1 00:00:02,520 --> 00:00:10,160 Speaker 1: Bloomberg Audio Studios, Podcasts, Radio News. Welcome to the Bloomberg 2 00:00:10,240 --> 00:00:15,920 Speaker 1: This Weekend Podcast with David Gura, Christina Raffini, and Lisa Matteo. 3 00:00:17,680 --> 00:00:20,560 Speaker 2: Thanks for joining us for today's selection of conversations from 4 00:00:20,600 --> 00:00:20,959 Speaker 2: the show. 5 00:00:21,200 --> 00:00:23,479 Speaker 3: You can listen to our favorite discussions right here on 6 00:00:23,520 --> 00:00:25,800 Speaker 3: the podcast, but also make sure to join us live 7 00:00:25,960 --> 00:00:28,960 Speaker 3: every Saturday and Sunday morning starting at seven am Easter. 8 00:00:29,160 --> 00:00:32,760 Speaker 4: We're on Bloomberg Television, Radio and the Bloomberg Business App, 9 00:00:33,040 --> 00:00:37,600 Speaker 4: bringing you unique takes and in depth interviews on news, politics, 10 00:00:37,680 --> 00:00:39,120 Speaker 4: lifestyle and culture. 11 00:00:42,159 --> 00:00:45,040 Speaker 2: By the closing bell Space access market cap hit two 12 00:00:45,080 --> 00:00:48,200 Speaker 2: point one trillion. That's Trillian with the tea dollars, making 13 00:00:48,200 --> 00:00:50,440 Speaker 2: it one of the world's most valuable companies. 14 00:00:51,120 --> 00:00:51,440 Speaker 5: With us. 15 00:00:51,520 --> 00:00:52,440 Speaker 6: Now, we've got. 16 00:00:52,520 --> 00:00:55,440 Speaker 2: Host of Bloomberg Tech, the one and only Ed Ludlow, 17 00:00:56,040 --> 00:00:57,639 Speaker 2: and thanks he did watch the game? 18 00:00:57,680 --> 00:00:59,640 Speaker 7: I just want to know, did watch the entire of 19 00:00:59,680 --> 00:01:00,880 Speaker 7: the game? Do you ever sleep? 20 00:01:01,360 --> 00:01:01,480 Speaker 1: No? 21 00:01:01,760 --> 00:01:02,080 Speaker 7: Rarely? 22 00:01:02,160 --> 00:01:05,280 Speaker 2: I mean you have been on this all week. You 23 00:01:05,319 --> 00:01:07,320 Speaker 2: have been on TV, on this, on radio, on all 24 00:01:07,319 --> 00:01:10,320 Speaker 2: the platforms. When we played our headlines earlier, you heard 25 00:01:10,400 --> 00:01:13,119 Speaker 2: Elon must say he gave this a ten percent shot 26 00:01:13,240 --> 00:01:16,480 Speaker 2: of actually succeeding with all these goals. Yeah, so explain 27 00:01:16,560 --> 00:01:18,360 Speaker 2: to me what just happened. 28 00:01:18,360 --> 00:01:18,520 Speaker 5: Then? 29 00:01:18,560 --> 00:01:21,399 Speaker 2: Why are all these people buying into this huge valuation, 30 00:01:21,640 --> 00:01:25,000 Speaker 2: This stock is massively oversubscribed. Why does the market have 31 00:01:25,080 --> 00:01:26,160 Speaker 2: such confidence in this company? 32 00:01:26,240 --> 00:01:26,560 Speaker 3: This man? 33 00:01:27,080 --> 00:01:28,920 Speaker 7: It's a referendum on Ela Musk. 34 00:01:29,080 --> 00:01:33,840 Speaker 8: Essentially, you know that everything that SpaceX presented to the market, 35 00:01:34,080 --> 00:01:37,000 Speaker 8: it's pitch for the future, right. You know, I've said 36 00:01:37,040 --> 00:01:38,880 Speaker 8: this to David so many times, but it's just the 37 00:01:38,880 --> 00:01:41,360 Speaker 8: easiest way for everyone that's watching and listening to understand. 38 00:01:41,959 --> 00:01:44,560 Speaker 8: When you file a go public, you fillo an S one. 39 00:01:44,680 --> 00:01:47,240 Speaker 8: It's a document, it's called a prospectus, and you basically 40 00:01:47,319 --> 00:01:51,120 Speaker 8: say to investors, here are all of our ideas and plans, 41 00:01:51,400 --> 00:01:54,240 Speaker 8: and here are all the risks involved. And it just 42 00:01:54,360 --> 00:01:56,840 Speaker 8: reads like a Christopher Nolan's sci fi script. 43 00:01:56,680 --> 00:01:58,160 Speaker 2: And like, aren't the first couple of pages a bunch 44 00:01:58,160 --> 00:01:59,559 Speaker 2: of like pictures of like rocket ships. 45 00:01:59,640 --> 00:02:01,960 Speaker 8: Yeah, and you know there's an element that SpaceX we 46 00:02:02,000 --> 00:02:03,920 Speaker 8: can get into some of the ways, but they just 47 00:02:04,200 --> 00:02:06,600 Speaker 8: don't do things in a normal way. Elon Musk doesn't conform 48 00:02:06,640 --> 00:02:09,720 Speaker 8: to Wall Street norms. But you know the point is 49 00:02:09,720 --> 00:02:13,840 Speaker 8: is that SpaceX going public needed to to raise money. 50 00:02:13,919 --> 00:02:18,040 Speaker 8: They need money to fund a bit of a pivot 51 00:02:18,040 --> 00:02:21,480 Speaker 8: in the business, which is they're going from launching satellites 52 00:02:21,520 --> 00:02:24,880 Speaker 8: for customers in the private sector, in the government and 53 00:02:25,360 --> 00:02:29,560 Speaker 8: a starlink satellite constellation themselves. You basically can get very 54 00:02:29,560 --> 00:02:33,240 Speaker 8: good Wi Fi that, instead of coming from terrestrial cables 55 00:02:33,240 --> 00:02:35,960 Speaker 8: and beam to vira box, comes from a satellite. Great 56 00:02:36,000 --> 00:02:39,680 Speaker 8: business working really well. Their future looks so different, you know. 57 00:02:39,760 --> 00:02:43,760 Speaker 8: It is basically part one, put data centers in space, 58 00:02:44,160 --> 00:02:48,640 Speaker 8: data centers in the form of satellite, become an AI company, 59 00:02:48,720 --> 00:02:51,760 Speaker 8: sell AI software like open ai and anthropic too, and 60 00:02:51,880 --> 00:02:55,320 Speaker 8: still the original goal of getting humans to Mars. It's 61 00:02:55,360 --> 00:03:03,360 Speaker 8: all in there, and it's all sort of economically explained, 62 00:03:03,600 --> 00:03:06,080 Speaker 8: if you know what I mean, Yes, David, and. 63 00:03:06,840 --> 00:03:09,400 Speaker 7: They do emphasize and the perspective this is a new economy. 64 00:03:09,400 --> 00:03:11,919 Speaker 7: This is a radical departure for the existing economy that 65 00:03:12,240 --> 00:03:15,600 Speaker 7: we have. Let me flag the great big take story 66 00:03:15,600 --> 00:03:17,799 Speaker 7: that you and many of your colleagues have written about 67 00:03:18,000 --> 00:03:20,520 Speaker 7: the road to this IPA. I think it's so fascinating. 68 00:03:20,520 --> 00:03:23,440 Speaker 7: And you talk about the urgency that Elon Musk felt 69 00:03:23,480 --> 00:03:25,440 Speaker 7: and conveyed to his team and that had to do with, 70 00:03:26,120 --> 00:03:28,120 Speaker 7: you know, getting out there before the midterm elections, which 71 00:03:28,160 --> 00:03:29,960 Speaker 7: I find fascinating, getting out there before its run out 72 00:03:29,960 --> 00:03:31,960 Speaker 7: of open aie and then also doing this before his 73 00:03:32,000 --> 00:03:36,400 Speaker 7: fifty fifth birthday, must fifty fifth birthday, a small roll 74 00:03:36,440 --> 00:03:39,560 Speaker 7: of the eyes there for our radio audience, but explained 75 00:03:39,600 --> 00:03:41,160 Speaker 7: how he was able to do this so quickly. It 76 00:03:41,200 --> 00:03:42,960 Speaker 7: wasn't long ago that he said, we don't need public markets. 77 00:03:43,000 --> 00:03:44,560 Speaker 7: We can continue to rely on the private markets. 78 00:03:44,720 --> 00:03:48,840 Speaker 8: Like Originally the story around SpaceX was that they would 79 00:03:48,880 --> 00:03:51,760 Speaker 8: spin off Starlink, that business, the internet business, so I 80 00:03:51,800 --> 00:03:55,080 Speaker 8: told you about and you Musk had said for a 81 00:03:55,120 --> 00:03:57,240 Speaker 8: very long time that he would only do that when 82 00:03:57,320 --> 00:04:00,520 Speaker 8: their numbers were good, when they had strong revenues and flow. 83 00:04:01,120 --> 00:04:02,880 Speaker 8: And so when we got to the end of last 84 00:04:02,960 --> 00:04:04,920 Speaker 8: year and the story started coming out that they would 85 00:04:04,920 --> 00:04:07,800 Speaker 8: go public, it was a bit of a surprise that 86 00:04:07,800 --> 00:04:11,320 Speaker 8: it would be the whole company, but we quickly reported 87 00:04:11,360 --> 00:04:13,200 Speaker 8: and you know, Bloomberg broke the story on this. The 88 00:04:13,240 --> 00:04:17,160 Speaker 8: whole point was to raise money buy GPUs chips for 89 00:04:18,160 --> 00:04:21,000 Speaker 8: running AIG I appreciate, and put them in space right, 90 00:04:21,040 --> 00:04:22,560 Speaker 8: and that is you know, that's a big part of 91 00:04:22,600 --> 00:04:26,080 Speaker 8: the story and all of those factors that you explained 92 00:04:26,360 --> 00:04:29,559 Speaker 8: based on very detailed reporting are true. You know, Musk 93 00:04:29,760 --> 00:04:32,719 Speaker 8: and the CFO of this company, Brett Johnson, had so 94 00:04:32,839 --> 00:04:36,280 Speaker 8: much control over the process that's normally run by the bankers. 95 00:04:36,880 --> 00:04:38,880 Speaker 8: You know, they did something unusual, which is just a 96 00:04:38,880 --> 00:04:42,680 Speaker 8: technical thing, but they before they even started marketing the 97 00:04:42,720 --> 00:04:45,279 Speaker 8: IPO and went on the road and tried to convince 98 00:04:45,320 --> 00:04:49,080 Speaker 8: investors of the brilliant story and the prospectives. Elon Musk 99 00:04:49,120 --> 00:04:51,320 Speaker 8: and Brett Johnson basically were like, let's set a price 100 00:04:51,480 --> 00:04:54,279 Speaker 8: one hundred and thirty five dollars a share. Typically you 101 00:04:54,320 --> 00:04:56,080 Speaker 8: won't you don't do that. You say, okay, here's a 102 00:04:56,080 --> 00:04:59,040 Speaker 8: price range, and you kind of say, what. 103 00:04:59,000 --> 00:04:59,760 Speaker 5: Do you guys think? 104 00:05:00,000 --> 00:05:01,360 Speaker 8: And should we go up a little bit, down a 105 00:05:01,360 --> 00:05:04,080 Speaker 8: little bit? And you know, our understanding and our reporting 106 00:05:04,120 --> 00:05:06,960 Speaker 8: is that it was Musk that really made that decision 107 00:05:07,320 --> 00:05:10,520 Speaker 8: in part to take everyone's leverage away to control the 108 00:05:10,560 --> 00:05:13,719 Speaker 8: IPO and do it on his terms, which is very muscular, 109 00:05:14,360 --> 00:05:17,400 Speaker 8: even if the mechanism of the IPO was unusual. 110 00:05:17,680 --> 00:05:19,640 Speaker 2: Right, So it closed up nineteen percent higher on the 111 00:05:19,680 --> 00:05:21,160 Speaker 2: first sage trade, and it's now at one hundred and 112 00:05:21,200 --> 00:05:23,440 Speaker 2: sixty one dollars per share. But as we talked about, 113 00:05:23,520 --> 00:05:27,400 Speaker 2: the stock was four times over subscribe, so like, how 114 00:05:27,400 --> 00:05:29,839 Speaker 2: does that work? Is this if you're in line to 115 00:05:29,920 --> 00:05:32,839 Speaker 2: invest in you know, space stations on Mars stay in line, 116 00:05:33,120 --> 00:05:35,040 Speaker 2: Like how how are you getting this? And how do 117 00:05:35,120 --> 00:05:36,119 Speaker 2: they prioritize? 118 00:05:36,200 --> 00:05:39,359 Speaker 8: So so everything is relative. It was four times maybe 119 00:05:39,440 --> 00:05:43,919 Speaker 8: almost five times over subscribed. You know in IPOs around 120 00:05:43,960 --> 00:05:46,080 Speaker 8: the world, not just in the United States, there are 121 00:05:46,160 --> 00:05:48,680 Speaker 8: there have been IPOs way more over subscribe than that. 122 00:05:48,960 --> 00:05:51,600 Speaker 8: But I would measure the demand on a dollar basis. 123 00:05:51,640 --> 00:05:55,000 Speaker 8: So they sold seventy five billion dollars worth of stock, 124 00:05:55,279 --> 00:05:57,919 Speaker 8: there was three hundred and fifty billion dollars of demand 125 00:05:58,240 --> 00:06:02,400 Speaker 8: across retail investors and beg into hutional investors. It means 126 00:06:02,520 --> 00:06:06,040 Speaker 8: everyone is disappointed, right, you know that everyone that tried 127 00:06:06,080 --> 00:06:08,120 Speaker 8: to get so like you know, some of your audience 128 00:06:08,160 --> 00:06:09,360 Speaker 8: will probably. 129 00:06:09,000 --> 00:06:10,880 Speaker 5: Be saying, yeah, that was me. 130 00:06:11,120 --> 00:06:13,200 Speaker 8: You know, they'll be listening and going, ah, you know, 131 00:06:13,560 --> 00:06:15,440 Speaker 8: I really regret that I couldn't get the shares at 132 00:06:15,440 --> 00:06:17,760 Speaker 8: one thirty five. Maybe they used a platform like robin 133 00:06:17,760 --> 00:06:20,480 Speaker 8: Hood or their online brokerage and they applied for a 134 00:06:20,600 --> 00:06:23,839 Speaker 8: thousand and they got one hundred or in most cases 135 00:06:24,040 --> 00:06:26,000 Speaker 8: they applied for a few dozen and got. 136 00:06:25,800 --> 00:06:29,840 Speaker 7: One or seven or whatever it is. So then when trading. 137 00:06:29,520 --> 00:06:33,200 Speaker 8: Started yesterday, have a choice. Do you try and buy 138 00:06:33,240 --> 00:06:35,960 Speaker 8: shares on the open market? You know it's better to 139 00:06:37,160 --> 00:06:38,839 Speaker 8: have the shares a one hundred and thirty five and 140 00:06:38,880 --> 00:06:41,920 Speaker 8: then if they go up, that's great. Then buy them 141 00:06:41,920 --> 00:06:43,599 Speaker 8: at the higher price and then they fall. You know 142 00:06:43,680 --> 00:06:44,440 Speaker 8: that's not good. 143 00:06:44,600 --> 00:06:46,680 Speaker 7: Before we let you go. Last year celebration at the 144 00:06:46,760 --> 00:06:49,160 Speaker 7: JP Morgan Building just a stone's throw from where we are. Yeah, 145 00:06:49,279 --> 00:06:52,560 Speaker 7: sitting today Jamie Diamond bringing out the Tomahawks steaks for 146 00:06:52,680 --> 00:06:54,400 Speaker 7: everyone to enjoy as a result of all of us 147 00:06:54,520 --> 00:06:56,839 Speaker 7: Wall Street tappy. But I look at this nugget in 148 00:06:57,160 --> 00:07:01,480 Speaker 7: I think Bailey Lipschultz's recent piece. Yeah, SpaceX is not 149 00:07:01,520 --> 00:07:03,320 Speaker 7: going to pay any fee if underwriters of the offering 150 00:07:03,360 --> 00:07:05,640 Speaker 7: agree to exercise their ability to sell another fifteen percent 151 00:07:05,640 --> 00:07:08,480 Speaker 7: of shares use this green treat show. Yeah, why would 152 00:07:08,480 --> 00:07:11,440 Speaker 7: they agree to such a thing. Why given the magnitude 153 00:07:11,440 --> 00:07:13,440 Speaker 7: of this, have banks kind of not rolled over but 154 00:07:13,520 --> 00:07:15,960 Speaker 7: done so much to less than the amount of pay 155 00:07:15,960 --> 00:07:16,560 Speaker 7: that they'd be getting. 156 00:07:16,560 --> 00:07:19,120 Speaker 8: You know, banks going to phone me now because in 157 00:07:19,160 --> 00:07:21,320 Speaker 8: the bankers because of my answer. But you know, go 158 00:07:21,400 --> 00:07:23,160 Speaker 8: back to what we're saying about Elon Musk and the 159 00:07:23,240 --> 00:07:27,200 Speaker 8: CFO setting the price and dictating the terms the bankers 160 00:07:27,320 --> 00:07:29,960 Speaker 8: got paid. It's not entirely clear to me what it 161 00:07:30,040 --> 00:07:31,960 Speaker 8: was they were doing. Actually, you know, there's a lot 162 00:07:31,960 --> 00:07:35,640 Speaker 8: of evidence that that Goldman Sachs in particular did a 163 00:07:35,760 --> 00:07:38,680 Speaker 8: very good job of placing the stock with you know, 164 00:07:38,920 --> 00:07:41,120 Speaker 8: the whole point is when you when you decide who 165 00:07:41,160 --> 00:07:43,560 Speaker 8: to allocate the shares to, you want to go to 166 00:07:43,600 --> 00:07:46,240 Speaker 8: an institutional investor that will hold on to them for 167 00:07:46,280 --> 00:07:48,320 Speaker 8: a long period of time. It's actually why there were 168 00:07:48,320 --> 00:07:50,960 Speaker 8: so many retail shares allocated, because. 169 00:07:50,720 --> 00:07:52,920 Speaker 2: You know, the very penalty is for you can get 170 00:07:52,920 --> 00:07:55,040 Speaker 2: from the penalty, well, you flipped them too quickly. 171 00:07:56,440 --> 00:07:59,920 Speaker 8: Depending on it's actually I'm just gonna say, I don't 172 00:07:59,960 --> 00:08:03,080 Speaker 8: know the answer to that. But basically there's a distinction 173 00:08:03,120 --> 00:08:05,640 Speaker 8: of buying stock on the open market being allocated in 174 00:08:05,640 --> 00:08:08,160 Speaker 8: the IPO, and whether you're an employee. The main point 175 00:08:08,240 --> 00:08:11,000 Speaker 8: is is that the banks made a lot of money 176 00:08:11,040 --> 00:08:14,440 Speaker 8: from this. Must did also negotiate very low fees in general, 177 00:08:15,680 --> 00:08:18,760 Speaker 8: because the scale of it, you know, it's so unprecedented 178 00:08:19,160 --> 00:08:21,840 Speaker 8: on the green shoe thing, you know, everyone on the 179 00:08:21,840 --> 00:08:24,679 Speaker 8: trading floor and as that was wearing green shoes, which 180 00:08:25,400 --> 00:08:26,320 Speaker 8: must signed off on. 181 00:08:26,600 --> 00:08:29,800 Speaker 7: So there we go, There we go, Love Love the 182 00:08:30,000 --> 00:08:31,800 Speaker 7: anchor Blooberg Tech, joining us here in New York as 183 00:08:31,840 --> 00:08:33,800 Speaker 7: he makes his way back to San Francisco to start 184 00:08:33,800 --> 00:08:35,559 Speaker 7: the show there on Monday of next week. For surely 185 00:08:35,600 --> 00:08:37,080 Speaker 7: the track that says it goes long yea, Thank you 186 00:08:37,120 --> 00:08:42,400 Speaker 7: very much. Stay with us for more on Bloomberg this weekend. 187 00:08:42,720 --> 00:08:56,319 Speaker 7: Right after this, please to bring up the fact that 188 00:08:56,360 --> 00:08:58,680 Speaker 7: we heard from the Pakistanis just a little while ago 189 00:08:58,679 --> 00:09:01,079 Speaker 7: about the prospects of an electron deal being signed, a 190 00:09:01,160 --> 00:09:03,200 Speaker 7: deal being signed electronically, I should say here within the 191 00:09:03,200 --> 00:09:05,800 Speaker 7: next twenty four hours. Getting some pushback on that now 192 00:09:05,840 --> 00:09:09,160 Speaker 7: from a spokesperson for the Islamic Republic of Iran's foreign ministry, 193 00:09:09,320 --> 00:09:11,760 Speaker 7: telling an Irani news agency that this is not the case, 194 00:09:12,040 --> 00:09:14,160 Speaker 7: but there is still the possibility a deal could come 195 00:09:14,480 --> 00:09:16,760 Speaker 7: in the coming days. That said, we at Bloomberg are 196 00:09:16,800 --> 00:09:19,240 Speaker 7: reporting the limited details that have emerged on the deal 197 00:09:19,320 --> 00:09:22,080 Speaker 7: suggest both sides, the US and Iran, are proceeding with 198 00:09:22,360 --> 00:09:26,360 Speaker 7: extreme caution, reluctant to make any real concessions before the 199 00:09:26,400 --> 00:09:27,240 Speaker 7: other does. 200 00:09:27,920 --> 00:09:30,520 Speaker 2: One of the journalists behind that reporting, State Department reporter 201 00:09:30,640 --> 00:09:33,240 Speaker 2: Eric Martin joins us, now also joining us as Bloomberg 202 00:09:33,320 --> 00:09:35,959 Speaker 2: Jerusalem reporter Dan Williams. We're so happy to have both 203 00:09:36,000 --> 00:09:38,040 Speaker 2: of you. Eric. I'm going to start with you. Should 204 00:09:38,040 --> 00:09:39,680 Speaker 2: you be on a plane, should you not be on 205 00:09:39,720 --> 00:09:40,160 Speaker 2: a plane. 206 00:09:40,640 --> 00:09:42,319 Speaker 7: We're glad to have him here. We are glad to 207 00:09:42,320 --> 00:09:42,640 Speaker 7: see you. 208 00:09:43,000 --> 00:09:45,000 Speaker 2: But to this timing issue, I mean, this is such 209 00:09:45,000 --> 00:09:46,880 Speaker 2: a fast moving story. As we were sitting here on 210 00:09:46,960 --> 00:09:51,480 Speaker 2: Midia's colleagues flagged these comments where the Iran Foreign Ministry 211 00:09:51,480 --> 00:09:53,920 Speaker 2: spokesman said, regarding the exact timing of the signing of 212 00:09:53,920 --> 00:09:56,920 Speaker 2: the memorandum, we must wait. Although it will not be tomorrow, 213 00:09:57,200 --> 00:09:59,400 Speaker 2: the possibility that it could take place in the coming 214 00:09:59,480 --> 00:10:02,080 Speaker 2: days is no ruled out. However, due to the other 215 00:10:02,200 --> 00:10:06,320 Speaker 2: sides read us instability in making any statements about this process, 216 00:10:06,640 --> 00:10:09,960 Speaker 2: caution must be exercise. We've seen similar messaging from White 217 00:10:10,000 --> 00:10:12,640 Speaker 2: House officials saying the other side needs to stop leaking. 218 00:10:12,640 --> 00:10:14,959 Speaker 2: We've seen criticism of bow leaks from the Vice President 219 00:10:15,040 --> 00:10:17,920 Speaker 2: Jada Vans Eric, where are we is this gonna happen? 220 00:10:18,040 --> 00:10:20,000 Speaker 2: Or have we made much ado about nothing yet? 221 00:10:20,040 --> 00:10:22,640 Speaker 7: Again sure, Christina. 222 00:10:22,720 --> 00:10:25,240 Speaker 6: So I think that aware of this in terms of 223 00:10:25,240 --> 00:10:28,240 Speaker 6: where this gets signed is much less important than the what, 224 00:10:28,600 --> 00:10:31,680 Speaker 6: particularly for the Trump administration. And so finally getting to 225 00:10:31,720 --> 00:10:35,640 Speaker 6: that deal, which we've heard President Trump say dozens of 226 00:10:35,679 --> 00:10:39,959 Speaker 6: times since April seventh or April eighth, that this deal 227 00:10:40,080 --> 00:10:42,080 Speaker 6: was a few days away or was kind of just 228 00:10:42,120 --> 00:10:45,240 Speaker 6: around the corner, finally getting to that deal to reopen 229 00:10:45,280 --> 00:10:49,280 Speaker 6: the strait and to end the blockade would be a 230 00:10:49,440 --> 00:10:53,520 Speaker 6: big development here. And so I think that, as with 231 00:10:53,600 --> 00:10:56,440 Speaker 6: everything with this process, we were a couple of months ago, 232 00:10:56,480 --> 00:10:59,440 Speaker 6: I was in Islamabad and connecting with you guys from 233 00:10:59,480 --> 00:11:04,240 Speaker 6: there talking about the latest, just hours after Vice President 234 00:11:04,400 --> 00:11:08,920 Speaker 6: Vance had sat down with his Iramian Pakistani counterparts. If 235 00:11:08,960 --> 00:11:12,000 Speaker 6: we finally get to a deal here, it seems likely 236 00:11:12,040 --> 00:11:15,960 Speaker 6: that it could take a little bit longer than, say, 237 00:11:16,000 --> 00:11:17,800 Speaker 6: twenty four hours. I mean, that's just been the way 238 00:11:17,880 --> 00:11:20,600 Speaker 6: that that's been the trend for everything that's happened on 239 00:11:20,640 --> 00:11:23,959 Speaker 6: this file over the last several months, and so it 240 00:11:24,920 --> 00:11:26,959 Speaker 6: certainly makes sense that it could take a little bit 241 00:11:27,000 --> 00:11:31,400 Speaker 6: longer than some of the most optimistic predictions about twenty 242 00:11:31,400 --> 00:11:32,640 Speaker 6: four hours or so. 243 00:11:32,720 --> 00:11:34,640 Speaker 7: Dan Williams let me turn to you from your perch 244 00:11:34,640 --> 00:11:36,319 Speaker 7: in Jerusalem to be here to hear sort of how 245 00:11:36,360 --> 00:11:39,080 Speaker 7: the Israeli government is thinking about this. Is it all unfolds. 246 00:11:39,080 --> 00:11:41,640 Speaker 7: We know that Prime Minister net Yahoo would be, if 247 00:11:41,640 --> 00:11:44,720 Speaker 7: not eager for more strikes, would support more strikes on Iran, 248 00:11:44,760 --> 00:11:46,920 Speaker 7: And he's very much on the margins of these negotiations 249 00:11:46,920 --> 00:11:50,800 Speaker 7: that are taking place between the US and Iran. What 250 00:11:50,920 --> 00:11:52,960 Speaker 7: is the government's perspective on the prospects of this happening 251 00:11:52,960 --> 00:11:54,720 Speaker 7: here within the next twenty four or forty eight hours. 252 00:11:55,760 --> 00:11:58,920 Speaker 9: Well, since details of this deal emerged just in the 253 00:11:59,000 --> 00:12:02,800 Speaker 9: last twenty four forty eight hours, the official public statements 254 00:12:02,800 --> 00:12:05,640 Speaker 9: have been very spare. The Prime Minister are now put 255 00:12:05,640 --> 00:12:08,880 Speaker 9: out I think all of two statements. His Defense minister 256 00:12:08,920 --> 00:12:12,240 Speaker 9: put out one statement. The rest of the usually loquacious 257 00:12:12,280 --> 00:12:16,280 Speaker 9: Israeli cabinet is avoiding the media so far. There's something 258 00:12:16,280 --> 00:12:19,840 Speaker 9: of a sullen public silence here. I imagine behind the scenes, 259 00:12:20,280 --> 00:12:23,520 Speaker 9: the leaders here are working the phones with the Trump administration, 260 00:12:23,640 --> 00:12:26,360 Speaker 9: trying to figure out what is included in this deal, 261 00:12:26,600 --> 00:12:28,440 Speaker 9: whether there's any rigal room where there's any way of 262 00:12:28,480 --> 00:12:31,400 Speaker 9: toughening up some of the terms. These radies are generally 263 00:12:31,480 --> 00:12:34,480 Speaker 9: not happy with this. As you noted, there was a 264 00:12:34,520 --> 00:12:37,360 Speaker 9: willingness here to go back to war in the absence 265 00:12:37,400 --> 00:12:41,360 Speaker 9: of a deal that would satisfy the original conditions demands 266 00:12:41,400 --> 00:12:44,440 Speaker 9: set both by these radies and the Americans at the 267 00:12:44,440 --> 00:12:47,280 Speaker 9: outset of this war. I mean, these rarely aren't looking 268 00:12:47,280 --> 00:12:50,840 Speaker 9: for war. They are looking for a diplomatic conclusion that 269 00:12:50,880 --> 00:12:53,560 Speaker 9: would preclude future walk as they would put it, and 270 00:12:53,600 --> 00:12:56,679 Speaker 9: what they worry about is effectively this would leave this 271 00:12:56,760 --> 00:13:01,120 Speaker 9: deal would leave it Irang with vestigial at least capacity 272 00:13:01,520 --> 00:13:05,760 Speaker 9: to repursue its nuclear program, to rebuild this baalistic missile program, 273 00:13:06,080 --> 00:13:09,760 Speaker 9: to come up with the funding eventually for its regional proxies, 274 00:13:10,240 --> 00:13:14,000 Speaker 9: and essentially empower it in the face of an unprecedented 275 00:13:14,080 --> 00:13:17,679 Speaker 9: joint campaign against it by the world's superpower and the 276 00:13:17,720 --> 00:13:21,400 Speaker 9: premier military power of the Middle East Israel does optics 277 00:13:21,440 --> 00:13:24,719 Speaker 9: here are very difficult for Israel, and the possibility that 278 00:13:24,760 --> 00:13:28,480 Speaker 9: the terms of this deal may not satisfy its bottom line, 279 00:13:28,800 --> 00:13:31,199 Speaker 9: its bottom threshold in terms of what it would consider 280 00:13:31,559 --> 00:13:34,360 Speaker 9: satisfactory a satisfactory outcome to this war. 281 00:13:34,520 --> 00:13:36,880 Speaker 2: Well, then the terms of the deal have been a 282 00:13:36,880 --> 00:13:41,360 Speaker 2: bit difficult for even some hardliners on the right here 283 00:13:41,360 --> 00:13:44,880 Speaker 2: in the US to stomach because it looks like they 284 00:13:44,920 --> 00:13:48,040 Speaker 2: will resemble the JCPOA the around nuclear deal, which. 285 00:13:47,880 --> 00:13:49,040 Speaker 7: We know Benjamin A. 286 00:13:49,040 --> 00:13:52,280 Speaker 2: Etnew who was openly vary against and you flagged to 287 00:13:52,360 --> 00:13:55,760 Speaker 2: us this morning some tweets from a writing politician there 288 00:13:55,760 --> 00:13:59,559 Speaker 2: in Israel talking about the emerging deal with Iran is 289 00:13:59,600 --> 00:14:03,000 Speaker 2: a total victory for the Ayatolas. It's a catastrophe from 290 00:14:03,040 --> 00:14:07,160 Speaker 2: Israel's perspective, and blaming the Prime minister does this create 291 00:14:07,200 --> 00:14:10,680 Speaker 2: an even bigger political liability for him domestically as well. 292 00:14:11,720 --> 00:14:15,000 Speaker 9: Absolutely, we're four months away from an Israeli election. It's 293 00:14:15,000 --> 00:14:17,920 Speaker 9: going to be tightly contested, as they often are in Israel. 294 00:14:18,280 --> 00:14:21,080 Speaker 9: This time it's a re election bid for Nittanniao, who 295 00:14:21,160 --> 00:14:24,160 Speaker 9: was already Israel's longest serving leader. I think it's clear 296 00:14:24,200 --> 00:14:27,120 Speaker 9: that he had a very different outcome in mind. The 297 00:14:27,160 --> 00:14:31,160 Speaker 9: original scheduling had within that six week window, the initial 298 00:14:31,200 --> 00:14:35,400 Speaker 9: six weeks of the war produce enough internal damage to 299 00:14:35,480 --> 00:14:39,520 Speaker 9: the Iranians to bring about an organic downfall of the regime. Afterward, 300 00:14:39,560 --> 00:14:41,840 Speaker 9: he was to have hosted Trump, who was due to 301 00:14:41,880 --> 00:14:45,440 Speaker 9: receive the Israel Prize in Israel, and that would have 302 00:14:45,480 --> 00:14:48,840 Speaker 9: really set him up for reelection in the absence of 303 00:14:48,880 --> 00:14:51,080 Speaker 9: something that conclusive. And keep in mind there are still 304 00:14:51,160 --> 00:14:53,840 Speaker 9: live fronts in Lebanon, which by the way, is not 305 00:14:54,240 --> 00:14:57,320 Speaker 9: disconnected to these Iran talks, given that Iran's looking out 306 00:14:57,320 --> 00:14:59,840 Speaker 9: for Hezbelah and even in Gaza, where this war began 307 00:15:00,000 --> 00:15:02,120 Speaker 9: two and a half years ago. Nisnielle is going to 308 00:15:02,160 --> 00:15:04,560 Speaker 9: have a lot of explaining to do to the electorate. 309 00:15:04,600 --> 00:15:08,400 Speaker 9: He promised total victory. Israelis are exhausted, they've been bloodied, 310 00:15:08,680 --> 00:15:12,080 Speaker 9: They've lost a lot in terms of international prestige, in 311 00:15:12,160 --> 00:15:15,000 Speaker 9: terms of treasure in lives, and yet they're not really 312 00:15:15,000 --> 00:15:19,120 Speaker 9: seeing that conclusion, any satisfactory conclusion in the offing. It's 313 00:15:19,120 --> 00:15:21,200 Speaker 9: something he's going to have to try very hard to explain. 314 00:15:21,880 --> 00:15:25,040 Speaker 7: Eric, you spend your days going through detailed diplomatic cables, 315 00:15:25,080 --> 00:15:26,520 Speaker 7: looking at documents, looking at deals. 316 00:15:26,520 --> 00:15:27,440 Speaker 5: This is something unique. 317 00:15:27,480 --> 00:15:29,440 Speaker 7: This is one page. I gather maybe a couple more, 318 00:15:29,480 --> 00:15:31,440 Speaker 7: but fourteen points as we understand it from that semi 319 00:15:31,480 --> 00:15:34,120 Speaker 7: official news agency. I was struck by something in Bloomberg 320 00:15:34,160 --> 00:15:38,320 Speaker 7: Supporting recently that a person familiar with these deliberations said 321 00:15:38,320 --> 00:15:41,640 Speaker 7: the memorandum would be open to interpretation in certain areas, 322 00:15:41,640 --> 00:15:45,800 Speaker 7: including what the reopening of horror movies would mean in practice. 323 00:15:46,200 --> 00:15:48,240 Speaker 7: It makes me wonder sort of how cohesive, how long 324 00:15:48,320 --> 00:15:50,480 Speaker 7: lasting this document is likely to be. We're talking about 325 00:15:50,520 --> 00:15:53,000 Speaker 7: a fairly short time horizon here, sixty days should this 326 00:15:53,080 --> 00:15:56,560 Speaker 7: be signed to, proved by both sides? How much credence 327 00:15:56,600 --> 00:15:59,480 Speaker 7: should we give a document like this. We've seen a 328 00:15:59,560 --> 00:16:03,640 Speaker 7: very messy cease fire over these last few months, David. 329 00:16:03,680 --> 00:16:06,480 Speaker 6: In some ways, a document like this is a starting 330 00:16:06,520 --> 00:16:10,360 Speaker 6: point for the tough negotiations to come, and so it 331 00:16:10,400 --> 00:16:15,040 Speaker 6: doesn't deal in detail with the nuclear program. It's something 332 00:16:15,040 --> 00:16:17,280 Speaker 6: I was talking the other day with Aaron David Miller, 333 00:16:17,320 --> 00:16:20,360 Speaker 6: who is a former advisor to the State Department on 334 00:16:20,480 --> 00:16:23,480 Speaker 6: the negotiations regarding the Middle East, and he said, this 335 00:16:23,560 --> 00:16:26,800 Speaker 6: is really buying a ticket to the next tough negotiation 336 00:16:27,440 --> 00:16:30,160 Speaker 6: in that, you know, you have things that each side 337 00:16:30,560 --> 00:16:35,520 Speaker 6: is going to try to portray to their domestic constituencies 338 00:16:35,560 --> 00:16:39,520 Speaker 6: as a win. But certain things like exactly you know 339 00:16:39,600 --> 00:16:45,160 Speaker 6: what disposing of nuclear material means in whether that's downblending 340 00:16:45,320 --> 00:16:48,720 Speaker 6: or moving material out of the country, as well as 341 00:16:49,280 --> 00:16:51,960 Speaker 6: what reopening the straight means. I mean, does that mean 342 00:16:52,000 --> 00:16:55,880 Speaker 6: that reopening with some degree of Iranian monitoring or control 343 00:16:56,000 --> 00:16:59,200 Speaker 6: or does that mean going back to February twenty seventh. 344 00:16:59,480 --> 00:17:03,640 Speaker 6: So these are questions that are somewhat open, as the 345 00:17:03,680 --> 00:17:08,680 Speaker 6: officials told us, somewhat open to interpretation, but that that's 346 00:17:08,720 --> 00:17:11,320 Speaker 6: both a feature and a flaw, right, I mean, that's 347 00:17:11,320 --> 00:17:16,400 Speaker 6: something It allows each side to sell this to their 348 00:17:16,440 --> 00:17:20,440 Speaker 6: constituencies and to citizens as a win. But there's also 349 00:17:20,600 --> 00:17:24,920 Speaker 6: room there for misunderstanding and for disagreement and conflict if 350 00:17:24,960 --> 00:17:27,600 Speaker 6: one side feels like the other is violating something that 351 00:17:27,640 --> 00:17:28,479 Speaker 6: they had committed to. 352 00:17:29,400 --> 00:17:31,119 Speaker 2: Eric As, I want to ask you about who the 353 00:17:31,119 --> 00:17:35,120 Speaker 2: main players are here, because very openly we're seeing acknowledgment 354 00:17:35,200 --> 00:17:38,480 Speaker 2: from the different sides that Pakistan is involved and has 355 00:17:38,480 --> 00:17:40,159 Speaker 2: been meeting this. But I'm hearing, as I'm sure you 356 00:17:40,200 --> 00:17:42,240 Speaker 2: are as well, from sources in the region, there are 357 00:17:42,280 --> 00:17:47,080 Speaker 2: other regional players helping, assisting, advising, and possibly going to 358 00:17:47,840 --> 00:17:50,560 Speaker 2: this signing ceremony if indeed it does happen. We're now 359 00:17:50,560 --> 00:17:52,520 Speaker 2: hearing it could be a digital signing. Not quite sure 360 00:17:52,520 --> 00:17:56,239 Speaker 2: what that entails. Who are the regional players helping make 361 00:17:56,320 --> 00:17:59,439 Speaker 2: this potentially happen, and then who are the negotiators? Is 362 00:17:59,440 --> 00:18:02,560 Speaker 2: it still just mainly Witcoff and Kushner. We saw this 363 00:18:02,680 --> 00:18:05,720 Speaker 2: Axios report that they'd actually gone to Oakridge, Tennessee, which 364 00:18:05,760 --> 00:18:07,600 Speaker 2: is a nuclear facility, to kind of buff up on 365 00:18:07,640 --> 00:18:10,400 Speaker 2: their nuclear knowledge. Are they still leading it and does 366 00:18:10,440 --> 00:18:12,280 Speaker 2: the President still have faith in them? 367 00:18:13,480 --> 00:18:18,000 Speaker 6: Well in terms of the intermediaries who were seeing, Certainly 368 00:18:18,040 --> 00:18:21,760 Speaker 6: all countries in the region have an interest in and 369 00:18:21,800 --> 00:18:26,080 Speaker 6: are invested in seeing this peace process come to fruition, 370 00:18:26,600 --> 00:18:29,760 Speaker 6: but they also have to have ongoing relationships with Iran. 371 00:18:30,160 --> 00:18:33,560 Speaker 6: So we've seen we had reporting from colleagues earlier this 372 00:18:33,600 --> 00:18:40,199 Speaker 6: week about UAE having meetings with the Iranians for the 373 00:18:40,240 --> 00:18:42,359 Speaker 6: kind of highest level meetings that we've had since the 374 00:18:42,359 --> 00:18:45,639 Speaker 6: beginning of the war, to try to calm some of 375 00:18:45,680 --> 00:18:49,920 Speaker 6: the tensions lingering tensions between those two countries. Of course, 376 00:18:49,960 --> 00:18:54,639 Speaker 6: we saw Iran after the US and Israeli strikes lashing 377 00:18:54,680 --> 00:18:58,720 Speaker 6: out and hitting civilian targets in the UAE. We've also 378 00:18:58,880 --> 00:19:02,600 Speaker 6: heard about a role for Qatar in this process and 379 00:19:02,720 --> 00:19:06,320 Speaker 6: being involved. So even though Pakistan has been the host 380 00:19:06,480 --> 00:19:10,000 Speaker 6: to the negotiations that we saw in April and has 381 00:19:10,040 --> 00:19:13,160 Speaker 6: been the one that's had its highest level officials going 382 00:19:13,160 --> 00:19:18,320 Speaker 6: to Tehran to deliver messages or using phones in Pakistan 383 00:19:18,359 --> 00:19:21,439 Speaker 6: to deliver those messages and then taken by courier to 384 00:19:22,200 --> 00:19:26,679 Speaker 6: Mushtaba Kamene, the new Supreme leader. In this process that 385 00:19:26,720 --> 00:19:30,400 Speaker 6: takes days. So we've seen that from several countries involved there, 386 00:19:30,720 --> 00:19:33,440 Speaker 6: and then you know, to your question about who from 387 00:19:33,480 --> 00:19:37,919 Speaker 6: the US is involved, we've very much seen still the 388 00:19:38,000 --> 00:19:41,359 Speaker 6: Vice President ultimately in the lead on this, but the 389 00:19:41,400 --> 00:19:46,160 Speaker 6: details being negotiated by with Coffin Kushner. We had some 390 00:19:46,640 --> 00:19:50,920 Speaker 6: reporting that there was the potential for an in person 391 00:19:51,359 --> 00:19:56,440 Speaker 6: signing ceremony, perhaps in Geneva and perhaps as soon as Sunday. 392 00:19:56,440 --> 00:19:59,960 Speaker 6: That now seems to have been that speculation tamp down 393 00:20:00,080 --> 00:20:03,440 Speaker 6: little bit such that we're now expecting this could take 394 00:20:03,520 --> 00:20:06,240 Speaker 6: several more days and that it could be this virtual 395 00:20:06,520 --> 00:20:10,240 Speaker 6: kind of ceremony or virtual signing that the Pakistanis and 396 00:20:10,280 --> 00:20:11,400 Speaker 6: Iranians have mentioned. 397 00:20:12,240 --> 00:20:13,720 Speaker 7: Dan, let me turn to you lastly. Here we were 398 00:20:13,760 --> 00:20:15,720 Speaker 7: talking about you brought up Lebanon just a moment ago, 399 00:20:15,760 --> 00:20:17,919 Speaker 7: and of course that's a royal and conflict. Still despite 400 00:20:17,920 --> 00:20:21,080 Speaker 7: the diplomatic efforts that we've seen engineered or try to 401 00:20:21,119 --> 00:20:23,680 Speaker 7: be engineered here in recent weeks, where does that stand 402 00:20:23,720 --> 00:20:25,560 Speaker 7: now and what's your understanding of the Britor, which that 403 00:20:25,560 --> 00:20:27,760 Speaker 7: would be a part of any memo of understanding that's 404 00:20:27,760 --> 00:20:28,240 Speaker 7: signed here. 405 00:20:29,400 --> 00:20:31,760 Speaker 9: Well, if you ask the Iranians, Lebanon has to be 406 00:20:31,800 --> 00:20:35,600 Speaker 9: part of this. They've frequently and consistently called for a 407 00:20:35,720 --> 00:20:38,200 Speaker 9: ceasefire and end of war deal to apply to all fronts. 408 00:20:38,320 --> 00:20:43,600 Speaker 9: That's code for Lebanon, specifically the front of warfare between 409 00:20:43,680 --> 00:20:47,960 Speaker 9: Israel and Hezbola, which is really Iran's main ally a 410 00:20:48,160 --> 00:20:51,720 Speaker 9: very efficient, very well armed real force and political force 411 00:20:51,800 --> 00:20:54,719 Speaker 9: in Lebanon. These Raelis have ruled this out. While Iran 412 00:20:54,960 --> 00:20:59,359 Speaker 9: is the arch foe, the overarching threat to their security 413 00:21:00,359 --> 00:21:03,639 Speaker 9: is the most immediate literally on their northern border, at 414 00:21:03,720 --> 00:21:06,960 Speaker 9: least until they pushed Hesbela black with that invasion launched 415 00:21:06,960 --> 00:21:10,120 Speaker 9: pretty much in parallel with the war against the Run. 416 00:21:10,520 --> 00:21:14,720 Speaker 9: Over these months, these Raelis now have expanded a border 417 00:21:15,080 --> 00:21:17,240 Speaker 9: security zone what they call a buffer zone in southern 418 00:21:17,320 --> 00:21:20,119 Speaker 9: Lemon that led to the displacement of hundreds of thousands 419 00:21:20,160 --> 00:21:24,080 Speaker 9: of Lebanese civilians. It's also effectively driven Hesbula north and 420 00:21:24,440 --> 00:21:27,879 Speaker 9: disarmed Hesbula to a large degree. Israel has no intention, 421 00:21:28,000 --> 00:21:31,080 Speaker 9: it says, of withdrawing from that. It may delimit its 422 00:21:31,080 --> 00:21:34,040 Speaker 9: attacks to that zone and hold off on attacking Hesbele 423 00:21:34,080 --> 00:21:38,359 Speaker 9: and Beirut in the Lebanese interior, but that really looks 424 00:21:38,480 --> 00:21:41,760 Speaker 9: likely to be a major bone of contention there. It's 425 00:21:42,000 --> 00:21:44,879 Speaker 9: very important for the Ranians symbolically in terms of the 426 00:21:44,960 --> 00:21:47,080 Speaker 9: power projection, in terms of their influence in the Levant 427 00:21:47,119 --> 00:21:50,119 Speaker 9: or the Mediterranean coast. It's very important for these Raelis 428 00:21:50,119 --> 00:21:52,879 Speaker 9: in terms of security of up to two million of 429 00:21:52,960 --> 00:21:56,560 Speaker 9: their northern residents who until very recently were in range 430 00:21:56,560 --> 00:22:00,120 Speaker 9: of Hesbela rocket fire and at risk of seeing Hesbels 431 00:22:00,240 --> 00:22:03,159 Speaker 9: of the kind a mass pulled off on October seventh, 432 00:22:03,160 --> 00:22:07,200 Speaker 9: twenty twenty three. So Lebanon really will be a sticking point. 433 00:22:07,400 --> 00:22:10,480 Speaker 9: It seems the Israelis managed last week, through sheer firepower 434 00:22:10,840 --> 00:22:13,800 Speaker 9: to assert what they call their right to continue fighting 435 00:22:13,840 --> 00:22:16,800 Speaker 9: there against Hezbala, if not in Beirut then in the south. 436 00:22:17,520 --> 00:22:20,160 Speaker 9: Time will tell whether they will also work that into 437 00:22:20,200 --> 00:22:23,720 Speaker 9: this deal, that exception, that lacuna for Lebanon, into whatever 438 00:22:23,800 --> 00:22:25,520 Speaker 9: signed between the Americans that are rung. 439 00:22:25,520 --> 00:22:28,679 Speaker 7: Dan Williams in Jerusalem, Eric Martin in Washington with his 440 00:22:28,680 --> 00:22:30,800 Speaker 7: finger on the button of his mouth, and that Swiss 441 00:22:30,800 --> 00:22:35,119 Speaker 7: air site will he buy the ticket to Geneva. We'll see. 442 00:22:36,680 --> 00:22:39,280 Speaker 2: Stay with us for more on Bloomberg this weekend. Right 443 00:22:39,320 --> 00:22:39,760 Speaker 2: after this. 444 00:22:52,240 --> 00:22:54,280 Speaker 7: Sarawsky Crystal is one of the best known names in 445 00:22:54,400 --> 00:22:57,280 Speaker 7: luxury jewelry, is in the midst of a major brand overhaul, 446 00:22:57,320 --> 00:22:58,919 Speaker 7: hoping to modernize its image. 447 00:23:00,080 --> 00:23:00,480 Speaker 6: That's right. 448 00:23:00,480 --> 00:23:03,640 Speaker 2: They're partnering with famous faces like Ariana Grande and Venus Williams, 449 00:23:04,080 --> 00:23:07,280 Speaker 2: along with iconic Disney characters and even some Marvel figures. 450 00:23:07,320 --> 00:23:10,200 Speaker 2: The Austrian company is turning a profit once again by 451 00:23:10,240 --> 00:23:13,399 Speaker 2: focusing on what it calls pop luxury. We spoke with 452 00:23:13,480 --> 00:23:16,960 Speaker 2: the CEO, Alexey Nasard at their Fifth Avenue flagship store 453 00:23:17,000 --> 00:23:23,199 Speaker 2: for this weekend c Sweet Saturdays. So explain to me 454 00:23:23,600 --> 00:23:26,119 Speaker 2: what a Sarowski Crystal is and why it is different 455 00:23:26,200 --> 00:23:27,400 Speaker 2: or special from other products. 456 00:23:29,000 --> 00:23:32,119 Speaker 5: Swarowski is a pop luxury icon. What do you mean 457 00:23:32,160 --> 00:23:33,040 Speaker 5: by pop luxury? 458 00:23:33,200 --> 00:23:38,280 Speaker 10: We don't subscribe to some stale theories about what luxury is, 459 00:23:38,800 --> 00:23:40,680 Speaker 10: and I think the world needs to think. 460 00:23:40,480 --> 00:23:42,480 Speaker 5: About luxury in a much more modern way. 461 00:23:42,720 --> 00:23:46,119 Speaker 10: Those who have are winning, those who haven't arn't. 462 00:23:46,400 --> 00:23:48,720 Speaker 2: This is not what Tsarowski stores looks like what I 463 00:23:48,800 --> 00:23:49,400 Speaker 2: was growing up. 464 00:23:49,520 --> 00:23:51,240 Speaker 5: This is the wonder lux concept. 465 00:23:51,320 --> 00:23:54,720 Speaker 10: It's very different from what you'd think of a conventional 466 00:23:54,760 --> 00:23:58,520 Speaker 10: retail experience. It's packaged as a big jewelry box. 467 00:23:59,119 --> 00:24:01,679 Speaker 2: I mean it feels like that shadow boxes, like you're 468 00:24:01,720 --> 00:24:03,440 Speaker 2: discovering things exactly. 469 00:24:03,720 --> 00:24:06,800 Speaker 10: That's the whole point a treasure hunt. It's not that 470 00:24:06,840 --> 00:24:09,520 Speaker 10: I'm coming purposefully to buy something specific. 471 00:24:09,600 --> 00:24:11,680 Speaker 5: Yeah, I'm going to see what's out there. I'm curious. 472 00:24:11,800 --> 00:24:13,679 Speaker 5: I touch things, I try stuff. 473 00:24:13,800 --> 00:24:16,960 Speaker 2: See I didn't know I needed sparkly sunglasses, and now 474 00:24:17,000 --> 00:24:17,520 Speaker 2: I feel like it does. 475 00:24:17,560 --> 00:24:18,280 Speaker 5: It's a necessity. 476 00:24:18,359 --> 00:24:21,280 Speaker 2: Now, are you seeing a return on that investment? I 477 00:24:21,320 --> 00:24:22,800 Speaker 2: mean that you guys are profitable for the first time 478 00:24:23,000 --> 00:24:25,080 Speaker 2: in a couple of years. How are has a company doing? 479 00:24:25,440 --> 00:24:26,760 Speaker 5: The company is doing very well. 480 00:24:27,200 --> 00:24:29,760 Speaker 10: Over the last four years. We added twenty four points 481 00:24:29,800 --> 00:24:33,840 Speaker 10: of organic growth. Twenty twenty five was equally successful, up 482 00:24:33,880 --> 00:24:36,960 Speaker 10: six percent organic, and we're growing at three times the 483 00:24:37,040 --> 00:24:38,639 Speaker 10: rate of the jewelry market. 484 00:24:39,040 --> 00:24:40,560 Speaker 2: I mean that's pretty good, especially when a lot of 485 00:24:40,560 --> 00:24:42,440 Speaker 2: your competitors are seeing pretty flat growth. 486 00:24:42,480 --> 00:24:42,840 Speaker 7: Right now. 487 00:24:43,000 --> 00:24:45,720 Speaker 10: Yeah, now're we're very happy with the results. I mean, 488 00:24:45,720 --> 00:24:48,440 Speaker 10: we're proud, we're happy, but we should stay vigilant. 489 00:24:48,600 --> 00:24:49,520 Speaker 5: The market is tough. 490 00:24:49,800 --> 00:24:52,760 Speaker 10: Yeah, consumer sentiment, as you've seen, the latest data from 491 00:24:52,800 --> 00:24:55,160 Speaker 10: the US is at all time low. It is, and 492 00:24:55,200 --> 00:24:59,600 Speaker 10: it's still a discretionary category. So we told my guys 493 00:24:59,640 --> 00:25:02,160 Speaker 10: we keep confidence, but we stay vigilant and we navigate 494 00:25:02,200 --> 00:25:02,719 Speaker 10: on site. 495 00:25:02,760 --> 00:25:05,800 Speaker 2: I mean, I don't have to have sparkly sunglasses, but 496 00:25:06,200 --> 00:25:10,919 Speaker 2: I do kind of want them. Now, what were the 497 00:25:10,960 --> 00:25:12,080 Speaker 2: main changes that you made? 498 00:25:12,200 --> 00:25:17,840 Speaker 10: Any transformation starts with respect, respect the legacy, respect the brand, 499 00:25:18,000 --> 00:25:20,840 Speaker 10: respect the company. Otherwise you wouldn't even be here to 500 00:25:20,880 --> 00:25:21,520 Speaker 10: turn it around. 501 00:25:21,720 --> 00:25:24,480 Speaker 2: You're the first non family member to run this company 502 00:25:24,520 --> 00:25:26,760 Speaker 2: in its history, right, correct. That's going to be kind 503 00:25:26,760 --> 00:25:27,199 Speaker 2: of scary. 504 00:25:27,560 --> 00:25:31,040 Speaker 10: Yes, well, it has its share of challenges, but also 505 00:25:31,040 --> 00:25:34,520 Speaker 10: for opportunities because when you come and you're not part 506 00:25:34,560 --> 00:25:37,119 Speaker 10: of the family, you don't carry baggage. 507 00:25:37,520 --> 00:25:40,240 Speaker 5: Your agenda is clear. You just want to create value. 508 00:25:40,480 --> 00:25:41,280 Speaker 5: I'm a brand man. 509 00:25:41,480 --> 00:25:43,280 Speaker 10: I've been a CEO for more than ten years, but 510 00:25:43,320 --> 00:25:45,160 Speaker 10: at heart, I'm a brandman, but not necessarily Jewlry. 511 00:25:45,200 --> 00:25:46,760 Speaker 5: You were at Procter and Gamble, you were. 512 00:25:46,680 --> 00:25:49,119 Speaker 10: At exactly Yeah, And I've always been that and I 513 00:25:49,160 --> 00:25:51,879 Speaker 10: believe that it's fundamental for a brand like Swatowsky. I 514 00:25:51,920 --> 00:25:55,080 Speaker 10: think you can be superbly creative and be super disciplined. 515 00:25:55,240 --> 00:25:58,560 Speaker 2: What does the discipline do? What is like, why can't 516 00:25:58,600 --> 00:26:00,000 Speaker 2: you just be extremely creative. 517 00:26:00,080 --> 00:26:02,680 Speaker 10: I was in the process of turning the company's profitability around, 518 00:26:02,680 --> 00:26:06,119 Speaker 10: and I could not afford the luxury of having disorder 519 00:26:06,520 --> 00:26:08,800 Speaker 10: in that sense. But you need to manage it in 520 00:26:08,840 --> 00:26:12,360 Speaker 10: a way and through a managerial philosophy, and that philosophy 521 00:26:12,440 --> 00:26:15,760 Speaker 10: is called tight loose tight, which is being very tight 522 00:26:15,840 --> 00:26:18,760 Speaker 10: on the values of the company, of the strategy, and 523 00:26:18,800 --> 00:26:21,639 Speaker 10: be very tight on results. But in the middle you 524 00:26:21,760 --> 00:26:24,520 Speaker 10: have to have the courage to let people meander a 525 00:26:24,600 --> 00:26:26,760 Speaker 10: little bit, a little bit of freedom, a little bit 526 00:26:26,800 --> 00:26:28,520 Speaker 10: of serendipity, a little bit. 527 00:26:28,560 --> 00:26:31,320 Speaker 5: You know, I tried that. What do you think. I said, yeah, 528 00:26:31,400 --> 00:26:32,120 Speaker 5: let's try it. 529 00:26:32,119 --> 00:26:34,000 Speaker 10: It doesn't work, But then I make sure we do 530 00:26:34,000 --> 00:26:36,320 Speaker 10: don't do fifteen Let's try it to see if it works. 531 00:26:36,359 --> 00:26:38,720 Speaker 10: We limit them and we spread them over time to 532 00:26:38,760 --> 00:26:41,480 Speaker 10: make sure the risk profile is managed and is reasonable. 533 00:26:42,240 --> 00:26:44,600 Speaker 2: When I was growing up, my mom had the Swarovsky 534 00:26:44,960 --> 00:26:49,480 Speaker 2: crystal figures like doves and swans and very elegant animals. 535 00:26:49,640 --> 00:26:54,400 Speaker 2: You've got a baby Yoda figure over here. You've got Shrek, 536 00:26:54,560 --> 00:26:58,199 Speaker 2: You've got Wicked, You've got Disney is this still a 537 00:26:58,240 --> 00:26:59,000 Speaker 2: big part of the business. 538 00:26:59,119 --> 00:27:02,760 Speaker 10: What we try to do figurines is really showcase and 539 00:27:02,800 --> 00:27:07,040 Speaker 10: display what we call ourselfare because our ability to design 540 00:27:07,119 --> 00:27:10,800 Speaker 10: and cut crystal with precision is even more enhanced in 541 00:27:10,880 --> 00:27:12,280 Speaker 10: the home figurines category. 542 00:27:13,200 --> 00:27:13,880 Speaker 5: Yeah, yeah, you are. 543 00:27:15,400 --> 00:27:17,480 Speaker 2: I'm not gonna lie. I do kind of want a 544 00:27:17,480 --> 00:27:17,840 Speaker 2: baby o. 545 00:27:18,119 --> 00:27:19,560 Speaker 5: Yes. Called brand desirability. 546 00:27:19,720 --> 00:27:23,199 Speaker 10: We have a group of collectors that buys what you mentioned, 547 00:27:23,240 --> 00:27:26,720 Speaker 10: which is you know, the the the animals, the still fixtures, 548 00:27:27,080 --> 00:27:30,240 Speaker 10: the flowers. But you also increasingly have a group of 549 00:27:30,640 --> 00:27:35,200 Speaker 10: franchise officionados, the lovers, the fans of Star Wars. 550 00:27:35,200 --> 00:27:37,440 Speaker 7: They want the Wars. 551 00:27:37,520 --> 00:27:41,119 Speaker 10: Yeah, and that's a different demographic. They're younger in general, 552 00:27:41,119 --> 00:27:43,480 Speaker 10: they're more skewed nail get dudes in your mind. 553 00:27:43,680 --> 00:27:47,080 Speaker 2: Yes, yes, of course, Oh, this says Ariana Grande. So 554 00:27:47,240 --> 00:27:49,120 Speaker 2: this this is the new collection exactly. 555 00:27:49,160 --> 00:27:51,960 Speaker 10: That's the new capsule, the dragon fly of Ariana Grande. 556 00:27:52,240 --> 00:27:55,960 Speaker 10: The collaborations with ambassadors like Ariana Grandi give a lot 557 00:27:56,000 --> 00:27:59,040 Speaker 10: of texture and dimensions to the cultural capital of the brand. 558 00:27:59,160 --> 00:28:01,680 Speaker 10: We select people who are in tune with our pop 559 00:28:01,800 --> 00:28:04,160 Speaker 10: luxury positioning that can nurture it and we can nurture 560 00:28:04,160 --> 00:28:04,520 Speaker 10: it back. 561 00:28:04,760 --> 00:28:06,520 Speaker 5: The collection has been very successful. 562 00:28:06,640 --> 00:28:08,240 Speaker 2: I mean this is the second year, so obviously you 563 00:28:08,440 --> 00:28:09,200 Speaker 2: went back for more. 564 00:28:09,359 --> 00:28:13,400 Speaker 10: It renews the storytelling around the brand, and we use 565 00:28:13,480 --> 00:28:17,760 Speaker 10: some also design codes which are unmistakably Slatrowski, but with 566 00:28:17,840 --> 00:28:20,720 Speaker 10: a little bit touch of originality. So people can be 567 00:28:20,800 --> 00:28:23,679 Speaker 10: tempted to layer this on top of what they already 568 00:28:23,680 --> 00:28:24,760 Speaker 10: have with us, and. 569 00:28:24,800 --> 00:28:27,880 Speaker 2: Let's be real, layering means they're pursusing more products exactly. 570 00:28:28,560 --> 00:28:30,479 Speaker 2: I also feel like you guys are positioned an interesting 571 00:28:30,520 --> 00:28:33,880 Speaker 2: time because study after study is showing the younger generation, 572 00:28:34,160 --> 00:28:39,040 Speaker 2: even people my age, don't really care about diamonds precious 573 00:28:39,080 --> 00:28:41,160 Speaker 2: gems in a way that previous generations. 574 00:28:41,160 --> 00:28:41,320 Speaker 5: Did. 575 00:28:41,360 --> 00:28:42,840 Speaker 2: I know that we're in a room that you guys 576 00:28:42,880 --> 00:28:46,560 Speaker 2: now have diamonds here lad grown I'm assuming correct. Are 577 00:28:46,600 --> 00:28:48,600 Speaker 2: you taking advantage of that? Have you seen that growth 578 00:28:48,680 --> 00:28:49,560 Speaker 2: in your customer base? 579 00:28:49,800 --> 00:28:53,880 Speaker 10: No, you're absolutely right. The train left the station for 580 00:28:54,080 --> 00:28:57,720 Speaker 10: lop grown diamonds. Yeah, and it's growing rapidly. This is 581 00:28:57,800 --> 00:29:00,960 Speaker 10: the trend of the market and we've been playing it unapologetically. 582 00:29:01,000 --> 00:29:02,040 Speaker 5: We've been one of the first. 583 00:29:02,160 --> 00:29:04,120 Speaker 10: We're determined to do it because we think it's a 584 00:29:04,120 --> 00:29:07,560 Speaker 10: triple win it's a win for the customer in the end. 585 00:29:07,720 --> 00:29:10,000 Speaker 10: You know, for you buck, you get a much bigger carrot. 586 00:29:10,160 --> 00:29:13,200 Speaker 10: The psyche of younger customers is a different one in 587 00:29:13,280 --> 00:29:15,720 Speaker 10: terms of all and what would the value remaining and 588 00:29:15,760 --> 00:29:17,560 Speaker 10: who could I sell it for? Are passing on to 589 00:29:17,640 --> 00:29:20,320 Speaker 10: my daughter? People are more in the here and now. 590 00:29:20,360 --> 00:29:22,840 Speaker 10: I love it, It seats me, it gives me joy. 591 00:29:23,040 --> 00:29:23,560 Speaker 5: Give it to me. 592 00:29:23,680 --> 00:29:25,880 Speaker 2: Life is hard, man. I just want some pretty stuffs 593 00:29:25,960 --> 00:29:29,440 Speaker 2: exactly when you walk around the store. It's not cheap, 594 00:29:29,600 --> 00:29:31,680 Speaker 2: but it is it is achievable. Are you at a 595 00:29:31,720 --> 00:29:34,400 Speaker 2: price point that you think is very beneficial for this 596 00:29:34,520 --> 00:29:37,000 Speaker 2: time given the pullback on luxuries Monday. 597 00:29:37,160 --> 00:29:40,480 Speaker 10: We're one of very few companies that offer products in 598 00:29:40,520 --> 00:29:43,000 Speaker 10: one store ranging between one hundred and fifty dollars to 599 00:29:43,080 --> 00:29:47,200 Speaker 10: two hundred and fifty thousand dollars. So with us, most 600 00:29:47,200 --> 00:29:50,360 Speaker 10: people can find something that they like and that is 601 00:29:50,400 --> 00:29:51,000 Speaker 10: suitable to. 602 00:29:50,960 --> 00:29:54,280 Speaker 2: Them, and you want customers that range those income brackets. 603 00:29:54,320 --> 00:29:57,240 Speaker 10: We want to have a combination of consumers who are young, 604 00:29:57,840 --> 00:30:02,479 Speaker 10: who are in the seitegeist, and who determined that site geist. 605 00:30:02,520 --> 00:30:03,440 Speaker 5: But gen Z has. 606 00:30:03,280 --> 00:30:06,280 Speaker 10: Its limitations, particularly monetary, and that is why our target 607 00:30:06,320 --> 00:30:07,560 Speaker 10: group is a little bit broader. 608 00:30:07,640 --> 00:30:08,600 Speaker 5: The post nineties. 609 00:30:08,760 --> 00:30:10,880 Speaker 10: That is our core target used to represent twenty one 610 00:30:10,920 --> 00:30:13,640 Speaker 10: percent of our sales back in twenty twenty one. Today 611 00:30:13,680 --> 00:30:16,600 Speaker 10: they're forty five percent and in the US fifty percent. 612 00:30:16,840 --> 00:30:19,680 Speaker 2: When did that transition start to happen and how successful 613 00:30:19,680 --> 00:30:20,760 Speaker 2: has that rebranding been. 614 00:30:20,840 --> 00:30:24,480 Speaker 10: What we call pop luxury is having the credentials of 615 00:30:24,560 --> 00:30:30,160 Speaker 10: what I call conventional luxury heritage eighteen ninety five Austrian 616 00:30:30,200 --> 00:30:33,720 Speaker 10: Tyrol Danielle Swarowski Savoa Fere we call it in French, 617 00:30:33,760 --> 00:30:36,400 Speaker 10: which is craftsmanship, creativity and quality. 618 00:30:36,560 --> 00:30:37,280 Speaker 5: We have it all. 619 00:30:37,880 --> 00:30:40,640 Speaker 10: But in addition to that at what makes our luxury 620 00:30:40,680 --> 00:30:44,920 Speaker 10: pop luxury. We are always in the site geist. We 621 00:30:45,040 --> 00:30:49,240 Speaker 10: are unapologetically modern. We will never be a dusty brand. 622 00:30:49,480 --> 00:30:50,320 Speaker 5: We're fun. 623 00:30:50,560 --> 00:30:53,240 Speaker 10: We don't think to be luxury you have to be stiff. 624 00:30:53,840 --> 00:30:56,320 Speaker 10: We don't believe that you can have fun in luxury. 625 00:30:56,680 --> 00:30:59,680 Speaker 10: Many people who buy our products are not always people 626 00:30:59,680 --> 00:31:03,360 Speaker 10: with live It means from many people, many many customers, 627 00:31:03,600 --> 00:31:06,200 Speaker 10: ladies who just say, you know what, I love that 628 00:31:06,320 --> 00:31:09,280 Speaker 10: extravagant Millennia. Give me the pink one as well. And 629 00:31:09,400 --> 00:31:11,760 Speaker 10: last thing is what we call the human touch. We 630 00:31:11,800 --> 00:31:14,440 Speaker 10: don't make people wait in line under the rain. We 631 00:31:14,480 --> 00:31:17,320 Speaker 10: don't treat customers in a hat. We don't do stuff 632 00:31:17,360 --> 00:31:20,800 Speaker 10: like that. Ultimately, the value for money matters walking away 633 00:31:20,840 --> 00:31:24,320 Speaker 10: from it or ignoring it. Just thinking because I'm luxury 634 00:31:24,400 --> 00:31:27,520 Speaker 10: doesn't matter, I think is short sighted. What should luxury 635 00:31:27,560 --> 00:31:30,400 Speaker 10: give the consumer at the final land is a feeling 636 00:31:30,440 --> 00:31:32,760 Speaker 10: of joy and a feeling of self worth. 637 00:31:34,640 --> 00:31:38,280 Speaker 4: Stay with us for more on Bloomberg this weekend. Right 638 00:31:38,320 --> 00:31:51,240 Speaker 4: after this, Welcome. 639 00:31:51,040 --> 00:31:54,120 Speaker 7: Back Blue Me, this weekend Time, this weekend's pointed news 640 00:31:54,160 --> 00:31:56,520 Speaker 7: quiz highlight for Me, for Christina, for you as well. 641 00:31:56,560 --> 00:31:58,800 Speaker 2: I hope if I win again this week? Are you 642 00:31:58,800 --> 00:31:59,960 Speaker 2: going to accuse me of malfia? 643 00:32:00,280 --> 00:32:04,640 Speaker 7: Absolutely? The cheating investigation continues. I am quite certain that's 644 00:32:04,680 --> 00:32:05,440 Speaker 7: what's happening here. 645 00:32:05,640 --> 00:32:09,760 Speaker 2: This is horrible and I lose quite frequently, so I'm cheating. 646 00:32:09,760 --> 00:32:14,440 Speaker 2: I should be better at it, right, Lisa, be nice 647 00:32:14,480 --> 00:32:15,520 Speaker 2: to us A long week. 648 00:32:15,560 --> 00:32:17,640 Speaker 4: Okay, here we go. You know what play long at home? 649 00:32:17,720 --> 00:32:19,760 Speaker 4: If you don't know how to play, let me explain 650 00:32:19,800 --> 00:32:20,400 Speaker 4: it to you. 651 00:32:20,640 --> 00:32:21,960 Speaker 7: For the drama, the. 652 00:32:22,920 --> 00:32:24,959 Speaker 4: Drama I know, which is great in itself. 653 00:32:25,520 --> 00:32:28,560 Speaker 2: Thirty emotional support could be or thirty. 654 00:32:28,320 --> 00:32:30,080 Speaker 4: Chips in front of each of them okay, So they're 655 00:32:30,120 --> 00:32:33,160 Speaker 4: each going to place their bets because we have three categories, 656 00:32:33,480 --> 00:32:36,080 Speaker 4: So depending on how you feel about each category depends 657 00:32:36,080 --> 00:32:37,800 Speaker 4: on how are you going to place your bets on 658 00:32:37,840 --> 00:32:38,200 Speaker 4: each one? 659 00:32:38,280 --> 00:32:40,240 Speaker 7: All right, category, get to the categories. 660 00:32:40,440 --> 00:32:42,840 Speaker 4: First is weather, Okay, how do you feel about that? 661 00:32:42,920 --> 00:32:45,240 Speaker 4: Next is currency, and finally shoes. 662 00:32:46,640 --> 00:32:48,880 Speaker 7: All right, I'm not going to go in on currency, 663 00:32:49,000 --> 00:32:52,840 Speaker 7: but I will put two on weather. So most of 664 00:32:52,920 --> 00:32:55,320 Speaker 7: mine around. You're going to do your usual three way split. 665 00:32:55,760 --> 00:32:57,080 Speaker 2: I kind of want to just do the first in 666 00:32:57,080 --> 00:32:59,320 Speaker 2: the second, but I don't trust myself. I'm gonna I'm gonna. 667 00:33:01,600 --> 00:33:03,400 Speaker 7: You know what, it does work. It does work for her. 668 00:33:03,960 --> 00:33:06,120 Speaker 2: Let's get to the first right and does what she 669 00:33:06,160 --> 00:33:06,680 Speaker 2: got Lisa? 670 00:33:06,720 --> 00:33:07,719 Speaker 4: Okay, Weather, here we go. 671 00:33:07,880 --> 00:33:08,600 Speaker 7: Here's your question. 672 00:33:08,920 --> 00:33:12,840 Speaker 4: Scientists, they are warning that a potentially historic climate pattern 673 00:33:13,000 --> 00:33:16,120 Speaker 4: has emerged in the Pacific. What is the name of 674 00:33:16,200 --> 00:33:21,640 Speaker 4: this phenomenon? A potentially historic climate pattern? 675 00:33:21,960 --> 00:33:22,440 Speaker 2: I gotcha. 676 00:33:22,640 --> 00:33:24,080 Speaker 4: I know you both did it really fast. 677 00:33:24,080 --> 00:33:26,720 Speaker 7: I'm surprised, go both of you. 678 00:33:28,400 --> 00:33:28,600 Speaker 1: Both. 679 00:33:30,240 --> 00:33:33,240 Speaker 7: That's why I doubled us in the lead with twenty points. 680 00:33:33,480 --> 00:33:35,960 Speaker 2: So you somehow knew it was going to you somehow, 681 00:33:36,000 --> 00:33:37,480 Speaker 2: like knew it was going to be now. 682 00:33:37,440 --> 00:33:41,040 Speaker 7: There are only two weather patterns I know would. 683 00:33:40,840 --> 00:33:42,880 Speaker 4: Be the other exactly, but it's going to strengthen. 684 00:33:43,600 --> 00:33:44,000 Speaker 7: Spanish. 685 00:33:44,440 --> 00:33:45,800 Speaker 2: Thank you, that is, I do know that. 686 00:33:45,920 --> 00:33:47,080 Speaker 6: I do know that much Spanish. 687 00:33:47,080 --> 00:33:50,200 Speaker 2: Thank you for man's wating to me. 688 00:33:50,840 --> 00:33:52,800 Speaker 7: Let's go on to currency currency. 689 00:33:53,280 --> 00:33:54,960 Speaker 4: Okay, David, you didn't bet anything. 690 00:33:55,400 --> 00:33:56,080 Speaker 7: Okay, here we go. 691 00:33:56,360 --> 00:34:00,440 Speaker 4: It might be a good reason. Indonesia, oh no, age 692 00:34:00,520 --> 00:34:04,040 Speaker 4: is worst performing currency this year due to spending worries. 693 00:34:04,400 --> 00:34:05,600 Speaker 4: What currency is? 694 00:34:05,760 --> 00:34:06,280 Speaker 5: Will you take it? 695 00:34:06,800 --> 00:34:07,880 Speaker 7: You take a phonetic spelling? 696 00:34:08,280 --> 00:34:11,879 Speaker 2: Yeah, okay, it's not okay, it's not the pot, it's 697 00:34:11,920 --> 00:34:12,560 Speaker 2: the other one. 698 00:34:13,000 --> 00:34:15,000 Speaker 4: What is Indonesia's currency? 699 00:34:15,080 --> 00:34:16,440 Speaker 2: I don't know if this is how I spell it? 700 00:34:16,560 --> 00:34:17,759 Speaker 7: Okay, I've never been there. 701 00:34:17,760 --> 00:34:18,160 Speaker 5: Have you been? 702 00:34:19,000 --> 00:34:21,040 Speaker 2: Yes, but only for like eight hours on a different 703 00:34:21,040 --> 00:34:21,600 Speaker 2: amount of trip. 704 00:34:21,840 --> 00:34:22,880 Speaker 7: I'm going to say the ring it. 705 00:34:23,560 --> 00:34:26,480 Speaker 4: Ring it no rupia. 706 00:34:27,040 --> 00:34:29,000 Speaker 7: Yeah, now we're tied, and. 707 00:34:29,040 --> 00:34:30,719 Speaker 4: You know what, yes, you were doing even though you 708 00:34:30,760 --> 00:34:36,840 Speaker 4: spell the wrong it's fun fairly spelled dollar. 709 00:34:36,960 --> 00:34:37,319 Speaker 6: How is it? 710 00:34:37,360 --> 00:34:39,120 Speaker 2: How do you spell it? R u p I A 711 00:34:39,440 --> 00:34:40,359 Speaker 2: h oh? 712 00:34:40,360 --> 00:34:41,160 Speaker 9: I was way off? 713 00:34:41,239 --> 00:34:43,800 Speaker 7: Okay, and our viewers will find that on the screen 714 00:34:44,000 --> 00:34:44,359 Speaker 7: as well. 715 00:34:45,680 --> 00:34:50,920 Speaker 4: Are tied right now, folks, we go to our third, 716 00:34:50,960 --> 00:34:51,680 Speaker 4: which is shoes. 717 00:34:51,760 --> 00:34:52,160 Speaker 7: Shoes. 718 00:34:52,239 --> 00:34:52,880 Speaker 9: Okay, here we go. 719 00:34:52,960 --> 00:34:56,560 Speaker 4: Actually, Japanese footboy company A six is spinning off one 720 00:34:56,560 --> 00:35:00,640 Speaker 4: of its fastest growing brands. What I'll give you a hint. 721 00:35:00,719 --> 00:35:01,879 Speaker 4: What cat is. 722 00:35:01,760 --> 00:35:03,200 Speaker 6: In the names? 723 00:35:03,239 --> 00:35:04,399 Speaker 4: There's a cat in the name. 724 00:35:06,680 --> 00:35:08,160 Speaker 7: Do we get bonus points if we say. 725 00:35:07,960 --> 00:35:09,879 Speaker 4: The first part of the fastest growing brain? 726 00:35:10,560 --> 00:35:13,279 Speaker 2: Ready, it's like a Brooklyn thing. 727 00:35:13,760 --> 00:35:14,400 Speaker 6: I did not know that. 728 00:35:14,520 --> 00:35:17,440 Speaker 7: Tiger tiger is correct? 729 00:35:17,920 --> 00:35:25,480 Speaker 4: David coming in years making it over years? 730 00:35:25,880 --> 00:35:26,680 Speaker 6: Those are for me? 731 00:35:27,680 --> 00:35:31,239 Speaker 7: I know, wow, I just it's there's a shadow being 732 00:35:31,280 --> 00:35:33,400 Speaker 7: cast from this tall stack of chips, and from that 733 00:35:33,480 --> 00:35:33,719 Speaker 7: is a. 734 00:35:33,760 --> 00:35:35,880 Speaker 2: Very tall we are literally tied. 735 00:35:38,560 --> 00:35:42,400 Speaker 4: Okay, all right, well, well that means we have a bonus. 736 00:35:42,520 --> 00:35:45,080 Speaker 7: I bought a pair of these shoes in the Singapore airport. Really, 737 00:35:45,440 --> 00:35:47,080 Speaker 7: did you know what they are? I don't care. What's 738 00:35:47,080 --> 00:35:50,840 Speaker 7: the first word? It's like I never heard of? 739 00:35:51,440 --> 00:35:52,719 Speaker 2: Are they always like yellow? 740 00:35:54,200 --> 00:35:56,040 Speaker 7: The Japanese name. But we're not going to make or 741 00:35:56,040 --> 00:36:00,960 Speaker 7: do that' suka tigers? Well a pair of all right? 742 00:36:01,080 --> 00:36:04,000 Speaker 7: Who makes them? ASEX makes them? 743 00:36:04,040 --> 00:36:04,279 Speaker 9: For now? 744 00:36:04,600 --> 00:36:10,080 Speaker 4: The tiger okay, wow, Lisa, First we have Almo, Now 745 00:36:10,120 --> 00:36:15,440 Speaker 4: we have tigers. We go onto phones already I have 746 00:36:15,480 --> 00:36:15,879 Speaker 4: one of those. 747 00:36:15,920 --> 00:36:16,640 Speaker 2: I have two of those. 748 00:36:17,239 --> 00:36:18,120 Speaker 7: You do have two of them? 749 00:36:18,320 --> 00:36:18,600 Speaker 6: Okay. 750 00:36:18,680 --> 00:36:21,920 Speaker 4: Apple announce an update to its operating system, with hints 751 00:36:21,920 --> 00:36:25,840 Speaker 4: in the code teasing and unveiling of what new product, 752 00:36:26,440 --> 00:36:30,440 Speaker 4: What new do? This one was being teased. What could 753 00:36:30,520 --> 00:36:32,319 Speaker 4: Apple possibly come out with? 754 00:36:35,520 --> 00:36:37,319 Speaker 7: I don't think about it. 755 00:36:37,360 --> 00:36:38,840 Speaker 4: We have the soothing music free. 756 00:36:38,880 --> 00:36:41,279 Speaker 7: I do love the soothing music, and I feel like 757 00:36:41,280 --> 00:36:43,200 Speaker 7: I've moved too quickly through this today. I'm gonna say 758 00:36:43,200 --> 00:36:44,040 Speaker 7: a ring, a. 759 00:36:44,080 --> 00:36:48,680 Speaker 4: Ring, a foldable phone, so she gets. 760 00:36:52,239 --> 00:36:54,320 Speaker 7: You get for you. 761 00:36:55,640 --> 00:36:58,640 Speaker 4: It is not it is not visual. Apple hasn't said it, 762 00:36:58,680 --> 00:36:59,680 Speaker 4: but yes. 763 00:36:59,560 --> 00:37:01,759 Speaker 7: The hit Mark German here is reported on this as well. 764 00:37:01,800 --> 00:37:04,120 Speaker 7: He's he's like, very enthusiastic about it. I fail to 765 00:37:04,160 --> 00:37:05,799 Speaker 7: see the utility myself, but he was saying, you get 766 00:37:05,880 --> 00:37:07,440 Speaker 7: unfold it would be like an iPad in front of 767 00:37:07,440 --> 00:37:09,719 Speaker 7: your self, so it would be and it wouldn't be 768 00:37:13,680 --> 00:37:14,680 Speaker 7: your phones unfolding. 769 00:37:14,960 --> 00:37:16,959 Speaker 2: This is a very large one. This is the Bloomberg phone. 770 00:37:16,960 --> 00:37:18,440 Speaker 2: This is an Android, This is my phone. This is 771 00:37:18,560 --> 00:37:21,160 Speaker 2: like but like, I don't need it to really be 772 00:37:21,239 --> 00:37:21,720 Speaker 2: this big. 773 00:37:21,840 --> 00:37:23,799 Speaker 7: This is well, I don't know. You could watch you 774 00:37:23,800 --> 00:37:26,360 Speaker 7: could watch this show. You could watch Bloomberg this weekend 775 00:37:26,480 --> 00:37:28,719 Speaker 7: at Bloomberg dot Common of the Bloomberg Anywhere app, and 776 00:37:28,760 --> 00:37:31,279 Speaker 7: if you had a wide openable phone, think of how 777 00:37:31,280 --> 00:37:34,200 Speaker 7: great it would be to see that in wider relief. 778 00:37:34,520 --> 00:37:36,400 Speaker 2: But it's going to be heavier, it's going to be clocklier. 779 00:37:36,719 --> 00:37:38,319 Speaker 2: I would take it, honestly, I would take it if 780 00:37:38,320 --> 00:37:40,120 Speaker 2: it just folded into half of this. 781 00:37:40,120 --> 00:37:42,719 Speaker 7: Size like that like a Federolla rasor. 782 00:37:42,560 --> 00:37:44,920 Speaker 2: Yeah, something that goes into an evening bag a little bit. 783 00:37:45,040 --> 00:37:47,359 Speaker 4: Be afraid of it breaking. I'm very I don't know. 784 00:37:47,520 --> 00:37:48,880 Speaker 4: I would probably break it. 785 00:37:49,520 --> 00:37:51,319 Speaker 2: That's fair, or like if you have kids, I can 786 00:37:51,320 --> 00:37:53,160 Speaker 2: see kids going in like breaking. 787 00:37:53,200 --> 00:37:55,120 Speaker 7: Then well, we hope that Tim Cook is taking all 788 00:37:55,120 --> 00:37:57,200 Speaker 7: of this into account as he thinks about whether or 789 00:37:57,239 --> 00:37:58,960 Speaker 7: not to debut this phone at the limited time he 790 00:37:59,000 --> 00:37:59,960 Speaker 7: has left. Is the CEO of it. 791 00:38:00,200 --> 00:38:01,680 Speaker 2: I would love it. If Tim we're watching our show. 792 00:38:01,719 --> 00:38:04,520 Speaker 2: I would not recommend listening to me on any technology 793 00:38:04,560 --> 00:38:07,640 Speaker 2: product placement ideas or development ideas. I guess is where 794 00:38:07,640 --> 00:38:07,960 Speaker 2: I'm at. 795 00:38:07,960 --> 00:38:09,960 Speaker 7: You can test your knowledge on all ten questions if 796 00:38:09,960 --> 00:38:12,120 Speaker 7: these six word enough take the point of news quiz 797 00:38:12,120 --> 00:38:14,600 Speaker 7: at Bloomberg dot Com. Slash pointed Christina's you're so fond 798 00:38:14,600 --> 00:38:16,160 Speaker 7: of pointing out multiple choice. 799 00:38:16,239 --> 00:38:18,560 Speaker 2: It is easier online and there are more of them, 800 00:38:18,640 --> 00:38:20,640 Speaker 2: so you get more chances than we do. It's kind 801 00:38:20,640 --> 00:38:25,000 Speaker 2: of right or die here on the weekends. Thanks for 802 00:38:25,120 --> 00:38:28,320 Speaker 2: joining us on today's Bloomberg This Weekend podcast. Don't forget 803 00:38:28,320 --> 00:38:30,520 Speaker 2: to tune in live for the show every Saturday and 804 00:38:30,640 --> 00:38:32,640 Speaker 2: Sunday morning, starting at seven am Eastern. 805 00:38:32,719 --> 00:38:35,760 Speaker 3: We're on Bloomberg Television, Radio and the Bloomberg Business App, 806 00:38:35,840 --> 00:38:39,960 Speaker 3: bringing you unique takes and in depth interviews on news, politics, lifestyle, 807 00:38:40,080 --> 00:38:40,640 Speaker 3: and culture.