Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: What a treat you're on a Friday parachuting in After
Speaker 2: World Travels, Dan Ives It joins us here, Dan, I'm
Speaker 2: supposed to talk about Apple and Nvidia. Forget about it.
Speaker 2: Here's the zeitgeist this morning, folks and Doug cast. Thank
Speaker 2: you for sending this on Trumany. Jeff Curry's out on
Speaker 2: the Twitter on this as well. Guess what tokens costs money? OMG,
Speaker 2: look at the cfo's bill for doing AI in your company.
Speaker 3: Dan Ives.
Speaker 2: Deloitte wrote this up in January, like eighty pages.
Speaker 3: OMG, this is going to be expensive.
Speaker 2: You see Microsoft limiting use of Claude because it's too expensive.
Speaker 3: How is this going to play out? Dan Ives?
Speaker 1: I mean, look, it just speaks to we're still in
Speaker 1: the early stage.
Speaker 3: Agreed.
Speaker 4: There's more data centers being built.
Speaker 1: In active data centers, costs over time will come down,
Speaker 1: but right now in this arms is no company, whether
Speaker 1: it's large cap tech, small cap international, could basically not
Speaker 1: go down this route because eventually what's going to happen
Speaker 1: is the cost and the monizition they'll flip flop over
Speaker 1: the next few years.
Speaker 4: And that's why companies are spending at this page.
Speaker 2: I agree on that, but on a macro basis in
Speaker 2: your world famous on this, Does that mean we see
Speaker 2: a consolidation within the industry?
Speaker 3: And is that in the second inning?
Speaker 2: Year? Is it red Sox try to get to fourth
Speaker 2: of July? Or is it in the eighth inning and
Speaker 2: the Yankees are ready to lose to the Blue Jays again?
Speaker 1: Which is it it's second and third inning? Because this
Speaker 1: is look it speaks to like the bears in their
Speaker 1: caves hibernation mood that have missed every transmission in TECHTOC
Speaker 1: the last twenty years. They'll continue to miss the AI
Speaker 1: trade underestimating the scale and scope of what the spending
Speaker 1: looks like. And I've seen it, you know, just even
Speaker 1: a few weeks ago in Taiwan, Ineesia.
Speaker 4: Demand the supply is what twelve to one and that is.
Speaker 1: Going to continue to drive this massive capax and the
Speaker 1: ripple effects across tech energy and everything else.
Speaker 2: Damian Torsten Slock, publishing moments ago for a pull of
Speaker 2: global management it capex now counts for more than one
Speaker 2: third of S and P five hundred CAPEX spending.
Speaker 5: Well, I mean I have to, I mean, wow, I mean,
Speaker 5: but I have to you know, let's just shift the way. Here.
Speaker 5: We have the world's largest I mean, on record IPO
Speaker 5: coming out in SpaceX here, and I just got to
Speaker 5: ask you, Dan, I mean, what are your thoughts here
Speaker 5: on Musk and and shareholder rights and minority rights and control?
Speaker 5: I mean, is this unusual the type of structure we're
Speaker 5: seeing here?
Speaker 1: Bottom line is betting against Musk. It's been the historically
Speaker 1: wrong move for investors, right, and I think many were
Speaker 1: in that betting against Tesla. You're betting on Musk. And
Speaker 1: I get some of the in terms of voting rights
Speaker 1: and things like that. Book Space actually talking about one
Speaker 1: of one relative to what's going to really create a
Speaker 1: whole new category of investing.
Speaker 4: And as you've seen in the private markets.
Speaker 1: You know, there's more stock has come veb over the
Speaker 1: last you know, call it three or six months. And
Speaker 1: we're talking about a watershed movement, not just for Musk,
Speaker 1: not just for SpaceX, but as we've talked that we
Speaker 1: think a year from now over an eighty percent chance
Speaker 1: SpaceX and Tessa merge.
Speaker 3: Wow.
Speaker 5: So if that happens, I mean, we're how do investor's position,
Speaker 5: how do you take advantage of that. Let's put our
Speaker 5: merger on.
Speaker 4: Well you buy Tessa.
Speaker 1: I mean to some extent because from evaluation respective, I
Speaker 1: think Tesla we've talked about it is almost a double
Speaker 1: from here relative to the pure opportunities became out autonomous
Speaker 1: robotics and where this is all going in terms of.
Speaker 4: The next level of AA. And that's why Musk is
Speaker 4: doing this to bring this all under onehood.
Speaker 2: On a Friday of Memorial Day, did could you see
Speaker 2: Dan Ives out in the backyard with a grill?
Speaker 3: I mean not Michael Barr.
Speaker 2: Do you think he's doing like the whole thing, the
Speaker 2: grilled chicken, the long time got long.
Speaker 3: Time one at the grill. I could see.
Speaker 2: I could just see him, you know, you know, with
Speaker 2: the Milwaukee Best in his hand and the whole thing
Speaker 2: Dan give me. Microsoft is just you know, a stock idea.
Speaker 2: You're on it, Acmans on it.
Speaker 3: I get it.
Speaker 2: What's the why the distinction? The differential of Microsoft.
Speaker 1: Look kind of right now because of Google and the
Speaker 1: success massive that they've had in Amazon, there's a view,
Speaker 1: especially with open Ai, that sort of competition and Microsoft's
Speaker 1: starting to lose in the game. I just strongly disagree
Speaker 1: because as enterprises move to Azure and they move on
Speaker 1: the AI stack, They're gonna move in Microsoft. Look, Microsoft
Speaker 1: and Apple are the two most I viewed table pound
Speaker 1: their large cap names relative to where their trade. We've
Speaker 1: talked about one hundred and fifty dollars upside of Microsoft here.
Speaker 1: They will prove themselves over the next six twelve months.
Speaker 1: They will be the Google of twenty twenty five. That's
Speaker 1: where I view Microsoft in terms of that.
Speaker 4: You know that that prove.
Speaker 2: Moment generous of you to be with us on this
Speaker 2: Friday day nights with Wetbush Securities. Thank you so much.
Speaker 2: Next time he's on, folks, we'll do the stock thing,
Speaker 2: you know, Apple and Idiot and all that