularly self directed trading 667 00:37:52,440 --> 00:37:54,760 Speaker 1: got a lot of excitement, and I think some combination 668 00:37:54,840 --> 00:37:58,600 Speaker 1: of crypto and options and single stocks. You know, folks 669 00:37:58,680 --> 00:38:02,600 Speaker 1: thought that they were sort of smarter and more informed 670 00:38:02,680 --> 00:38:04,560 Speaker 1: and that they could play the market in a really 671 00:38:04,640 --> 00:38:07,879 Speaker 1: you know, self directed way, and I think that often 672 00:38:08,000 --> 00:38:10,400 Speaker 1: ends badly. You know, in that market, we were preaching 673 00:38:10,480 --> 00:38:12,919 Speaker 1: eat your vegetables, while they were preaching you know, here's 674 00:38:12,920 --> 00:38:15,080 Speaker 1: a piece of cake. And I think now you come 675 00:38:15,080 --> 00:38:17,640 Speaker 1: out on the other side and eat your vegetables feels 676 00:38:17,920 --> 00:38:20,480 Speaker 1: you know, pretty good and pretty tried and true. So 677 00:38:20,680 --> 00:38:22,440 Speaker 1: you know, I think they're they're doing a variant of 678 00:38:22,440 --> 00:38:24,760 Speaker 1: what we are. They're just doing it and self directed, 679 00:38:24,920 --> 00:38:27,200 Speaker 1: you know, investing, whereas we're doing it in a sort 680 00:38:27,200 --> 00:38:33,120 Speaker 1: of buy and hold advisory capacity. Is a recession inevitable 681 00:38:33,120 --> 00:38:35,440 Speaker 1: in your view? And if so, when does it happen? 682 00:38:37,320 --> 00:38:40,759 Speaker 1: You know, I don't like to prognosticate particularly on that. 683 00:38:40,880 --> 00:38:44,120 Speaker 1: I mean, you know, I think the monetary policy right now, um, 684 00:38:44,440 --> 00:38:46,840 Speaker 1: that that the government is putting forth is important to 685 00:38:46,840 --> 00:38:49,560 Speaker 1: cool inflation, and I think that's really the number one objective. 686 00:38:49,600 --> 00:38:53,160 Speaker 1: And and threadning the needle is really the key. Um, 687 00:38:53,200 --> 00:38:54,680 Speaker 1: you know, whether or not that needle is going to 688 00:38:54,719 --> 00:38:58,680 Speaker 1: be thread between employment and inflation and and interest rates, 689 00:38:59,080 --> 00:39:02,239 Speaker 1: um is really gonnaddict. What happens in the markets. How 690 00:39:02,280 --> 00:39:06,920 Speaker 1: do you thread that needle in portfolio invest for basically 691 00:39:07,320 --> 00:39:11,360 Speaker 1: either scenario? Right? Well, I think again, you know, trying 692 00:39:11,400 --> 00:39:15,160 Speaker 1: not to overreact. I mean, you know, we've, for example, behaviorally, 693 00:39:15,520 --> 00:39:18,439 Speaker 1: don't nudge customers to make too many moves. And so 694 00:39:18,560 --> 00:39:20,879 Speaker 1: when we think about the savings rate environment right now 695 00:39:20,920 --> 00:39:22,560 Speaker 1: and that rate going up, one of the things we're 696 00:39:22,560 --> 00:39:24,960 Speaker 1: gonna do is we're gonna put more cash and recommend 697 00:39:25,080 --> 00:39:28,279 Speaker 1: more cash into people's portfolios. But again, these are going 698 00:39:28,320 --> 00:39:31,120 Speaker 1: to be sort of modest changes at the margin because 699 00:39:31,120 --> 00:39:34,920 Speaker 1: on average and over time, right dollar cost averaging philosophically 700 00:39:34,960 --> 00:39:38,200 Speaker 1: makes sense, um, you know, taking advantage of the text 701 00:39:38,200 --> 00:39:41,839 Speaker 1: tools that are available to capture some extra beata there. Um. 702 00:39:41,880 --> 00:39:45,200 Speaker 1: So we think there's a lot of good in diversification, 703 00:39:45,520 --> 00:39:49,719 Speaker 1: you know, while we're seeing this market volatility. All right, 704 00:39:49,960 --> 00:39:53,799 Speaker 1: Sorry leaving CEO of Betterment Sarah, thank you for taking 705 00:39:53,800 --> 00:39:56,799 Speaker 1: the time to join us, Thanks for having me. And 706 00:39:56,880 --> 00:39:59,560 Speaker 1: that does it for this edition of Bloomberg Technology. Or 707 00:39:59,560 --> 00:40:01,960 Speaker 1: to be right back here tomorrow. We've got a number 708 00:40:02,040 --> 00:40:06,239 Speaker 1: of great guests, including CLEO Capital, Sarah Kuntz, and the 709 00:40:06,320 --> 00:40:10,880 Speaker 1: CEO of Peak to talk about the travel season ahead 710 00:40:10,880 --> 00:40:13,000 Speaker 1: of the fourth of July holiday. Don't we get to 711 00:40:13,080 --> 00:40:15,080 Speaker 1: check out our new podcast meantime. You can find it 712 00:40:15,080 --> 00:40:20,000 Speaker 1: on the terminal, Apple, Spotify, I Heart Radio, and anywhere 713 00:40:20,320 --> 00:40:22,920 Speaker 1: you get your podcast. I'm Emily Chang in San Francisco. 714 00:40:23,320 --> 00:40:24,719 Speaker 1: This is Bloomberg