WEBVTT - Wedbush's Dan Ives Talks SpaceX IPO Plans

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news.

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<v Speaker 2>What a treat you're on a Friday parachuting in After

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<v Speaker 2>World Travels, Dan Ives It joins us here, Dan, I'm

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<v Speaker 2>supposed to talk about Apple and Nvidia. Forget about it.

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<v Speaker 2>Here's the zeitgeist this morning, folks and Doug cast. Thank

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<v Speaker 2>you for sending this on Trumany. Jeff Curry's out on

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<v Speaker 2>the Twitter on this as well. Guess what tokens costs money? OMG,

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<v Speaker 2>look at the cfo's bill for doing AI in your company.

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<v Speaker 3>Dan Ives.

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<v Speaker 2>Deloitte wrote this up in January, like eighty pages.

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<v Speaker 3>OMG, this is going to be expensive.

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<v Speaker 2>You see Microsoft limiting use of Claude because it's too expensive.

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<v Speaker 3>How is this going to play out? Dan Ives?

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<v Speaker 1>I mean, look, it just speaks to we're still in

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<v Speaker 1>the early stage.

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<v Speaker 3>Agreed.

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<v Speaker 4>There's more data centers being built.

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<v Speaker 1>In active data centers, costs over time will come down,

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<v Speaker 1>but right now in this arms is no company, whether

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<v Speaker 1>it's large cap tech, small cap international, could basically not

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<v Speaker 1>go down this route because eventually what's going to happen

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<v Speaker 1>is the cost and the monizition they'll flip flop over

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<v Speaker 1>the next few years.

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<v Speaker 4>And that's why companies are spending at this page.

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<v Speaker 2>I agree on that, but on a macro basis in

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<v Speaker 2>your world famous on this, Does that mean we see

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<v Speaker 2>a consolidation within the industry?

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<v Speaker 3>And is that in the second inning?

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<v Speaker 2>Year? Is it red Sox try to get to fourth

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<v Speaker 2>of July? Or is it in the eighth inning and

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<v Speaker 2>the Yankees are ready to lose to the Blue Jays again?

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<v Speaker 1>Which is it it's second and third inning? Because this

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<v Speaker 1>is look it speaks to like the bears in their

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<v Speaker 1>caves hibernation mood that have missed every transmission in TECHTOC

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<v Speaker 1>the last twenty years. They'll continue to miss the AI

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<v Speaker 1>trade underestimating the scale and scope of what the spending

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<v Speaker 1>looks like. And I've seen it, you know, just even

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<v Speaker 1>a few weeks ago in Taiwan, Ineesia.

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<v Speaker 4>Demand the supply is what twelve to one and that is.

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<v Speaker 1>Going to continue to drive this massive capax and the

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<v Speaker 1>ripple effects across tech energy and everything else.

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<v Speaker 2>Damian Torsten Slock, publishing moments ago for a pull of

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<v Speaker 2>global management it capex now counts for more than one

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<v Speaker 2>third of S and P five hundred CAPEX spending.

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<v Speaker 5>Well, I mean I have to, I mean, wow, I mean,

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<v Speaker 5>but I have to you know, let's just shift the way. Here.

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<v Speaker 5>We have the world's largest I mean, on record IPO

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<v Speaker 5>coming out in SpaceX here, and I just got to

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<v Speaker 5>ask you, Dan, I mean, what are your thoughts here

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<v Speaker 5>on Musk and and shareholder rights and minority rights and control?

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<v Speaker 5>I mean, is this unusual the type of structure we're

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<v Speaker 5>seeing here?

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<v Speaker 1>Bottom line is betting against Musk. It's been the historically

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<v Speaker 1>wrong move for investors, right, and I think many were

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<v Speaker 1>in that betting against Tesla. You're betting on Musk. And

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<v Speaker 1>I get some of the in terms of voting rights

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<v Speaker 1>and things like that. Book Space actually talking about one

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<v Speaker 1>of one relative to what's going to really create a

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<v Speaker 1>whole new category of investing.

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<v Speaker 4>And as you've seen in the private markets.

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<v Speaker 1>You know, there's more stock has come veb over the

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<v Speaker 1>last you know, call it three or six months. And

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<v Speaker 1>we're talking about a watershed movement, not just for Musk,

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<v Speaker 1>not just for SpaceX, but as we've talked that we

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<v Speaker 1>think a year from now over an eighty percent chance

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<v Speaker 1>SpaceX and Tessa merge.

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<v Speaker 3>Wow.

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<v Speaker 5>So if that happens, I mean, we're how do investor's position,

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<v Speaker 5>how do you take advantage of that. Let's put our

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<v Speaker 5>merger on.

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<v Speaker 4>Well you buy Tessa.

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<v Speaker 1>I mean to some extent because from evaluation respective, I

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<v Speaker 1>think Tesla we've talked about it is almost a double

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<v Speaker 1>from here relative to the pure opportunities became out autonomous

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<v Speaker 1>robotics and where this is all going in terms of.

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<v Speaker 4>The next level of AA. And that's why Musk is

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<v Speaker 4>doing this to bring this all under onehood.

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<v Speaker 2>On a Friday of Memorial Day, did could you see

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<v Speaker 2>Dan Ives out in the backyard with a grill?

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<v Speaker 3>I mean not Michael Barr.

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<v Speaker 2>Do you think he's doing like the whole thing, the

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<v Speaker 2>grilled chicken, the long time got long.

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<v Speaker 3>Time one at the grill. I could see.

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<v Speaker 2>I could just see him, you know, you know, with

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<v Speaker 2>the Milwaukee Best in his hand and the whole thing

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<v Speaker 2>Dan give me. Microsoft is just you know, a stock idea.

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<v Speaker 2>You're on it, Acmans on it.

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<v Speaker 3>I get it.

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<v Speaker 2>What's the why the distinction? The differential of Microsoft.

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<v Speaker 1>Look kind of right now because of Google and the

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<v Speaker 1>success massive that they've had in Amazon, there's a view,

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<v Speaker 1>especially with open Ai, that sort of competition and Microsoft's

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<v Speaker 1>starting to lose in the game. I just strongly disagree

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<v Speaker 1>because as enterprises move to Azure and they move on

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<v Speaker 1>the AI stack, They're gonna move in Microsoft. Look, Microsoft

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<v Speaker 1>and Apple are the two most I viewed table pound

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<v Speaker 1>their large cap names relative to where their trade. We've

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<v Speaker 1>talked about one hundred and fifty dollars upside of Microsoft here.

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<v Speaker 1>They will prove themselves over the next six twelve months.

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<v Speaker 1>They will be the Google of twenty twenty five. That's

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<v Speaker 1>where I view Microsoft in terms of that.

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<v Speaker 4>You know that that prove.

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<v Speaker 2>Moment generous of you to be with us on this

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<v Speaker 2>Friday day nights with Wetbush Securities. Thank you so much.

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<v Speaker 2>Next time he's on, folks, we'll do the stock thing,

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<v Speaker 2>you know, Apple and Idiot and all that