1 00:00:02,400 --> 00:00:05,760 Speaker 1: From the heart of where innovation, money and power collive 2 00:00:06,519 --> 00:00:11,080 Speaker 1: in Silicon Valley and beyond. This is Bloomberg Technology with 3 00:00:11,119 --> 00:00:26,720 Speaker 1: Emily Jay I'm only changing in San Francisco, and this 4 00:00:26,720 --> 00:00:30,400 Speaker 1: is Bloomberg Technology coming up of the next hour market malaise, 5 00:00:30,520 --> 00:00:33,599 Speaker 1: the SMP five hundred and the tech heavy NASDAQ one 6 00:00:33,680 --> 00:00:37,640 Speaker 1: hundred having their worst weekly run of declines for a 7 00:00:37,800 --> 00:00:41,320 Speaker 1: decade as US job numbers reinforce the idea that the 8 00:00:41,400 --> 00:00:45,680 Speaker 1: FED stay in the course on rates plus Doordas shares 9 00:00:45,720 --> 00:00:48,440 Speaker 1: get caught in the down draft, selling off for another day, 10 00:00:48,520 --> 00:00:51,720 Speaker 1: hitting an all time low, this despite strong earnings that 11 00:00:51,720 --> 00:00:55,000 Speaker 1: show customers still paying for takeaway as we move into 12 00:00:55,080 --> 00:00:58,600 Speaker 1: our post pandemic world. A conversation with DoorDash CEO Tony 13 00:00:58,680 --> 00:01:03,280 Speaker 1: Shoe is coming up, and Meta's latest leap into the 14 00:01:03,320 --> 00:01:07,039 Speaker 1: metaverse is a real world store. We go behind the 15 00:01:07,080 --> 00:01:10,840 Speaker 1: scenes and the company's first retail location ahead of its 16 00:01:10,840 --> 00:01:13,600 Speaker 1: grand opening. I want to stick with that volatility that 17 00:01:13,680 --> 00:01:16,200 Speaker 1: continues to dominate the markets and bring in Mark Mahaney 18 00:01:16,720 --> 00:01:18,839 Speaker 1: of ever Car and Mark. Some of these companies actually 19 00:01:18,840 --> 00:01:22,039 Speaker 1: a strong earnings results, but they're still getting caught up 20 00:01:22,680 --> 00:01:25,400 Speaker 1: in this down draft. You know, what's your take here, 21 00:01:25,440 --> 00:01:29,320 Speaker 1: how are you reading through this? Well, okay, Emily, I 22 00:01:29,760 --> 00:01:31,399 Speaker 1: think my take on it would be the companies that 23 00:01:31,440 --> 00:01:34,240 Speaker 1: actually had strong earnings actually did trade up, but there 24 00:01:34,240 --> 00:01:36,440 Speaker 1: were very few of those companies in tech land. So 25 00:01:36,560 --> 00:01:38,440 Speaker 1: let me try this. You know, you mentioned door Dash, 26 00:01:38,760 --> 00:01:41,600 Speaker 1: Door Dash, you know is fulminentals got stronger, but they're 27 00:01:41,600 --> 00:01:44,480 Speaker 1: not really yet putting up sustained gap earnings, and so 28 00:01:45,120 --> 00:01:48,520 Speaker 1: the market is not willing to bid up stocks despite 29 00:01:48,520 --> 00:01:50,680 Speaker 1: what happens on the top line. If they don't have 30 00:01:50,720 --> 00:01:52,720 Speaker 1: a lot of bottom line cushion, then they don't trade 31 00:01:52,720 --> 00:01:54,800 Speaker 1: somewhat close to our market multiple. It's gonna be a 32 00:01:54,880 --> 00:01:57,880 Speaker 1: challenge for pure growth equities like DoorDash. I like doordashes 33 00:01:57,960 --> 00:02:00,440 Speaker 1: the stock, but in this market it's gonna be challenge. 34 00:02:00,480 --> 00:02:03,480 Speaker 1: Airbnb put up really good numbers earlier this week, stock 35 00:02:03,520 --> 00:02:06,560 Speaker 1: couldn't hold the gains. Uber put up good numbers, Stock 36 00:02:06,600 --> 00:02:08,880 Speaker 1: couldn't hold the games. The one that could, though, was Booking, 37 00:02:09,480 --> 00:02:12,040 Speaker 1: and Booking had positive results. But they also have a 38 00:02:12,120 --> 00:02:15,800 Speaker 1: market multiple app you know, real earnings. Uh, they've had 39 00:02:15,840 --> 00:02:18,560 Speaker 1: them for a long time, a bulletproof balance sheet, etcetera. 40 00:02:18,680 --> 00:02:21,600 Speaker 1: So this market is very discriminating and it won't. It 41 00:02:21,639 --> 00:02:25,080 Speaker 1: won't tolerate growth assets right now. If you're a growth stock, 42 00:02:25,160 --> 00:02:28,440 Speaker 1: you better have a good earnings track record. In that case, 43 00:02:28,480 --> 00:02:30,120 Speaker 1: the stock can trade up. I think that's kind of 44 00:02:30,120 --> 00:02:32,400 Speaker 1: what's happening. People are just going to the defensive end 45 00:02:32,840 --> 00:02:35,240 Speaker 1: of growth tech in the Usually there's not too many 46 00:02:35,320 --> 00:02:38,000 Speaker 1: names in that space. Based on the actions the FED 47 00:02:38,120 --> 00:02:41,200 Speaker 1: is taking here, how concerned are you about a recession 48 00:02:41,360 --> 00:02:47,280 Speaker 1: and just a prolonged market meltdown? Well, I don't know. 49 00:02:47,680 --> 00:02:49,480 Speaker 1: I'm certainly no expert on that, but I can all 50 00:02:49,480 --> 00:02:52,480 Speaker 1: my My interpretation is simply that the market on Thursday 51 00:02:52,480 --> 00:02:55,399 Speaker 1: and Friday said we don't believe the FED can orchestrate 52 00:02:55,400 --> 00:02:58,440 Speaker 1: a soft landing. That's how I interpret what happened. Maybe 53 00:02:58,440 --> 00:03:00,880 Speaker 1: the FED can, maybe the FED can't. No expert on that, 54 00:03:01,120 --> 00:03:03,360 Speaker 1: I think the odd that's not going to be an 55 00:03:03,360 --> 00:03:05,720 Speaker 1: easy thing to do, but that's what the market is saying. 56 00:03:05,760 --> 00:03:08,040 Speaker 1: And then as a as an investor in tech stocks, 57 00:03:08,280 --> 00:03:10,160 Speaker 1: one thing I have to worry about is if there 58 00:03:10,160 --> 00:03:13,280 Speaker 1: really is a recession that's not estimated in. It maybe 59 00:03:13,280 --> 00:03:16,720 Speaker 1: priced in, but it's not estimated in. Almost all consumer 60 00:03:16,760 --> 00:03:19,320 Speaker 1: tech is cyclical, So if the consumer if they're gonna 61 00:03:19,400 --> 00:03:21,960 Speaker 1: entering in a recession. You know. Amazon on its earnings 62 00:03:21,960 --> 00:03:24,720 Speaker 1: call said they hadn't seen any sign of consumer softening. 63 00:03:24,720 --> 00:03:26,520 Speaker 1: They had a lot of issues in terms of costs, 64 00:03:26,680 --> 00:03:29,000 Speaker 1: but not in terms of demand. So things could get 65 00:03:29,000 --> 00:03:31,080 Speaker 1: worse at Amazon, they could get worse at Google, they 66 00:03:31,120 --> 00:03:33,760 Speaker 1: could get worse at Apple. None of these companies skated 67 00:03:33,800 --> 00:03:36,320 Speaker 1: away from a real recession. So that's potentially the other 68 00:03:36,360 --> 00:03:39,200 Speaker 1: shoe to drop here. That's what the market, the markets 69 00:03:39,240 --> 00:03:41,440 Speaker 1: fearing that it's pricing it in. And I hope the 70 00:03:41,440 --> 00:03:44,320 Speaker 1: market is wrong, but but that's the until proven otherwise. 71 00:03:44,360 --> 00:03:46,720 Speaker 1: I think that's what's gonna hold back tech stocks and 72 00:03:46,760 --> 00:03:49,440 Speaker 1: growth equities, you know, for the foreseeable future. I don't 73 00:03:49,480 --> 00:03:51,600 Speaker 1: know if that's a couple of weeks months, hopefully it's 74 00:03:51,640 --> 00:03:53,920 Speaker 1: not quarters, but it's that time of that that kind 75 00:03:53,920 --> 00:03:56,600 Speaker 1: of time frame we also might see be seeing a 76 00:03:56,760 --> 00:03:59,040 Speaker 1: changing of the guard in terms of what counts as 77 00:03:59,080 --> 00:04:02,120 Speaker 1: a tech company. Is folk With Robert Knwell of Upholding 78 00:04:02,640 --> 00:04:06,920 Speaker 1: Portfolio yesterday, he had this to say about Netflix and NATA. 79 00:04:07,080 --> 00:04:11,400 Speaker 1: Take a listen. Netflix is now being valued like a 80 00:04:11,480 --> 00:04:16,360 Speaker 1: cable station. Other investors are looking at Facebook's meta's capital intensity, 81 00:04:16,400 --> 00:04:19,000 Speaker 1: and saying is this does their future look more like 82 00:04:19,080 --> 00:04:21,800 Speaker 1: a T and T S than it does Google? And 83 00:04:22,040 --> 00:04:24,920 Speaker 1: you've seen multiples re rate faster than we've seen in 84 00:04:25,000 --> 00:04:27,880 Speaker 1: a really long time across these assets because investors not, 85 00:04:28,080 --> 00:04:30,480 Speaker 1: in our opinion, they've likely moved too far in that direction. 86 00:04:30,960 --> 00:04:32,479 Speaker 1: But you know, we've got to do our jobs and 87 00:04:32,520 --> 00:04:36,200 Speaker 1: passed through it and find the good deals here, Mark's 88 00:04:36,200 --> 00:04:39,680 Speaker 1: all you're nodding there? Do you agree? I think there's 89 00:04:39,839 --> 00:04:41,240 Speaker 1: a lot of really good points there. Look, you look 90 00:04:41,240 --> 00:04:44,480 Speaker 1: at Netflix, It's trade off seventy year to date. There's 91 00:04:44,480 --> 00:04:46,200 Speaker 1: about five or six someties. I looked at the trade 92 00:04:46,240 --> 00:04:49,000 Speaker 1: off seventy year to date now with Netflix because they 93 00:04:49,040 --> 00:04:51,240 Speaker 1: hit a growth wall. This stock was priced as if 94 00:04:51,279 --> 00:04:53,000 Speaker 1: and I thought it very beginning of the year. I 95 00:04:53,000 --> 00:04:56,480 Speaker 1: thought they could sustain million subs. You know going forward, 96 00:04:56,480 --> 00:04:58,680 Speaker 1: say's not the case, and that stock was standing at 97 00:04:58,720 --> 00:05:00,719 Speaker 1: a high multiple. So we had to take out the 98 00:05:00,760 --> 00:05:02,800 Speaker 1: premium that it had, uh and then you had the 99 00:05:02,839 --> 00:05:06,240 Speaker 1: lower estimates. That's what got me off the Netflix train, 100 00:05:06,360 --> 00:05:09,280 Speaker 1: you know, earlier this, earlier this year. But yeah, when 101 00:05:09,320 --> 00:05:12,400 Speaker 1: companies go X hype premium growth, they go X growth, 102 00:05:12,680 --> 00:05:14,680 Speaker 1: you can have a real reckoning in terms of the 103 00:05:14,720 --> 00:05:17,120 Speaker 1: stock price if they go x premium growth when they 104 00:05:17,120 --> 00:05:19,640 Speaker 1: are sitting there with high multiples. That was absolutely the 105 00:05:19,680 --> 00:05:21,440 Speaker 1: case with Netflix. Now I think there's a lot of 106 00:05:21,520 --> 00:05:23,960 Speaker 1: very interesting valuation arguments think be made about Netflix. You've 107 00:05:23,960 --> 00:05:26,760 Speaker 1: got thirteen dollars in pure gap burnings. What multiple do 108 00:05:26,800 --> 00:05:29,159 Speaker 1: you want to put on that a market multiple seventeen times, 109 00:05:29,160 --> 00:05:32,160 Speaker 1: fifteen times, twenty times were in that ballpark. So now 110 00:05:32,200 --> 00:05:34,880 Speaker 1: there's a lot of valuation support for the name Facebook. 111 00:05:34,920 --> 00:05:36,440 Speaker 1: I think it's different. And by the way, I really 112 00:05:36,480 --> 00:05:38,720 Speaker 1: like Facebook here. I think the stock can rerate. I 113 00:05:38,720 --> 00:05:40,359 Speaker 1: think the multiple can go higher. I think this is 114 00:05:40,360 --> 00:05:42,640 Speaker 1: going to recover to have being a premium growth name. 115 00:05:42,880 --> 00:05:45,520 Speaker 1: But I understand it's very controversial here. I like it. 116 00:05:45,600 --> 00:05:47,520 Speaker 1: It's also got a lot of cash on the balance sheet. 117 00:05:48,520 --> 00:05:51,160 Speaker 1: And you also, of course cover Twitter, which has got 118 00:05:51,200 --> 00:05:54,039 Speaker 1: its own story going on with this Elon Musk takeover. 119 00:05:54,120 --> 00:05:57,320 Speaker 1: He's lined up this long list of unusual investors to 120 00:05:57,480 --> 00:06:00,640 Speaker 1: back his bid to buy Twitter, from Larry Ellison to 121 00:06:00,800 --> 00:06:04,840 Speaker 1: a Saudi prince to the cryptocurrency firm Finance. He also 122 00:06:04,920 --> 00:06:08,039 Speaker 1: was tweeting earlier today some more incess to what he 123 00:06:08,080 --> 00:06:11,440 Speaker 1: plans to do with Twitter that'll be focusing on hardcore 124 00:06:11,480 --> 00:06:16,279 Speaker 1: software engineering, design, information security, server hardware. What do you 125 00:06:16,279 --> 00:06:21,400 Speaker 1: make of that? Well, I, um, I'm sorry I didn't 126 00:06:21,400 --> 00:06:24,120 Speaker 1: see his tweets earlier today, But if he's started to 127 00:06:24,160 --> 00:06:26,240 Speaker 1: develop a more detailed plan for what he wants to 128 00:06:26,240 --> 00:06:28,760 Speaker 1: do with the asset, I think that's great. Um. You know, 129 00:06:28,839 --> 00:06:31,160 Speaker 1: I think there's been a product innovation problem with Twitter 130 00:06:31,279 --> 00:06:33,360 Speaker 1: for I don't know the better part of five, six, 131 00:06:33,400 --> 00:06:35,880 Speaker 1: seven years, and so if somebody, if if it takes 132 00:06:35,920 --> 00:06:38,520 Speaker 1: new management team, takes a new owner to shake it 133 00:06:38,560 --> 00:06:40,240 Speaker 1: up and to really improve it, I think that's gonna 134 00:06:40,240 --> 00:06:42,520 Speaker 1: be great for all of us. I do worry one thing, 135 00:06:42,600 --> 00:06:44,640 Speaker 1: which is all the money for Twitter comes really from 136 00:06:44,640 --> 00:06:47,720 Speaker 1: marketers and advertisers, and I haven't heard anybody talk about 137 00:06:47,720 --> 00:06:49,680 Speaker 1: how they're going to improve the tools for them because 138 00:06:49,680 --> 00:06:51,120 Speaker 1: they're the ones who paid the bills. At the end 139 00:06:51,120 --> 00:06:52,839 Speaker 1: of the day. I don't think you're gonna make that 140 00:06:52,920 --> 00:06:56,200 Speaker 1: much money if you try to charge a subscription for 141 00:06:55,880 --> 00:06:58,760 Speaker 1: for for Twitter. So I hope he can improve Twitter 142 00:06:58,839 --> 00:07:00,800 Speaker 1: as a as a service as a user, right, I 143 00:07:00,800 --> 00:07:03,120 Speaker 1: think I want that. As an investor, I don't think 144 00:07:03,120 --> 00:07:04,680 Speaker 1: there's much to do with Twitter here, I think the 145 00:07:04,680 --> 00:07:06,920 Speaker 1: steel is going to go through. I think it's largely closed, 146 00:07:07,640 --> 00:07:09,400 Speaker 1: but but maybe we'll see it to get into public 147 00:07:09,400 --> 00:07:11,280 Speaker 1: markets in a few years. That's what I heard that 148 00:07:11,360 --> 00:07:12,760 Speaker 1: he intends to do. If he can come out with 149 00:07:12,800 --> 00:07:14,880 Speaker 1: a better asset, the market will be very interested in 150 00:07:14,920 --> 00:07:18,640 Speaker 1: Twitter all right. We'll always appreciate your insights here and 151 00:07:18,720 --> 00:07:21,760 Speaker 1: helping us wrap a really painful week for a lot 152 00:07:21,760 --> 00:07:34,880 Speaker 1: of investors. Mark Mahaney of Evercore, Thank you. The music 153 00:07:35,080 --> 00:07:38,720 Speaker 1: is stopping for some pandemic darlings like Peloton and Netflix's 154 00:07:38,760 --> 00:07:41,360 Speaker 1: people get back out into the world to live their lives. 155 00:07:41,400 --> 00:07:43,760 Speaker 1: But it is still humming so far for door Dash 156 00:07:44,160 --> 00:07:47,040 Speaker 1: revenue beating analysts estimates and a strong outlook ahead with 157 00:07:47,080 --> 00:07:50,480 Speaker 1: people still ordering more and more food for delivery. But 158 00:07:50,520 --> 00:07:52,840 Speaker 1: how long does that keep up with inflation and a 159 00:07:52,880 --> 00:07:55,800 Speaker 1: potential recession bearing down. I want to bring in door 160 00:07:55,840 --> 00:07:58,640 Speaker 1: Dos CEO Tony Shoe for more on all of this, 161 00:07:58,800 --> 00:08:01,240 Speaker 1: and Tony, it's a tough mark it to be in now. 162 00:08:01,320 --> 00:08:04,880 Speaker 1: Despite your strong results, we saw shares take a leg down. 163 00:08:05,360 --> 00:08:09,280 Speaker 1: You know, what is your takeaway from how investors are 164 00:08:09,320 --> 00:08:13,760 Speaker 1: evaluating these results? Well, I think it's certainly a tough 165 00:08:13,800 --> 00:08:16,120 Speaker 1: market out there, as you acknowledge, but you know, at 166 00:08:16,120 --> 00:08:18,560 Speaker 1: the same time at DoorDash, we're focused on the fundamentals, 167 00:08:18,560 --> 00:08:21,480 Speaker 1: and the fundamentals for doordesh are incredibly strong, as you saw, 168 00:08:21,640 --> 00:08:23,840 Speaker 1: you know, with this for most recent quarter, we announced 169 00:08:23,880 --> 00:08:28,080 Speaker 1: all time highs in our monthly active users or dash 170 00:08:28,080 --> 00:08:31,560 Speaker 1: has subscribers, as well as order frequency across cohorts. We're 171 00:08:31,560 --> 00:08:34,920 Speaker 1: continuing to build into new categories beyond restaurants and two grocery, 172 00:08:35,000 --> 00:08:38,200 Speaker 1: convenience retail. We're launching more than just you know, the 173 00:08:38,320 --> 00:08:41,120 Speaker 1: United States as a global business, and we're also making 174 00:08:41,240 --> 00:08:45,400 Speaker 1: tremendous progress on building our platform in which we're helping 175 00:08:45,400 --> 00:08:50,040 Speaker 1: physical businesses become digital powerhouses in addition to the local 176 00:08:50,040 --> 00:08:54,640 Speaker 1: marketplace that we've been building. So in times like these, especially, um, 177 00:08:54,679 --> 00:08:56,840 Speaker 1: you know, what I tell our teams is to focus on, 178 00:08:57,080 --> 00:09:00,760 Speaker 1: you know, the fundamentals and keep building the business. Investors 179 00:09:00,800 --> 00:09:04,480 Speaker 1: seem to really be punishing or at least questioning growth stocks, 180 00:09:04,760 --> 00:09:07,720 Speaker 1: and I know some are wondering, oh, was it because 181 00:09:07,720 --> 00:09:10,280 Speaker 1: of a Macron that DoorDash saw this boost in the 182 00:09:10,360 --> 00:09:13,160 Speaker 1: last quarter. Is not going to keep up quarter after 183 00:09:13,240 --> 00:09:16,160 Speaker 1: quarter after quarter. How do you respond to that well, 184 00:09:16,200 --> 00:09:18,560 Speaker 1: it's been two years now or maybe a little over 185 00:09:18,640 --> 00:09:22,040 Speaker 1: that um in during the pandemic season, and we've continued 186 00:09:22,120 --> 00:09:25,200 Speaker 1: to see growth. I mean, our US restaurants business has 187 00:09:25,240 --> 00:09:28,040 Speaker 1: grown two fifty percent over the last couple of years. 188 00:09:28,240 --> 00:09:31,040 Speaker 1: We've gained fourteen points of absolute share in the category. 189 00:09:31,320 --> 00:09:33,400 Speaker 1: And I think what you've seen, whether it was you know, 190 00:09:33,440 --> 00:09:35,960 Speaker 1: early on in the pandemic, is certain states opened up 191 00:09:36,000 --> 00:09:38,319 Speaker 1: maybe a little bit ahead of others or now where 192 00:09:38,559 --> 00:09:41,559 Speaker 1: everyone thankfully or finally getting back into their normal lives 193 00:09:41,559 --> 00:09:44,920 Speaker 1: of seeing their friends and family in person. It's that people, 194 00:09:45,280 --> 00:09:48,240 Speaker 1: you know, even though they can they eat out and celebrate, 195 00:09:48,640 --> 00:09:51,840 Speaker 1: they're continuing to order delivery. I mean, that's why you're seeing, 196 00:09:52,000 --> 00:09:54,040 Speaker 1: you know, the all time highs that we've seen in 197 00:09:54,040 --> 00:09:57,240 Speaker 1: the business. In addition to that, we've also increased our 198 00:09:57,280 --> 00:10:02,520 Speaker 1: profitability on top of it already profitable business um altogether, 199 00:10:02,600 --> 00:10:04,680 Speaker 1: and so you know, we've seen a lot of strength 200 00:10:04,679 --> 00:10:06,920 Speaker 1: in the business, both in terms of the demand but 201 00:10:07,040 --> 00:10:10,800 Speaker 1: also in terms of our bottom line. Consumers are under 202 00:10:10,800 --> 00:10:14,600 Speaker 1: pressure though inflation is rising, gas prices are rising. These 203 00:10:14,600 --> 00:10:17,400 Speaker 1: are factors beyond your control. How are you thinking about 204 00:10:17,440 --> 00:10:21,880 Speaker 1: the macroeconomic environment ahead? I mean, are you just kind 205 00:10:21,880 --> 00:10:26,880 Speaker 1: of preparing for more uncertainty. Well, we've been studying inflation 206 00:10:26,880 --> 00:10:29,040 Speaker 1: pretty carefully now for the past four or six quarters, 207 00:10:29,080 --> 00:10:32,680 Speaker 1: because I think it happened, actually, or the growth of inflation, 208 00:10:32,720 --> 00:10:35,280 Speaker 1: I should say, you know, occurred maybe a bit more 209 00:10:35,320 --> 00:10:38,800 Speaker 1: sharply than some had anticipated, and it certainly continues to 210 00:10:38,800 --> 00:10:41,199 Speaker 1: be a real concern. Um. So for us, the focus 211 00:10:41,240 --> 00:10:43,040 Speaker 1: is on taking care of all the audiences. You know, 212 00:10:43,120 --> 00:10:45,679 Speaker 1: obviously we can't control the rate of change of inflation, 213 00:10:45,960 --> 00:10:48,440 Speaker 1: but we can control um you know what we do 214 00:10:48,520 --> 00:10:51,160 Speaker 1: for dashers, making sure that we're giving tem percent cash 215 00:10:51,200 --> 00:10:54,280 Speaker 1: back on fuel expenses, making sure that we are paying 216 00:10:54,320 --> 00:10:58,200 Speaker 1: bonuses for longer distances driven, making sure that we're working 217 00:10:58,200 --> 00:11:01,480 Speaker 1: with merchants to find in new ways to grow as 218 00:11:01,480 --> 00:11:05,359 Speaker 1: they're dealing with both labor shortages as well as inflationary pressures. 219 00:11:05,440 --> 00:11:07,559 Speaker 1: And we can do that because we have a robust 220 00:11:07,840 --> 00:11:11,440 Speaker 1: restaurants business for consumer demand is still very resilient, which 221 00:11:11,440 --> 00:11:16,000 Speaker 1: gives us the ability to reinvest those profits into absorbing 222 00:11:16,040 --> 00:11:19,240 Speaker 1: any costs from inflation so that consumers don't have to 223 00:11:19,480 --> 00:11:22,240 Speaker 1: bear any of that burden. We did see a number 224 00:11:22,280 --> 00:11:25,760 Speaker 1: of analysts cut price targets on DoorDash this morning, and 225 00:11:25,800 --> 00:11:28,559 Speaker 1: I wonder how tight the labor market is for you 226 00:11:28,679 --> 00:11:31,120 Speaker 1: in particular. I mean, because it's not just you know, 227 00:11:31,200 --> 00:11:34,280 Speaker 1: restaurants that need labor. It's it's DoorDash and Uber and 228 00:11:34,480 --> 00:11:39,560 Speaker 1: Left and Domino's Pizza that are fighting for for drivers. Well, 229 00:11:39,679 --> 00:11:43,760 Speaker 1: we you know, we haven't actually seen any challenges in 230 00:11:43,800 --> 00:11:46,800 Speaker 1: getting drivers on the road. In fact, even before the 231 00:11:47,240 --> 00:11:49,840 Speaker 1: recent rises and fuel expenses or the sharp uptick I 232 00:11:49,840 --> 00:11:52,640 Speaker 1: should say in fuel expenses, we had plenty of drivers 233 00:11:52,720 --> 00:11:55,400 Speaker 1: on the road. And that's because structurally we have a 234 00:11:55,480 --> 00:11:59,480 Speaker 1: pool of drivers that that is just much larger than 235 00:11:59,480 --> 00:12:02,880 Speaker 1: other serve is like right sharing. Um, you know, of 236 00:12:02,920 --> 00:12:05,360 Speaker 1: the dashers on door Dash, of the three million plus 237 00:12:05,400 --> 00:12:08,559 Speaker 1: that come to our platform and and and does deliveries 238 00:12:08,640 --> 00:12:13,120 Speaker 1: on a quarterly basis, them deliver more fewer than ten 239 00:12:13,120 --> 00:12:16,640 Speaker 1: hours a week. The average dasher only completes about four 240 00:12:16,679 --> 00:12:18,800 Speaker 1: hours of work every week. And and so when you 241 00:12:18,840 --> 00:12:21,360 Speaker 1: think about it from that context, where it's truly part 242 00:12:21,440 --> 00:12:24,200 Speaker 1: time and supplemental income, and you compare to something like 243 00:12:24,280 --> 00:12:27,480 Speaker 1: right sharing, which is more full time, it's just orders 244 00:12:27,480 --> 00:12:29,960 Speaker 1: of magnitude larger in terms of the base of drivers 245 00:12:30,000 --> 00:12:33,520 Speaker 1: we can address and for those reasons, we actually haven't 246 00:12:33,559 --> 00:12:36,880 Speaker 1: seen any of those pressures of getting drivers on the road. 247 00:12:36,960 --> 00:12:40,760 Speaker 1: But that said, we do recognize that inflation is very real, 248 00:12:40,840 --> 00:12:43,079 Speaker 1: and that's why we decided to invest in those dasher 249 00:12:43,160 --> 00:12:47,440 Speaker 1: programs to make sure that their earnings would not be impacted. Interesting, Well, 250 00:12:48,000 --> 00:12:50,160 Speaker 1: on one hand, you're hearing Lifts say they're going to 251 00:12:50,200 --> 00:12:54,120 Speaker 1: have to invest significantly to incentivize drivers. We're saying they 252 00:12:54,160 --> 00:12:56,840 Speaker 1: don't have to. What they are making some changes to 253 00:12:56,920 --> 00:13:00,560 Speaker 1: the app, more transparency to keep those drivers coming back. 254 00:13:00,600 --> 00:13:03,720 Speaker 1: And I wonder are you going to prioritize the courier 255 00:13:03,760 --> 00:13:08,000 Speaker 1: app experience and how if your competitors are trying to 256 00:13:08,000 --> 00:13:12,360 Speaker 1: step up those levers. Well, we don't really compete against 257 00:13:12,559 --> 00:13:16,160 Speaker 1: right sharing for drivers. I mean nine cent of drivers 258 00:13:16,160 --> 00:13:18,280 Speaker 1: that we've surveyed, you know, on the door Dash platform 259 00:13:18,600 --> 00:13:22,640 Speaker 1: have no interest in um, you know, driving other people. Um. 260 00:13:22,679 --> 00:13:24,720 Speaker 1: They just prefer to do deliveries. I mean, if you 261 00:13:24,760 --> 00:13:26,960 Speaker 1: think about it, I mean, the two user basis couldn't 262 00:13:26,960 --> 00:13:29,280 Speaker 1: be you know, further apart in terms of how they 263 00:13:29,320 --> 00:13:32,680 Speaker 1: self select which platforms to work on. Um if what 264 00:13:32,760 --> 00:13:38,920 Speaker 1: about eight? What about Instacart? But you know, Dominoes. Sure sure, 265 00:13:39,040 --> 00:13:42,720 Speaker 1: sure sure. I mean, as the largest platform UM in 266 00:13:42,760 --> 00:13:45,880 Speaker 1: the US that you know, provides more work opportunities on 267 00:13:45,920 --> 00:13:49,880 Speaker 1: a daily basis across more geographies. Um, we're just the 268 00:13:49,880 --> 00:13:53,200 Speaker 1: first consideration for most of these workers. I mean we're 269 00:13:53,200 --> 00:13:55,240 Speaker 1: always going to you know, your question about investing the 270 00:13:55,840 --> 00:13:59,199 Speaker 1: Dasher app. Of course, we're always investing, you know, behind 271 00:13:59,240 --> 00:14:02,320 Speaker 1: that experience to make sure that it's lower friction UM 272 00:14:02,440 --> 00:14:04,920 Speaker 1: to earn whenever you want, wherever you want, and to 273 00:14:05,040 --> 00:14:07,840 Speaker 1: do it, you know, with consistent expectations of what you 274 00:14:07,880 --> 00:14:09,800 Speaker 1: will learn when you are on the road because the 275 00:14:09,840 --> 00:14:13,440 Speaker 1: work is so part time. Investors are also suggesting we're 276 00:14:13,440 --> 00:14:15,840 Speaker 1: going to see a lot more consolidation in this space. 277 00:14:16,080 --> 00:14:19,520 Speaker 1: And given that door Dash is the big player in 278 00:14:19,560 --> 00:14:23,480 Speaker 1: this market, that makes you potentially a prime acquirer. We 279 00:14:23,520 --> 00:14:26,040 Speaker 1: saw you buy volt for example. Are we going to 280 00:14:26,120 --> 00:14:28,520 Speaker 1: see you do more deals? Are you looking for more deals? 281 00:14:28,640 --> 00:14:32,120 Speaker 1: And if so, in what areas well? The bar for 282 00:14:32,480 --> 00:14:34,680 Speaker 1: M and A is is very high for us at Doorash, 283 00:14:34,720 --> 00:14:38,200 Speaker 1: and that's because we really respect how difficult it is 284 00:14:38,240 --> 00:14:40,880 Speaker 1: to actually do it really well. UM, So for us, 285 00:14:40,920 --> 00:14:43,240 Speaker 1: two things have to be true. Number one, it certainly 286 00:14:43,240 --> 00:14:45,760 Speaker 1: has to be a creative to the business. Number two, 287 00:14:45,840 --> 00:14:48,960 Speaker 1: it also has to be creative to the management bandwidth 288 00:14:48,960 --> 00:14:50,560 Speaker 1: that we have at DoorDash. I mean, we're trying to 289 00:14:50,600 --> 00:14:53,280 Speaker 1: build the largest local commerce business globally, so we have 290 00:14:53,320 --> 00:14:55,120 Speaker 1: a lot of work on our plate, so we have 291 00:14:55,200 --> 00:14:57,600 Speaker 1: to make sure that there can't be any distractions. That's 292 00:14:57,800 --> 00:15:00,400 Speaker 1: entirely focused. That's why you know volt with such a 293 00:15:00,400 --> 00:15:03,600 Speaker 1: perfect example. You know, Vulture only adds to our international 294 00:15:03,680 --> 00:15:08,000 Speaker 1: global footprint, doubling almost our addressable market. But the way 295 00:15:08,000 --> 00:15:11,160 Speaker 1: in which they build their business, the culture around building 296 00:15:11,200 --> 00:15:13,520 Speaker 1: the best product, making sure that they do it in 297 00:15:13,560 --> 00:15:16,480 Speaker 1: a capital efficient way that aligns very well with how 298 00:15:16,520 --> 00:15:18,520 Speaker 1: we do things. That dortsh and that was a perfect 299 00:15:18,560 --> 00:15:22,120 Speaker 1: example of when M and A made sense. All right, well, 300 00:15:22,240 --> 00:15:25,560 Speaker 1: we'll be watching your next moves there, do you know, 301 00:15:25,640 --> 00:15:28,160 Speaker 1: and co founder Tony Schu always going to have you 302 00:15:28,200 --> 00:15:39,520 Speaker 1: thank you for taking the time. Monday is opening day 303 00:15:39,560 --> 00:15:42,640 Speaker 1: for Meta's first ever physical store. It is a brick 304 00:15:42,680 --> 00:15:46,320 Speaker 1: and mortar bet on the metaverse. Facebook's parent Hoping hardware 305 00:15:46,760 --> 00:15:50,240 Speaker 1: plays a central role in its virtual and augmented reality strategy. 306 00:15:50,240 --> 00:15:52,960 Speaker 1: Bloomberg's at Ludlow got a behind the scenes look at 307 00:15:53,000 --> 00:15:57,200 Speaker 1: the store in Burlingame, California. If you needed any more 308 00:15:57,240 --> 00:15:59,960 Speaker 1: proof that Meta is going cool in on Web three, 309 00:16:00,240 --> 00:16:02,720 Speaker 1: then look no further. Come take a look inside the 310 00:16:02,720 --> 00:16:06,760 Speaker 1: company's first retail store where VR and are hardware, or 311 00:16:06,840 --> 00:16:11,040 Speaker 1: at the forefront as the company charges into the Metaverse. Yes, 312 00:16:11,200 --> 00:16:18,600 Speaker 1: this is a Metaverse store in the real world. This 313 00:16:18,720 --> 00:16:21,080 Speaker 1: store is the size of a small house, less than 314 00:16:21,160 --> 00:16:24,760 Speaker 1: six square feet opening it is a pretty gutsy move 315 00:16:24,800 --> 00:16:27,840 Speaker 1: for Meta, considering other tech giants have tried and failed. 316 00:16:29,080 --> 00:16:32,720 Speaker 1: Microsoft shut down its store locations permanently to focus on 317 00:16:32,720 --> 00:16:36,400 Speaker 1: online sales, and earlier this year, Amazon announced it was 318 00:16:36,440 --> 00:16:40,800 Speaker 1: closing its physical bookstores, Amazon four Star locations, and more 319 00:16:40,840 --> 00:16:43,640 Speaker 1: pop up kiosks so that the company could better focus 320 00:16:43,680 --> 00:16:46,640 Speaker 1: on its grocery business. So why does Meta think it 321 00:16:46,640 --> 00:16:49,960 Speaker 1: will be more successful than its peers? Well, CEO Mark 322 00:16:50,040 --> 00:16:53,880 Speaker 1: Zuckerberg said quote the best way to understand virtual reality 323 00:16:54,240 --> 00:16:57,400 Speaker 1: is to experience it, and he believes that the metaverse 324 00:16:57,760 --> 00:17:01,200 Speaker 1: is the next major computing revolution after the invention of 325 00:17:01,240 --> 00:17:05,359 Speaker 1: cell phones. Here we have metas virtual reality goggles, the 326 00:17:05,440 --> 00:17:18,040 Speaker 1: quest to which sell for about two are the RayBan stories. 327 00:17:20,000 --> 00:17:27,439 Speaker 1: Hold tap for a photo, single tap, start filming, double 328 00:17:27,520 --> 00:17:33,160 Speaker 1: tap you get some music going volume up, volume down. 329 00:17:34,280 --> 00:17:36,600 Speaker 1: Meta wants this store to be a bridge that connects 330 00:17:36,680 --> 00:17:39,400 Speaker 1: users to the metaverse, but that means that it has 331 00:17:39,440 --> 00:17:42,639 Speaker 1: to rely on users actually being interested in the metaverse. 332 00:17:45,920 --> 00:17:48,760 Speaker 1: That might not be so hard. One out of the 333 00:17:48,800 --> 00:17:51,720 Speaker 1: eleven point to million A R and VR units sold 334 00:17:51,760 --> 00:17:56,919 Speaker 1: worldwide were metas quest two. So Meta does have a 335 00:17:56,960 --> 00:17:59,920 Speaker 1: large market share, but can it keep up the moment 336 00:18:00,080 --> 00:18:02,439 Speaker 1: to and will stores like this one help the company 337 00:18:02,480 --> 00:18:10,639 Speaker 1: expand its metaverse footprint. Bloomberg's ad Ludlow there at The 338 00:18:10,720 --> 00:18:14,680 Speaker 1: store opens next week, and here are some other stories 339 00:18:14,760 --> 00:18:18,200 Speaker 1: we are following. Peloton still trying to turn its business around. 340 00:18:18,359 --> 00:18:21,400 Speaker 1: According to Bloomberg sources, the fitness company trying to sell 341 00:18:21,400 --> 00:18:24,160 Speaker 1: a stake of about hoping to find a big name 342 00:18:24,200 --> 00:18:27,160 Speaker 1: corporation or a private equity firm that could help validate 343 00:18:27,200 --> 00:18:32,000 Speaker 1: the business with its investment. Peloton has been contacting potential buyers, 344 00:18:32,040 --> 00:18:36,400 Speaker 1: but the process is still at an early stage. Palant 345 00:18:36,440 --> 00:18:39,840 Speaker 1: Here meantime, just struck a ten million pound contract that's 346 00:18:39,840 --> 00:18:42,520 Speaker 1: twelve and a half million dollars with the UK's Ministry 347 00:18:42,560 --> 00:18:45,480 Speaker 1: of Defense. The data analytics company will offer support with 348 00:18:45,520 --> 00:18:49,240 Speaker 1: its Foundry platform which lets users cut costs by automating 349 00:18:49,280 --> 00:18:52,399 Speaker 1: work and reducing data processing time. This is the firm's 350 00:18:52,480 --> 00:19:04,800 Speaker 1: largest contract to date with the high profile department. Welcome 351 00:19:04,800 --> 00:19:07,000 Speaker 1: back to Bone More Technology and Emily Check in San Francisco. 352 00:19:07,119 --> 00:19:09,679 Speaker 1: Let's stay on Zillo and welcome back Spencer Raskov, one 353 00:19:09,680 --> 00:19:11,560 Speaker 1: of Zilla's co founders who ran the company for more 354 00:19:11,600 --> 00:19:14,000 Speaker 1: than a decade. He is also the co founder of 355 00:19:14,040 --> 00:19:17,399 Speaker 1: S and Sonny, a venture firm based in l A. 356 00:19:17,680 --> 00:19:20,679 Speaker 1: So I want your view, Spencer on the big market picture. 357 00:19:20,760 --> 00:19:23,800 Speaker 1: But let's start with the housing market and how all 358 00:19:23,840 --> 00:19:27,959 Speaker 1: of these trends, rising inflation, rising rates for the foreseeable future, 359 00:19:28,200 --> 00:19:32,000 Speaker 1: how that's going to bear down on the housing market. Well, 360 00:19:32,040 --> 00:19:36,679 Speaker 1: what's driving home price appreciation is limited supply. So for 361 00:19:36,760 --> 00:19:39,679 Speaker 1: most decades, starting in the sixties, we had twenty million 362 00:19:39,720 --> 00:19:42,840 Speaker 1: new homes be built. In the decade after the financial 363 00:19:42,840 --> 00:19:45,080 Speaker 1: crisis of two thousand eight, we only had ten million 364 00:19:45,119 --> 00:19:47,840 Speaker 1: homes that were built, and so there's just a lot 365 00:19:47,920 --> 00:19:51,159 Speaker 1: of missing supply and that's what's driven this huge uptake 366 00:19:51,160 --> 00:19:54,040 Speaker 1: and home price appreciation over the last five or so years. 367 00:19:54,080 --> 00:19:56,840 Speaker 1: So as mortgage rates have gone up and and they're 368 00:19:56,840 --> 00:19:59,639 Speaker 1: gonna they still have further to go. Clearly, homebuyers are 369 00:19:59,640 --> 00:20:01,959 Speaker 1: gonna have to trade down to slightly lower price points. 370 00:20:02,359 --> 00:20:04,399 Speaker 1: But most of the data that I've seen around housing 371 00:20:04,480 --> 00:20:07,879 Speaker 1: still predicts strong housing appreciation, not as high as it was, 372 00:20:07,920 --> 00:20:11,320 Speaker 1: not uh ten, but probably five to ten percent home 373 00:20:11,359 --> 00:20:14,800 Speaker 1: price appreciation. Now, the stocks that underlie this, like Zillo, 374 00:20:14,880 --> 00:20:17,640 Speaker 1: that's a bit of a whole other question. And there's 375 00:20:17,640 --> 00:20:20,080 Speaker 1: obviously been a risk off trade in the public markets 376 00:20:20,119 --> 00:20:23,240 Speaker 1: away from growth and more towards profitability, and that's hurting 377 00:20:23,240 --> 00:20:26,120 Speaker 1: companies like Zello and many other prop tech companies as well. 378 00:20:26,760 --> 00:20:28,440 Speaker 1: So I just want to lean around this because there's 379 00:20:28,440 --> 00:20:30,080 Speaker 1: a lot of people trying to get into the market 380 00:20:30,119 --> 00:20:33,320 Speaker 1: who think they just can't right now if they didn't 381 00:20:33,359 --> 00:20:36,479 Speaker 1: buy something first ten years ago. You're saying, prices are 382 00:20:36,480 --> 00:20:39,719 Speaker 1: still gonna go up, and there's still a lack of supply, 383 00:20:39,880 --> 00:20:43,680 Speaker 1: so there's still gonna be competition. Even though we're we're 384 00:20:43,680 --> 00:20:46,680 Speaker 1: seeing forty year inflation and rates going up and people's 385 00:20:46,720 --> 00:20:51,240 Speaker 1: portfolios are getting pummeled, we're still only at about one 386 00:20:51,280 --> 00:20:54,280 Speaker 1: to two months supply of housing, which is amazing. I mean, 387 00:20:54,280 --> 00:20:57,040 Speaker 1: a normal's market would have six months supply of homes 388 00:20:57,040 --> 00:21:00,000 Speaker 1: for sale, So homes there's just are not enough homes 389 00:21:00,000 --> 00:21:02,000 Speaker 1: for sale. We need home builders to build more homes 390 00:21:02,040 --> 00:21:04,119 Speaker 1: if you want this supply demand and balance to to 391 00:21:04,200 --> 00:21:08,360 Speaker 1: come back, uh, you know, into balance. So if if 392 00:21:09,240 --> 00:21:11,520 Speaker 1: home prices are still going to keep going up in 393 00:21:11,760 --> 00:21:13,919 Speaker 1: most major markets, not as quickly as they were, but 394 00:21:14,000 --> 00:21:17,159 Speaker 1: home prices are in fact still appreciating. So let's talk 395 00:21:17,200 --> 00:21:19,200 Speaker 1: about the sell off. How much worse does it get? 396 00:21:19,280 --> 00:21:22,360 Speaker 1: Has a bubble popped? Is this you know what we're 397 00:21:22,359 --> 00:21:26,160 Speaker 1: going to see for you know, the next several years. Well, 398 00:21:26,160 --> 00:21:28,080 Speaker 1: it's a bit of a blood blath out there. Obviously, 399 00:21:28,320 --> 00:21:31,359 Speaker 1: public market investors and viewers can see in the public 400 00:21:31,440 --> 00:21:34,639 Speaker 1: markets just how bad it is in among public companies. 401 00:21:34,680 --> 00:21:36,400 Speaker 1: I can give you a little insight into what's happening 402 00:21:36,480 --> 00:21:39,680 Speaker 1: in the private markets, and unfortunately it's pretty ugly there 403 00:21:39,720 --> 00:21:42,879 Speaker 1: as well. So the closer you are to being public, 404 00:21:43,119 --> 00:21:46,480 Speaker 1: the harder ago of it one will have. So companies 405 00:21:46,480 --> 00:21:48,960 Speaker 1: that were already in the I P O window hoping 406 00:21:49,040 --> 00:21:51,920 Speaker 1: to go public this year, that window is shut as 407 00:21:52,000 --> 00:21:54,320 Speaker 1: ones are being pulled. Those companies are not getting public 408 00:21:54,560 --> 00:21:58,800 Speaker 1: anytime soon. Late stage growth companies are pulling back. Early 409 00:21:58,880 --> 00:22:01,800 Speaker 1: stage companies are getting rounds done. I mean, there's a 410 00:22:01,880 --> 00:22:06,360 Speaker 1: real venture chill a foot, unfortunately, and I'm seeing companies 411 00:22:06,400 --> 00:22:09,760 Speaker 1: across all of the private sec all the venture funded 412 00:22:09,800 --> 00:22:12,200 Speaker 1: companies that I'm involved in, are pulling back in different ways. 413 00:22:12,359 --> 00:22:14,520 Speaker 1: So many of them are tightening headcount, many of them 414 00:22:14,680 --> 00:22:17,359 Speaker 1: are cutting marketing, most of them are hunkering down. Some 415 00:22:17,400 --> 00:22:19,960 Speaker 1: of them are doing inside rounds because they can't raise 416 00:22:19,960 --> 00:22:23,760 Speaker 1: outside rounds from new investors. So it's amazing how quickly 417 00:22:24,119 --> 00:22:27,240 Speaker 1: the weather has turned, and just really a couple of months, 418 00:22:27,280 --> 00:22:31,520 Speaker 1: we've gone from an incredibly ebulent market to one that's 419 00:22:31,520 --> 00:22:34,160 Speaker 1: extremely challenged. So how long are they going to hunger 420 00:22:34,160 --> 00:22:36,080 Speaker 1: down for? How long are they going to have to 421 00:22:36,119 --> 00:22:39,679 Speaker 1: be hiding well? I had one investment banker telling me 422 00:22:39,680 --> 00:22:41,560 Speaker 1: the other day that if you look back over the 423 00:22:41,640 --> 00:22:43,879 Speaker 1: last twenty years, the I p O window has only 424 00:22:43,920 --> 00:22:46,719 Speaker 1: ever been closed for about six months, and we're already 425 00:22:46,760 --> 00:22:49,879 Speaker 1: in month four of closure. So that bodes well for 426 00:22:50,080 --> 00:22:52,880 Speaker 1: reopening of the I p O market sometime later this year. 427 00:22:53,359 --> 00:22:57,119 Speaker 1: But private companies, venture funded companies, they're just assuming that 428 00:22:57,200 --> 00:22:59,240 Speaker 1: this year is kind of a write off. I mean, 429 00:22:59,280 --> 00:23:01,560 Speaker 1: every company I'm involved in, I've I've said you should 430 00:23:01,640 --> 00:23:03,760 Speaker 1: assume you should operate your business assuming you'll not be 431 00:23:03,800 --> 00:23:07,240 Speaker 1: able to raise a venture around this year. That's how 432 00:23:07,280 --> 00:23:09,680 Speaker 1: that's how conservative, at least at least my companies are 433 00:23:09,720 --> 00:23:12,360 Speaker 1: being so I think this could last for for quite 434 00:23:12,359 --> 00:23:14,880 Speaker 1: a while. It's this risk off trade. As interest rates 435 00:23:14,880 --> 00:23:18,800 Speaker 1: ticked up, public market and private market investors are prioritizing 436 00:23:18,800 --> 00:23:22,280 Speaker 1: profitability over growth, and that's increased the cost of capital. 437 00:23:22,320 --> 00:23:25,359 Speaker 1: It's made it difficult for high growth companies to raise money, 438 00:23:25,760 --> 00:23:27,960 Speaker 1: and they're all pulling back as a result. Sorry to 439 00:23:27,960 --> 00:23:30,760 Speaker 1: be the bearer of bad news on a Friday afternoon. Well, 440 00:23:31,200 --> 00:23:33,520 Speaker 1: given it to us straight, we appreciate it. There is 441 00:23:33,560 --> 00:23:35,720 Speaker 1: one person out there who seems to have no trouble 442 00:23:35,800 --> 00:23:38,879 Speaker 1: raising money, and that is Elon Musk, who has lined 443 00:23:39,000 --> 00:23:42,200 Speaker 1: up a long list of investors to help him take 444 00:23:42,240 --> 00:23:45,760 Speaker 1: over Twitter. He was tweeting earlier some of his ideas, 445 00:23:46,520 --> 00:23:48,800 Speaker 1: more ideas for how he plans to change the company 446 00:23:48,840 --> 00:23:51,439 Speaker 1: those there's still a lot of unknowns. You're a big 447 00:23:51,480 --> 00:23:55,080 Speaker 1: prolific tweeter, what do you think about Elon Musk owning 448 00:23:55,080 --> 00:23:58,159 Speaker 1: this company? Well, I was surprised, to be honest, and 449 00:23:58,160 --> 00:24:00,480 Speaker 1: I tweeted as such. I was surprised at this deal 450 00:24:00,520 --> 00:24:02,760 Speaker 1: got done, although it actually hasn't gotten done yet, so 451 00:24:02,760 --> 00:24:05,959 Speaker 1: so we'll see. But um, as a Twitter user, I'm 452 00:24:06,000 --> 00:24:09,000 Speaker 1: sort of excited to see what Elon's products insights are 453 00:24:09,000 --> 00:24:10,720 Speaker 1: going to bring to the product, the product that I've 454 00:24:10,800 --> 00:24:12,760 Speaker 1: used for so long and so many of us love, 455 00:24:12,880 --> 00:24:15,959 Speaker 1: so it should be interesting to watch. Um. I am 456 00:24:16,000 --> 00:24:19,000 Speaker 1: a little surprised that he's gotten so much financing lined up, 457 00:24:19,040 --> 00:24:21,879 Speaker 1: given that he has publicly stated that he's not going 458 00:24:21,960 --> 00:24:24,360 Speaker 1: to try to run this like a normal business. He's 459 00:24:24,400 --> 00:24:27,000 Speaker 1: not trying to maximize profit. He doesn't he's not even 460 00:24:27,040 --> 00:24:29,080 Speaker 1: really interested in a financial return, and yet he is 461 00:24:29,080 --> 00:24:32,200 Speaker 1: still convinced others to invest alongside him. This just goes 462 00:24:32,359 --> 00:24:36,560 Speaker 1: to show how much amazing magic and pixie Dust Elon 463 00:24:36,680 --> 00:24:39,760 Speaker 1: Musk has uh associated with him, that he's able to 464 00:24:39,800 --> 00:24:42,040 Speaker 1: get people to co invest, even when he says it's 465 00:24:42,040 --> 00:24:46,359 Speaker 1: an unconventional investment. Um. You know, I I do worry 466 00:24:46,400 --> 00:24:49,399 Speaker 1: as a Twitter user that the company has made great 467 00:24:49,440 --> 00:24:53,520 Speaker 1: strides to reduce spam, reduced bullying, and a lot of 468 00:24:53,560 --> 00:24:56,080 Speaker 1: the discussion about how we're going to restore free speech 469 00:24:56,119 --> 00:24:59,040 Speaker 1: to with Twitter On Twitter, it sounds really good, but 470 00:24:59,160 --> 00:25:01,600 Speaker 1: with free speech comes a lot of spam, a lot 471 00:25:01,640 --> 00:25:03,680 Speaker 1: of harassment, and a lot of bullying, and those are 472 00:25:03,680 --> 00:25:06,080 Speaker 1: things that Twitter management has worked very hard to reduce 473 00:25:06,119 --> 00:25:08,160 Speaker 1: over the last couple of years. So I worry about 474 00:25:08,160 --> 00:25:11,520 Speaker 1: a possible step back in that in that regard, but 475 00:25:11,720 --> 00:25:13,119 Speaker 1: benefit of the doubt has to go to one of 476 00:25:13,160 --> 00:25:15,919 Speaker 1: the greatest entrepreners of all time, who has created so 477 00:25:15,920 --> 00:25:18,800 Speaker 1: many extraordinary companies, and obviously he uses the product as 478 00:25:18,840 --> 00:25:21,600 Speaker 1: much as anybody, So it'll be amazing to watch. There'll 479 00:25:21,600 --> 00:25:23,399 Speaker 1: be plenty for for you to talk about and for 480 00:25:23,400 --> 00:25:25,639 Speaker 1: me to tweet about as as Elon takes this company 481 00:25:25,680 --> 00:25:27,440 Speaker 1: from it. What do you think about the role of 482 00:25:27,520 --> 00:25:30,280 Speaker 1: Jack Dorsey here and and the the future of a 483 00:25:30,359 --> 00:25:35,480 Speaker 1: decentralized Twitter. Is that a good idea? I'm not really 484 00:25:35,560 --> 00:25:38,840 Speaker 1: sure what that means, to be perfectly candid, Um, I mean, 485 00:25:39,080 --> 00:25:42,560 Speaker 1: I I there's talk about open sourcing the algorithm and 486 00:25:42,680 --> 00:25:46,800 Speaker 1: providing more transparency, but I don't really know what that 487 00:25:46,880 --> 00:25:48,760 Speaker 1: means to the user, and I don't know how it 488 00:25:48,760 --> 00:25:52,720 Speaker 1: affects the business model. Um. You know, this company has 489 00:25:52,840 --> 00:25:56,520 Speaker 1: always had it's always been a little dysfunctional right at 490 00:25:56,520 --> 00:25:59,080 Speaker 1: the board level of the management level. It's always had challenges, 491 00:25:59,200 --> 00:26:01,919 Speaker 1: It's always punched of its weight in terms of media 492 00:26:02,240 --> 00:26:06,600 Speaker 1: attention and consumer interest. And so you know, maybe out 493 00:26:06,640 --> 00:26:10,320 Speaker 1: of the public eye, maybe private for a couple of years, 494 00:26:10,400 --> 00:26:13,800 Speaker 1: it'll be able to stabilize its leadership team, stabilize its board, 495 00:26:14,359 --> 00:26:16,520 Speaker 1: focus on the product, and then hopefully come back out 496 00:26:16,600 --> 00:26:19,919 Speaker 1: the other side and improved company and hopefully an improved product. 497 00:26:21,200 --> 00:26:24,440 Speaker 1: All right, Spencer Rascoff, always appreciate your thoughts here on 498 00:26:24,480 --> 00:26:27,920 Speaker 1: the show, co founder of Zillo and seventy and Sonny 499 00:26:27,920 --> 00:26:30,520 Speaker 1: is such a great need for a venture firm given 500 00:26:30,560 --> 00:26:44,439 Speaker 1: today's weather. Thank you. It is time now for our 501 00:26:44,480 --> 00:26:47,479 Speaker 1: crypto report and bitcoin and other cryptocurrencies taking a beating 502 00:26:47,560 --> 00:26:50,960 Speaker 1: along with the rest of tech in this cell often works. 503 00:26:51,000 --> 00:26:54,720 Speaker 1: Katie Greifeld here with the big picture, Katie, what a week? 504 00:26:55,200 --> 00:26:57,680 Speaker 1: What a week? It was an especially bad week four 505 00:26:57,800 --> 00:27:01,480 Speaker 1: risk assets, an especially bad week for bitcoin in particular. 506 00:27:01,560 --> 00:27:05,520 Speaker 1: Actually didn't start out so bad. We actually rallied on Tuesday, 507 00:27:05,560 --> 00:27:09,440 Speaker 1: but you add in Thursday's nearly nine percent drop in bitcoin, 508 00:27:09,760 --> 00:27:12,840 Speaker 1: such a end the week with losses of nearly six percent. 509 00:27:13,160 --> 00:27:16,280 Speaker 1: It's training in about thirty six thousand dollars right now, 510 00:27:16,320 --> 00:27:19,240 Speaker 1: about a hair below at one point it hit forty 511 00:27:19,720 --> 00:27:23,760 Speaker 1: dollars this week. That is a distant memory at this point, Emily. 512 00:27:23,880 --> 00:27:26,320 Speaker 1: But a big reason why we saw bitcoin performs so 513 00:27:26,400 --> 00:27:28,640 Speaker 1: poorly is because it really trades like a tech sock 514 00:27:28,880 --> 00:27:32,719 Speaker 1: more than anything else. Bitcoin's correlation with the NASSEQ one 515 00:27:33,280 --> 00:27:35,760 Speaker 1: it's currently at its strongest level in data going back 516 00:27:35,760 --> 00:27:39,240 Speaker 1: to at least, which really tells you something. As you 517 00:27:39,280 --> 00:27:42,119 Speaker 1: can see in that chart there, that relationship has really 518 00:27:42,160 --> 00:27:44,520 Speaker 1: strengthened in the past couple of months, in the past 519 00:27:44,560 --> 00:27:47,000 Speaker 1: couple of weeks even, and now you have tech socks 520 00:27:47,080 --> 00:27:50,240 Speaker 1: really under pressure from rising rates. Bitcoin is two. And 521 00:27:50,280 --> 00:27:52,600 Speaker 1: what's interesting in this cell off, this tech cell off, 522 00:27:52,640 --> 00:27:55,159 Speaker 1: this crypto sell off. You have Ether. It's been a 523 00:27:55,160 --> 00:27:57,880 Speaker 1: relative haven, still down for the week about four point 524 00:27:57,920 --> 00:28:01,320 Speaker 1: five percent, but obviously less than Bitcoin. And that's interesting 525 00:28:01,359 --> 00:28:04,840 Speaker 1: because Bitcoin is built is digital gold. It's clearly not 526 00:28:04,960 --> 00:28:07,280 Speaker 1: acting as a haven lately, though, and as you can 527 00:28:07,320 --> 00:28:11,160 Speaker 1: see or Ether, rather it's outperformed not just this week 528 00:28:11,200 --> 00:28:13,800 Speaker 1: but over the past few years. At this point, Emily, 529 00:28:14,400 --> 00:28:18,080 Speaker 1: you're not safe anywhere, are you. I want to ask 530 00:28:18,119 --> 00:28:21,720 Speaker 1: you about another story, and that is an Nvidia agreeing 531 00:28:21,760 --> 00:28:24,160 Speaker 1: to pay a five and a half million dollar fine 532 00:28:24,280 --> 00:28:27,919 Speaker 1: is part of a settlement with the SEC over crypto mining. 533 00:28:27,960 --> 00:28:30,560 Speaker 1: What do we know about this? This is fascinating. So 534 00:28:30,640 --> 00:28:33,480 Speaker 1: it basically boils down to the video allegations that in 535 00:28:33,480 --> 00:28:36,600 Speaker 1: the video failed to adequately disclose just how much of 536 00:28:36,640 --> 00:28:39,760 Speaker 1: its revenue comes from demand from crypto minders. So the 537 00:28:39,840 --> 00:28:44,120 Speaker 1: SEC said that for two consecutive quarters in the video 538 00:28:44,280 --> 00:28:47,280 Speaker 1: didn't make clear that demand from crypto minors in particular 539 00:28:47,480 --> 00:28:50,239 Speaker 1: made up a significant part of its sales increase for 540 00:28:50,320 --> 00:28:54,080 Speaker 1: graphics processing units. In the video of course settled that case. 541 00:28:54,120 --> 00:28:56,920 Speaker 1: They didn't admit wrongdoing, but they did pay that five 542 00:28:56,960 --> 00:28:59,880 Speaker 1: point five million dollar fine. And this is fascinating, and 543 00:29:00,200 --> 00:29:02,800 Speaker 1: because if you think about Ethereum, it's moving away from 544 00:29:02,840 --> 00:29:05,480 Speaker 1: proof of work mining to proof of steak and what 545 00:29:05,640 --> 00:29:08,239 Speaker 1: that really means is that it's no longer going to 546 00:29:08,280 --> 00:29:12,920 Speaker 1: require those graphics cards. It's much less intensive. And already 547 00:29:12,960 --> 00:29:16,480 Speaker 1: in December, the video had warned that it's seen revenue 548 00:29:16,520 --> 00:29:20,720 Speaker 1: from crypto mining dropped by over compared to the previous 549 00:29:20,760 --> 00:29:24,320 Speaker 1: few quarters. And Ethereum hasn't even moved to this proof 550 00:29:24,440 --> 00:29:28,480 Speaker 1: of state mining process yet that's still yet to come 551 00:29:28,560 --> 00:29:31,640 Speaker 1: further this year but already the video under pressure really 552 00:29:31,640 --> 00:29:34,320 Speaker 1: reminded me of the conversation we had yesterday about how 553 00:29:34,400 --> 00:29:37,800 Speaker 1: these movements in the crypto market they affect the equities 554 00:29:38,040 --> 00:29:40,840 Speaker 1: of stocks and the companies that are involved just broadly 555 00:29:40,880 --> 00:29:43,400 Speaker 1: in the crypto sphere. So, Katie, what aren't going to 556 00:29:43,440 --> 00:29:45,680 Speaker 1: be watching when the markets open next week and of 557 00:29:45,720 --> 00:29:49,200 Speaker 1: course crypto trades through the weekend. It's a great question. Honestly, 558 00:29:49,240 --> 00:29:53,960 Speaker 1: I'm most interesting interested in this dynamic between Ethereum and Bitcoin. Again, Bitcoin, 559 00:29:54,040 --> 00:29:56,920 Speaker 1: it's the largest cryptocurrency out there, it's supposed to be 560 00:29:56,960 --> 00:30:00,200 Speaker 1: the most liquid, the most stable. This haven the area 561 00:30:00,360 --> 00:30:02,360 Speaker 1: clearly giving it a run for its money. We'll see 562 00:30:02,360 --> 00:30:04,880 Speaker 1: if this out performance can continue, both on the upside 563 00:30:04,920 --> 00:30:09,440 Speaker 1: and the downside. All right, Bloomberg's Katie Greifeld, thank you 564 00:30:09,600 --> 00:30:20,040 Speaker 1: for wrapping all that up for us. We saw tech 565 00:30:20,040 --> 00:30:23,440 Speaker 1: stocks fall for the fifth straight week, marking the sector's 566 00:30:23,560 --> 00:30:26,600 Speaker 1: worst weekly streak since two thousand and twelve. I'm joined 567 00:30:26,600 --> 00:30:29,960 Speaker 1: out by Tuilio CEO Jeff Lawson. The company just reported 568 00:30:30,120 --> 00:30:33,959 Speaker 1: it's earnings results and better than expected, but still they 569 00:30:33,960 --> 00:30:36,440 Speaker 1: couldn't escape the sell off either. Jeff, thank you so 570 00:30:36,480 --> 00:30:38,360 Speaker 1: much for joining us. So let's put Tuilio aside for 571 00:30:38,360 --> 00:30:40,000 Speaker 1: the moment. I really want to get your view on 572 00:30:40,040 --> 00:30:45,120 Speaker 1: the broader picture of what's happening in the markets here. Inflation, macroeconomics, 573 00:30:45,120 --> 00:30:50,800 Speaker 1: certain uncertainty, rising rates. How are you reading all of this? Well, 574 00:30:50,840 --> 00:30:52,360 Speaker 1: you know, the way I look at it is, you know, 575 00:30:52,360 --> 00:30:54,760 Speaker 1: we're seeing the end of a long era of free 576 00:30:54,840 --> 00:30:57,400 Speaker 1: money that our economy and the global economy has been in, 577 00:30:57,880 --> 00:30:59,760 Speaker 1: you know, going back all the way to September eleven 578 00:30:59,880 --> 00:31:02,640 Speaker 1: and then refreshed again during the Financial crisis and then 579 00:31:02,640 --> 00:31:06,120 Speaker 1: with COVID, and so you know, investorors are obviously reacting 580 00:31:06,120 --> 00:31:08,720 Speaker 1: to and the whole world reacting to the government's reacting to. 581 00:31:08,960 --> 00:31:11,360 Speaker 1: You know what the implications of that are to now 582 00:31:11,480 --> 00:31:13,560 Speaker 1: for the really almost the first time in twenty years, 583 00:31:13,600 --> 00:31:16,840 Speaker 1: like managing inflation versus interest rates, and so, yeah, a 584 00:31:16,920 --> 00:31:19,080 Speaker 1: lot of rescent going on. You know, we're not happy 585 00:31:19,080 --> 00:31:21,479 Speaker 1: about obviously what's been happening with tech stocks or our 586 00:31:21,520 --> 00:31:24,200 Speaker 1: stock but at the same time, you know, new world 587 00:31:24,200 --> 00:31:26,200 Speaker 1: that that we're entering. And I just think about the 588 00:31:26,200 --> 00:31:29,640 Speaker 1: fundamental value proposition that Toyo provides, you know, to our customers. 589 00:31:30,240 --> 00:31:32,280 Speaker 1: And we're now in three and a half billion dollar 590 00:31:32,320 --> 00:31:35,680 Speaker 1: revenue run rate. Business growing incredibly fast, and so yeah, 591 00:31:35,720 --> 00:31:36,920 Speaker 1: we just keep our eye on the ball, which is 592 00:31:36,920 --> 00:31:38,640 Speaker 1: serving our customers. And I think that's what a lot 593 00:31:38,640 --> 00:31:40,800 Speaker 1: of companies are probably just doing there in this time. 594 00:31:41,680 --> 00:31:44,160 Speaker 1: You say you're planning to deliver thirty percent more than 595 00:31:45,080 --> 00:31:48,080 Speaker 1: organic growth over the next couple of years, does not 596 00:31:48,240 --> 00:31:52,600 Speaker 1: still happen if we go into a recession. Well, we 597 00:31:52,680 --> 00:31:56,719 Speaker 1: just reconfirmed our guidance that we are going to deliver 598 00:31:56,960 --> 00:32:01,600 Speaker 1: thirty percent annual organic growth through two and we started 599 00:32:01,640 --> 00:32:05,880 Speaker 1: that guidance um UH in twenty uh and so we 600 00:32:05,920 --> 00:32:08,920 Speaker 1: have yet again reconfirmed it as well as last quarter 601 00:32:08,960 --> 00:32:11,680 Speaker 1: we added that we intend to be profitable for the 602 00:32:11,760 --> 00:32:15,520 Speaker 1: fiscal year for twenty three and uh and so we 603 00:32:15,600 --> 00:32:17,720 Speaker 1: just reconfirmed both of those Now. Now, luck if the 604 00:32:18,040 --> 00:32:21,200 Speaker 1: whole world hits some you know, the worst case scenario 605 00:32:21,280 --> 00:32:25,040 Speaker 1: of a macro environment, you know, who knows what could 606 00:32:25,040 --> 00:32:27,160 Speaker 1: happen in that world. But from every indicator that we 607 00:32:27,200 --> 00:32:29,400 Speaker 1: see today, that that gave us a reason to reconfirm 608 00:32:29,440 --> 00:32:31,640 Speaker 1: both of those points of titants on our call this week. 609 00:32:32,240 --> 00:32:34,760 Speaker 1: So talk to us more about how things like messaging 610 00:32:34,840 --> 00:32:38,360 Speaker 1: and other new features are evolving. So you keep those customers, 611 00:32:38,560 --> 00:32:42,720 Speaker 1: new customers signing up, and sales coming in. Yeah, we 612 00:32:42,760 --> 00:32:46,320 Speaker 1: have almost two hundred and seventy thousand companies that use 613 00:32:46,360 --> 00:32:49,120 Speaker 1: Tilio to engage with their customers. And when you think 614 00:32:49,160 --> 00:32:52,840 Speaker 1: about what's been happening in the long trend of last 615 00:32:52,840 --> 00:32:56,440 Speaker 1: twenty years of digital transformation, more and more companies, businesses 616 00:32:56,440 --> 00:33:00,000 Speaker 1: are moving online and they're seeing more more digital transactions. 617 00:33:00,040 --> 00:33:02,600 Speaker 1: That means they meet their customers in this digital world. 618 00:33:03,000 --> 00:33:06,680 Speaker 1: And we provide the tools and the communications channels and 619 00:33:06,720 --> 00:33:10,600 Speaker 1: now the data infrastructure to allow companies to know their 620 00:33:10,600 --> 00:33:13,080 Speaker 1: customers based on all the data that they see about 621 00:33:13,080 --> 00:33:16,600 Speaker 1: their customers first party data, and then take that understanding 622 00:33:16,600 --> 00:33:20,040 Speaker 1: of their customer and use it to engage with those customers. 623 00:33:20,240 --> 00:33:24,000 Speaker 1: And engagement is essentially the act of personalizing all of 624 00:33:24,040 --> 00:33:27,360 Speaker 1: your interactions, making every interaction relevant. It's the act of 625 00:33:27,400 --> 00:33:30,600 Speaker 1: actually buying relevant ads to target your customers. It's the 626 00:33:30,640 --> 00:33:34,120 Speaker 1: act of tiving a direct channel of conversation with your customer. 627 00:33:34,440 --> 00:33:38,280 Speaker 1: And companies who do this well see outsized performance in 628 00:33:38,280 --> 00:33:40,760 Speaker 1: their revenue. In fact, we recently did a survey of 629 00:33:41,120 --> 00:33:44,680 Speaker 1: three thousand different executives and a wide variety of companies 630 00:33:44,720 --> 00:33:47,560 Speaker 1: all around the Globe, and we found that those companies 631 00:33:47,560 --> 00:33:50,320 Speaker 1: that invested in customer engagement, which is building that digital 632 00:33:50,360 --> 00:33:54,680 Speaker 1: relationship with their customers, on average, saw seventy revenue growth 633 00:33:54,720 --> 00:33:56,720 Speaker 1: last year. And so that just goes to show you 634 00:33:56,760 --> 00:33:59,080 Speaker 1: that when you build a strong relationship with your customer 635 00:33:59,160 --> 00:34:01,520 Speaker 1: using all this amazing technology that is out there that 636 00:34:01,600 --> 00:34:06,520 Speaker 1: Tilio powers, well, it has outside returns in terms of revenue. Now, 637 00:34:06,640 --> 00:34:08,840 Speaker 1: I want to ask you about a slightly different topic 638 00:34:09,000 --> 00:34:11,680 Speaker 1: and the leak of the draft opinion from the Supreme 639 00:34:11,680 --> 00:34:15,120 Speaker 1: Court on Where versus Wade. Tuilio came out last year 640 00:34:15,160 --> 00:34:18,680 Speaker 1: opposing the Texas anti abortion law, and I'm I'm just 641 00:34:18,800 --> 00:34:23,840 Speaker 1: curious for your reaction to this league what you're telling employees. Well, 642 00:34:24,200 --> 00:34:26,120 Speaker 1: you know, I think it is it is a dark 643 00:34:26,200 --> 00:34:29,440 Speaker 1: day to be removing fundamental rights from basically half of 644 00:34:29,440 --> 00:34:33,200 Speaker 1: our population. And we think it is a woman's right 645 00:34:33,520 --> 00:34:36,080 Speaker 1: to choose her health care decisions for her body. We're 646 00:34:36,120 --> 00:34:38,759 Speaker 1: going to support our employees in their need to to 647 00:34:38,840 --> 00:34:42,080 Speaker 1: get the health care options that they need. And ultimately, 648 00:34:42,200 --> 00:34:44,680 Speaker 1: we think that healthcare is a personal choice and that 649 00:34:44,680 --> 00:34:46,560 Speaker 1: should be a choice that's left up to the individual. 650 00:34:47,040 --> 00:34:49,040 Speaker 1: And how do you think about this as a business leader, 651 00:34:49,040 --> 00:34:54,239 Speaker 1: because there certainly are customers who don't necessarily agree with you. Absolutely, 652 00:34:54,560 --> 00:34:56,880 Speaker 1: it's a very tough issue and it is it is 653 00:34:56,880 --> 00:35:00,640 Speaker 1: an issue that science has not answered the question of, 654 00:35:00,680 --> 00:35:03,640 Speaker 1: like when does life begin? And so therefore it becomes 655 00:35:03,680 --> 00:35:06,880 Speaker 1: a matter of beliefs, and there are religious beliefs, personal beliefs, 656 00:35:06,880 --> 00:35:09,239 Speaker 1: etcetera involved in this decision, which makes it a very 657 00:35:09,280 --> 00:35:13,120 Speaker 1: hard issue for leaders, um like myself or I need 658 00:35:13,200 --> 00:35:16,000 Speaker 1: to to actually kind of you know, a pine on 659 00:35:16,120 --> 00:35:19,680 Speaker 1: and so in some ways it's like stop asking me 660 00:35:19,760 --> 00:35:22,239 Speaker 1: a man just because I'm a CEO what I think 661 00:35:22,280 --> 00:35:25,000 Speaker 1: about it? Like what I what I ultimately can say 662 00:35:25,080 --> 00:35:27,600 Speaker 1: is I believe that women should have the choice to 663 00:35:27,600 --> 00:35:30,520 Speaker 1: to to make decisions health care decisions about their own bodies. 664 00:35:30,560 --> 00:35:33,479 Speaker 1: And you know, and that's not an opinion of when 665 00:35:33,520 --> 00:35:35,880 Speaker 1: life begins and all that. Science doesn't know the answer. 666 00:35:35,960 --> 00:35:37,600 Speaker 1: Nobody knows the answer to that. But what I do 667 00:35:37,680 --> 00:35:39,359 Speaker 1: believe is that women should have the ability to make 668 00:35:39,400 --> 00:35:42,200 Speaker 1: those decisions for themselves. Fair Enough, I want to ask 669 00:35:42,239 --> 00:35:45,360 Speaker 1: you about another hard issue, and that is of free speech. 670 00:35:45,560 --> 00:35:48,960 Speaker 1: You in the past, for example, the Pittsburgh synagogue shooting, 671 00:35:48,960 --> 00:35:51,200 Speaker 1: you called on social media to do a better job 672 00:35:51,280 --> 00:35:54,600 Speaker 1: cracking down on hate and misinformation. What do you think 673 00:35:54,600 --> 00:35:59,080 Speaker 1: about Twitter being owned by Elon Musk given that his 674 00:35:59,160 --> 00:36:03,359 Speaker 1: big thing quote unquote free speech. Well, I do think 675 00:36:03,400 --> 00:36:07,120 Speaker 1: that reality like free speech in a broad sense is 676 00:36:07,160 --> 00:36:09,719 Speaker 1: a nice thing to rally around, but then you do 677 00:36:09,840 --> 00:36:13,240 Speaker 1: right into reality, which is that when people say things 678 00:36:13,320 --> 00:36:15,799 Speaker 1: or do things that violate the community standards, and every 679 00:36:15,800 --> 00:36:19,400 Speaker 1: community has standards online, offline, you name it, um, what 680 00:36:19,440 --> 00:36:22,160 Speaker 1: are you gonna do? And that there's business consequences, like 681 00:36:22,200 --> 00:36:26,000 Speaker 1: if users stop liking the community of of of social 682 00:36:26,000 --> 00:36:28,680 Speaker 1: media network, they'll stop using it. That is very real 683 00:36:28,760 --> 00:36:31,719 Speaker 1: business impacts. And so the way I thought about, you know, 684 00:36:31,840 --> 00:36:34,640 Speaker 1: free speech, whether free speech is a legal doctrine that 685 00:36:34,680 --> 00:36:38,560 Speaker 1: governs the government's um uh imposition of things you can 686 00:36:38,560 --> 00:36:40,680 Speaker 1: say or can't say, It has nothing to do with 687 00:36:40,680 --> 00:36:43,879 Speaker 1: what private companies um actually how they drive their terms 688 00:36:43,880 --> 00:36:46,600 Speaker 1: of service and how a company builds its community. And 689 00:36:46,640 --> 00:36:49,000 Speaker 1: so the very real business question will be is if 690 00:36:49,080 --> 00:36:53,080 Speaker 1: some of those engagement, if some of those rules get loosened, 691 00:36:53,320 --> 00:36:58,200 Speaker 1: or you know, there is more community breaking type behavior 692 00:36:58,400 --> 00:37:01,439 Speaker 1: on Twitter, people should vote with their feet. And look, 693 00:37:01,480 --> 00:37:03,239 Speaker 1: you can go to the metaverse, you can go to 694 00:37:03,280 --> 00:37:05,439 Speaker 1: the muskie verse, you can go to the snappy verse, 695 00:37:05,520 --> 00:37:07,680 Speaker 1: you can go to the insta verse, whatever. Like, There's 696 00:37:07,680 --> 00:37:10,520 Speaker 1: a lot of options out there, um and so, and 697 00:37:10,680 --> 00:37:13,080 Speaker 1: people can and will vote with how they use the service. 698 00:37:13,120 --> 00:37:16,960 Speaker 1: And ultimately it's a business and uh that is probably 699 00:37:17,000 --> 00:37:20,280 Speaker 1: going to drive a lot of the decisions that that 700 00:37:20,280 --> 00:37:24,200 Speaker 1: that owners will make. That was quite an epic way 701 00:37:24,239 --> 00:37:27,520 Speaker 1: to end this show on a Friday afternoon. Jeff Lawson, 702 00:37:27,680 --> 00:37:31,200 Speaker 1: thank you for waiting through some very thorny issues with 703 00:37:31,239 --> 00:37:33,640 Speaker 1: the CEO of Toilio. I was good to have you 704 00:37:33,760 --> 00:37:34,320 Speaker 1: on the show.