Speaker 1: From Marhart where Innovation, Money and Power Collie in Silicon.
Speaker 2: Valley, NBON. This is Bloomberg Technology with Caroline Hyde and
Speaker 2: Ed loud Love.
Speaker 3: Live from Los Angeles, California at Bloomberg screen Time.
Speaker 4: I'm Caroline High and I Med Ludlow.
Speaker 5: Coming up, we'll have full coverage from the event, covering
Speaker 5: the intersections of Hollywood, Silicon Valley and beyond.
Speaker 3: And look throughout the program, we're going to be hearing
Speaker 3: from industry leaders Ari Emmanuel have Endeavored, Donna Langley of NBCUniversal,
Speaker 3: Nora Meeli of EA, and so much more.
Speaker 5: Screen Time gathers moguls, celebrities and entrepreneurs defining the next
Speaker 5: phase of pop culture.
Speaker 4: We'll discuss and debate the.
Speaker 5: Future of cinema, the boom in streaming audio and video,
Speaker 5: the latest sports and gaming sperience, is in the potential
Speaker 5: impact of artificial intelligence, and much.
Speaker 3: More, including of course, no what has been top of
Speaker 3: mind for all investors, for all executives, indeed all citizens.
Speaker 3: To add at large, we are thinking about the war
Speaker 3: between Israel and Hamas. That's where the conversation started. One
Speaker 3: of the most prominent Hollywood executives, Ari Emmanuel Endeva, and
Speaker 3: TKO Group holding CEO himself Jewish. He sat down with
Speaker 3: Bloomberg's Lukashaw.
Speaker 6: He nominated a Minister of Homeland Security that didn't even
Speaker 6: serve the mandatory military term required in all of Israel.
Speaker 6: He nominated a second Minister of Defense who barely was
Speaker 6: a soldier. He fired the minister who was a general
Speaker 6: and had to bring him back because of public pressure.
Speaker 6: He refused to meet with key military figures. He was
Speaker 6: trying to change the Supreme Court because he had to
Speaker 6: keep himself out of jail.
Speaker 2: And this led to a vulnerability that is unprecedented.
Speaker 6: And this would be like thirty thousand Americans dying in
Speaker 6: nine to eleven. That's what happened in Israel. And I
Speaker 6: just think it's time that we get rid of this man.
Speaker 5: That was Ari Emmanuel Endevor Antikoco. I want to bring
Speaker 5: in Bloomberg's Lucas Shaw, managing editor leading our screen time coverage.
Speaker 5: You have put this event together, and my goodness, in
Speaker 5: terms of an individual name, what a way to start.
Speaker 5: I thought there was one rule in Hollywood you do
Speaker 5: not go in public and talk about your biggest competitors,
Speaker 5: and Ari Emmanuel did that and he had strong words
Speaker 5: for CA in particularly explain that to us.
Speaker 1: Yeah.
Speaker 7: Look, Ari Emmanuel has never been shy about criticizing his competitors.
Speaker 7: He's perhaps one of the few people who who doesn't
Speaker 7: follow that rule. He as he does, went out of
Speaker 7: his way to criticize them on two fronts. One was
Speaker 7: specific to this lawsuit that's related to Harvey Weinstein and
Speaker 7: assault and what CA may or may not have been
Speaker 7: involved in with that. I'm not going to get into
Speaker 7: specifics of it because it's a lawsuit and honestly I'm
Speaker 7: not the expert. All I do know is that I'll
Speaker 7: be asking in CA CEO Brian Lord about our's comments
Speaker 7: later today. He did also, of course criticize the business
Speaker 7: because he has taken a very different path from CAA.
Speaker 7: He has built a media company off of a talent agency,
Speaker 7: where a CA has really struck the talent representation, and
Speaker 7: I think Ari prefers his choice, and.
Speaker 3: Of course his choice being what they discuss of a
Speaker 3: flywheel effect, this idea that they're able to make acquisitions,
Speaker 3: able to build on particularly sports with media, and this
Speaker 3: is why we want to go with the next piece
Speaker 3: of well conversation you had yesterday just discussing the PGA
Speaker 3: in particular.
Speaker 8: Take a listen, we put in our bid, Yeah for
Speaker 8: what for the PGA deal for a piece of the
Speaker 8: tour or for the whole thing for the PGA.
Speaker 7: Yeah no, a piece whole.
Speaker 2: You can't. You can't buy the majority. Okay, thank you.
Speaker 2: I would love to.
Speaker 7: Now, on the sports rights front, a lot of this
Speaker 7: is predicated on that market keep continuing to increase.
Speaker 2: That has been.
Speaker 7: Ballooning for a long long time, given what you're seeing
Speaker 7: with the kind of continued collapse of TV.
Speaker 2: The way that Okay, I'm not going to.
Speaker 6: Interrupt you, Okay, n if you have a ten year
Speaker 6: deal with linear television ten years, okay.
Speaker 2: The linear business is not going there.
Speaker 6: They've also made deals on digital. We did the same thing, ESPN,
Speaker 6: ESPN Plus. On the USC side, wwe did Peacock Showtime
Speaker 6: I mean, USA Network.
Speaker 2: And Fox, which is whatever. So the linear business is
Speaker 2: not going anywhere. The sports business.
Speaker 6: Is moving and is going to figure itself out between
Speaker 6: digital and linear. It's an unbelievably healthy market. They all
Speaker 6: have to be in it.
Speaker 2: They all want to be every single one of the.
Speaker 6: Players want to be in it because of the audience
Speaker 6: we have two assets in the sports businesses that don't
Speaker 6: have our year long, don't have a season. I don't
Speaker 6: believe prices are going down. You're going to figure out
Speaker 6: the bifurcation of the rights and give things up, not
Speaker 6: give things up.
Speaker 7: How long do you think it is before Netflix actually
Speaker 7: jumps into sports?
Speaker 2: You know they're in sports right now. They just do
Speaker 2: the shoulder programming. Yeah.
Speaker 6: I think their point of view, and you'll last ted
Speaker 6: tomorrow is we build up the We don't want to
Speaker 6: be in the bidding of rights and then not have
Speaker 6: any long tail.
Speaker 2: So I'm not sure if they did bid on Formula
Speaker 2: one and but Yespan got it.
Speaker 6: So I think that was a smaller package, meaning smaller economics.
Speaker 2: So we'll see that.
Speaker 7: We've We've gone through all this time without talking about Hollywood,
Speaker 7: So now I got to ask you about that Hollywood.
Speaker 6: Yes, Oh wow, I was all I only studied about sports.
Speaker 7: Yeah, I think you're you know you're talking about Do
Speaker 7: you still consider yourself an agent?
Speaker 2: Yeah, I'm in it. I'm an agent. Yeah.
Speaker 6: I got Marty's movie coming out, Marius Scorsese's Yeah.
Speaker 2: Yeah.
Speaker 6: I just finished a pretty significant two significant deals at
Speaker 6: Netflix for significant amount of money for two big.
Speaker 2: Clients to share. I think they've got a with Tyler
Speaker 2: Perry and David Ellison.
Speaker 6: And yeah, I mean I'm I'm in it every day
Speaker 6: with clients every day.
Speaker 3: He's still an agent, he's still a deal maker, Lucas
Speaker 3: and that was another interesting furrow of conversation for you. Ultimately,
Speaker 3: UFC wwe coming together. This is why he's got a
Speaker 3: new name. Tko CEO two.
Speaker 7: Yeah, I would love to know if you could talk
Speaker 7: to Ari Emmanuel in like the late nineties, early two
Speaker 7: thousands and tell him he was eventually going to be
Speaker 7: the king of combat sports. I don't know that he
Speaker 7: would have believed that. I mean, he has clearly always
Speaker 7: aspired two more. He doesn't want to just be an agent.
Speaker 7: He wanted to build an empire, and he has acquired
Speaker 7: like thirty forties.
Speaker 4: The empire building continues.
Speaker 5: That was what was amazing on stage, the little hints
Speaker 5: he dropped about the rights deals, six bidders, talking about
Speaker 5: raw and SmackDown. You know, he doesn't hesitate to say,
Speaker 5: oh I got this, we're doing business.
Speaker 2: Yeah.
Speaker 7: Well look he's done it before.
Speaker 2: With the UFC.
Speaker 4: People doubted him.
Speaker 7: They didn't think he'd find a deal, and he ended
Speaker 7: up getting Disney to pay him off fortune and it
Speaker 7: inflated the value of UFC by billions of dollars.
Speaker 4: Can you go.
Speaker 3: Into that element of trying to explain it feels like
Speaker 3: to ant to investors what his business is all about?
Speaker 4: He kept he tried.
Speaker 3: Yeah, I think he's kind of turning to this idea
Speaker 3: that is sort of he's misunderstood. Well, how do you
Speaker 3: buy that?
Speaker 2: Well, he's always had this problem.
Speaker 7: Right when Endeavor first went public or tried to go public,
Speaker 7: they called it off because people didn't know what they
Speaker 7: were buying. They had half of UFC, but not the
Speaker 7: whole thing. Then they had all these other things like
Speaker 7: professional ball writing and the talent agency, and nobody really
Speaker 7: knew how to value it. Yes, and it's still a
Speaker 7: hangover for the stock because yes, they have TKO as
Speaker 7: like simplified UFCWWE, but then they have all these other
Speaker 7: assets in Endeavor, which owns a big piece of TKO.
Speaker 7: And he has tried every time I've spoken with him
Speaker 7: a lot of his media appearances to kind of convince
Speaker 7: investors otherwise, and so far it just hasn't worked.
Speaker 5: We had the charts off on the screen, right off
Speaker 5: the share prices of each of those companies, and him
Speaker 5: sort of turn over his shoulder and go, that's not right.
Speaker 4: You know, it should be going in the other direction.
Speaker 5: He is regarded still a super agent, and he actually
Speaker 5: kind of gave some details about deals he's done recently,
Speaker 5: four clients with Netflix.
Speaker 4: I was surprised to hear that.
Speaker 7: Well, the Tyler Perry one. I don't know if it
Speaker 7: had been announced or not. That David Allison one has
Speaker 7: been reported but not officially announced. I assume that he
Speaker 7: was referring to this NFL project that that David Allison,
Speaker 7: who is Larry Ellison's son and a big deal Hollywood producer,
Speaker 7: is doing with Netflix. He obviously didn't get into the specifics,
Speaker 7: but one of the great things about interviewing Ari is
Speaker 7: that he's just a little more open and transparent than
Speaker 7: most media executives.
Speaker 3: Well, let's talk about some of the other media executive
Speaker 3: You're gonna be speaking to you later on the day,
Speaker 3: because I'm going to sure we got to tease out
Speaker 3: some open and from all of them.
Speaker 7: Have you got Yeah, we got ten surroundas to start
Speaker 7: the day. Co CEO of Netflix said about ten Pacific.
Speaker 7: Then we've got the CEO of YouTube, Neil Mohan. Later
Speaker 7: in the day, we've got the kind of king of
Speaker 7: K pop, Banksy Huck.
Speaker 2: Let's see.
Speaker 7: We got c's Brian Lord, who will probably respond to
Speaker 7: what our Emmanuel said. We got Bill Simmons, the podcaster
Speaker 7: Chris Jenner. It's going to be a great day.
Speaker 3: It is going to be a really great day.
Speaker 5: You know, we're framing screen time is where Silicon Valley
Speaker 5: meets Hollywood, but that is completely true. Think about the
Speaker 5: names that Lucas just reeled off, Netflix, YouTuber, property of Google, Alphabet.
Speaker 5: This is really happening, as you know, spare a thought
Speaker 5: for video games. How you know the billions of dollars
Speaker 5: behind that industry, and we're gonna have some really good
Speaker 5: conversations about that too.
Speaker 3: Yeah, throughout this particular show, I also think cudos to
Speaker 3: Lucas and Lucas Shawy, thank you for joining us on televisions.
Speaker 3: Go scootle off to go and do some of those
Speaker 3: key interviews. But I think what's really notable is the
Speaker 3: amount of diversity that we've got here as well, women, men,
Speaker 3: people of color, and I think that's going to be
Speaker 3: a really thoughtful conversation with some of the key investors
Speaker 3: that we're going to have on the show is ultimately,
Speaker 3: how are you still thinking about diversity in Hollywood as well?
Speaker 3: Live from Los Angeles, California and Bloomberg's screen Time, I'm
Speaker 3: Caroline Hyde.
Speaker 4: And Imed Ludlow.
Speaker 5: Look, this is a massive industry we're about to talk about.
Speaker 5: It's not the silver screen, it's video games, and what
Speaker 5: a moment this industry has had this year. We're delighted
Speaker 5: to be joined by EA Entertainment.
Speaker 4: President Laura Meeli.
Speaker 5: I worked out overnight that the first year I played
Speaker 5: FIFA the globally recognized football or soccer game was in
Speaker 5: two thousand and two.
Speaker 4: Tierryon Ree was on the cover of that title.
Speaker 2: Amazing.
Speaker 5: The big development for you is you've renamed EAFC and
Speaker 5: you've changed the deal with FIFA. That's well documented. It's
Speaker 5: been about a week of full distribution. Can you give
Speaker 5: us a sense of how that's gone. That was a
Speaker 5: big change for a lot of fans.
Speaker 9: Oh, it's a big change for all of us in
Speaker 9: the industry. We're so optimistic about what this change means
Speaker 9: for our future, and we certainly will talk more about
Speaker 9: FC and our earnings call. But I will tell you
Speaker 9: early reads from our players which matter the most, that
Speaker 9: the sentiment is very high, engagements high, and they're incredibly
Speaker 9: excited about the quality of the game. And this is
Speaker 9: just an incredible moment for us to launch our own
Speaker 9: brand MBA Sports Football Club FC around the world, and
Speaker 9: so we are looking forward to another thirty years of
Speaker 9: incredible game experience as we get to bring to players.
Speaker 4: I just want to jump in out.
Speaker 5: You know your job is the licensing the studios. Will
Speaker 5: you have it to ever go back to FIFA, and
Speaker 5: you know, the point was that they asked for too
Speaker 5: much money, right.
Speaker 9: What we saw was a great opportunity for us to
Speaker 9: actually have more flexibility, more creativity. We have over three
Speaker 9: hundred clubs in the game, so it allows us more
Speaker 9: deeper partnerships with them. It allows us to have partnerships
Speaker 9: with place with people like Nike, which is great for
Speaker 9: our players, and we can also have more creative creator
Speaker 9: tools for players in the game. So it's really a
Speaker 9: significant opportunity for us to evolve and change the experience
Speaker 9: and we will. FIFA is a great partner for us
Speaker 9: and we had a great partnership together, so we will
Speaker 9: we will look to potentially do World Cup partnerships in
Speaker 9: the future as possible. So it's it's just a bigger future,
Speaker 9: more expansive, is how we're thinking about it.
Speaker 3: Let's talk about creative tools and the studios with which
Speaker 3: in way they developed these games. Right now, the oxygen
Speaker 3: is sucked out the room all around AI this year.
Speaker 3: Is that something you've been leaning into thinking about the
Speaker 3: way in which this is going to really supercharge the
Speaker 3: way in which you can provide content? Right now?
Speaker 9: AI is such an exciting topic, isn't it? For so
Speaker 9: many companies, and particularly for gaming. And I would say,
Speaker 9: and I just I also went back to the archives
Speaker 9: and was thinking about AI for electronic arts. We're such
Speaker 9: a native AI entertainment company. Back in nineteen eighty eight,
Speaker 9: twenty two of the players and Madden were AI players,
Speaker 9: and so we've always have been connected to it. But
Speaker 9: this is certainly a new era and certainly a new
Speaker 9: phase for AI, and we are thinking about it in
Speaker 9: three ways. It's definitely going to optimize what we have
Speaker 9: for tools and workflows and help our developers and players
Speaker 9: create more better experiences. There's also going to be a
Speaker 9: significant expansion, expander of content and frequency and how we
Speaker 9: show up, and it can also be an incredibly transformative
Speaker 9: with business models.
Speaker 2: Our scale.
Speaker 9: We have seven hundred million players in our network and
Speaker 9: so the idea around moderating content for them and keeping
Speaker 9: communities safe is going to be as going to plan
Speaker 9: a meaningful role for us in that transformation in our scale.
Speaker 3: Laura, what's interesting is going back in your rochives, you've
Speaker 3: been at the business for twenty seven.
Speaker 4: Years something like that.
Speaker 3: I was very young, very young, but you've scaled. And
Speaker 3: what's interesting is when you look at your titles, you've
Speaker 3: been well highlighted. Is one of the most powerful women
Speaker 3: in sports, so you're on the board of governors to
Speaker 3: the British Film Institute. Like this shows the power of
Speaker 3: gaming because it isn't just about gaming, it's IP and
Speaker 3: it's very nature intern Yeah, tell us about the scale
Speaker 3: of the industry. Does it go on notice sometimes do.
Speaker 9: You think, oh gosh, perhaps, I mean gamers. There's three
Speaker 9: point five billion gamers in the world, so they certainly
Speaker 9: are noticing what we're creating. And it's the close to
Speaker 9: a three hundred and fifty billion dollar industry, so it's significant.
Speaker 9: And certainly outsizes some of the media, you know, the
Speaker 9: movie and TV content for sure. But the thing I'm
Speaker 9: most excited about is what gaming brings to culture and
Speaker 9: what bring gaming rings to society.
Speaker 2: So gaming is.
Speaker 9: Certainly about play. People are creating, they have creative self
Speaker 9: expression in our games, they're watching other people play games,
Speaker 9: and most importantly, they're socially connecting around all of this.
Speaker 9: And so it is a sizeable industry. A lot of
Speaker 9: people play games. We are incredibly inspired by that, and
Speaker 9: we have such a runway and so much growth ahead
Speaker 9: of us. You think about gen Z gen also, they
Speaker 9: have grown up like this is their number onement medium,
Speaker 9: They're number one preferred choice. And so the idea that
Speaker 9: that is that this is ahead of us, and that
Speaker 9: they are just entering into market and then generations behind them.
Speaker 9: I'm just optimistic about the growth ahead.
Speaker 5: Still, the seismic shift in your industry is Microsoft's acquisition
Speaker 5: of Activision. If it goes through as expected in the
Speaker 5: Connect couple of weeks, where does that leave EA. You're
Speaker 5: basically the biggest independent studio left.
Speaker 4: So do you become a target?
Speaker 5: Frankly hard question, but how do you stay competitive?
Speaker 2: Well?
Speaker 9: What an amazing deal, right, I mean, I believe you're
Speaker 9: positive about it. I am positive about the deal. This
Speaker 9: is this, this will look to be the largest technology
Speaker 9: acquisition in US history. I believe you will know more
Speaker 9: than I do about that. And it's and it's about
Speaker 9: a gaming company, and so I just think it punctuates
Speaker 9: the significance of gaming and the role that we play
Speaker 9: in media and entertainment and technology. So I'm very optimistic
Speaker 9: about what this all means as an expander of how
Speaker 9: we're seeing and how we can partner and the significance
Speaker 9: of gaming and culture in general. And for electronic arts.
Speaker 9: We you know, we know that making games is hard.
Speaker 3: Actually it's a very.
Speaker 9: Very complicated, high form of media. A lot, yes, and
Speaker 9: a lot of money, a lot of time, A lot
Speaker 9: of companies have tried, and so yes, of course, I
Speaker 9: would imagine that companies are interested in electronic arts because
Speaker 9: what we do is very hard, and we are very
Speaker 9: good at making good games, and so but I would
Speaker 9: say that we're just mostly focused on our strategy, mostly
Speaker 9: focused on the future and executing really well for the
Speaker 9: growth plans that we have ahead.
Speaker 3: It's so wonderful to have some time with you and
Speaker 3: the work you've done in diversity and showing that it's
Speaker 3: a diverse community that's building AA over there with you
Speaker 3: as well. We really appreciate it. EA Entertainment President Laura Merely,
Speaker 3: We thank you for a time so much more ahead
Speaker 3: across the world of entertainment. You've got exclusive access right
Speaker 3: now to Bloomberg screen Time.
Speaker 5: Okay, live from Los Angeles, California, Bloomberg screen Time.
Speaker 3: I'm Ed Ludlow, I'm Caroline Hyde and here at screen Time,
Speaker 3: they've identified the ones to watch in the future of business,
Speaker 3: the entertainment Hollywood fuses with gaming, and we're so pleased
Speaker 3: to really dig into what the future of content is,
Speaker 3: where you're making it, how you're consuming it. With Paige Elkington,
Speaker 3: she's a content creator, she's a podcaster, and also she's
Speaker 3: been featured as Bloomberg Business Weeks want to watch page Welcome, Hi,
Speaker 3: thank you for having me.
Speaker 4: How do we.
Speaker 3: Describe what your role is?
Speaker 4: Yeah, like, what's your job?
Speaker 10: Yes, exactly. I am a very annoying multi hyphen it
Speaker 10: that is very popular these days, but I have.
Speaker 4: Multiple income streams.
Speaker 10: But I make content mostly for brands to help sell
Speaker 10: their products, and then I do traditional acting and podcasting
Speaker 10: and writing as well.
Speaker 3: And the reason brands come to you is because of
Speaker 3: your reach, because of the impact you make in the
Speaker 3: content you've produce across platforms. What do you make of
Speaker 3: the content that you could be putting out? Where do
Speaker 3: you align yourself? Is it TikTok is the sure about Instagram?
Speaker 3: Do you still even go on x so?
Speaker 10: I think TikTok is absolutely the future. I think in
Speaker 10: terms of TikTok ads, the amount.
Speaker 4: That you can go viral on TikTok.
Speaker 9: Is so significant. I mean, I think if you.
Speaker 10: Have a podcast and you have a particular SoundBite that
Speaker 10: goes viral, you overnight now have this massive following that
Speaker 10: you didn't have before. Or if there's a product, you're
Speaker 10: being pushed a product by an ad by someone who's
Speaker 10: authentically selling it to you in a relatable, sometimes like
Speaker 10: comedic way, and I think people really relate.
Speaker 3: To that, like I did with your video underwear.
Speaker 4: Right on YouTube.
Speaker 5: But here's the thing, So, after you were announced on
Speaker 5: the Ones to Watch list, Caroline and I look at
Speaker 5: where we can find you right everywhere? Frankly, yeah, x
Speaker 5: the formerly known as Twitter YouTube TikTok So do you
Speaker 5: make a piece for each one, or do you just say, Okay,
Speaker 5: I'm gonna make a video and I'm just gonna send
Speaker 5: it for far and wide, like it's very time consuming
Speaker 5: and energy intensive.
Speaker 10: Well, it depends on the client, So with different clients,
Speaker 10: the scope of work is completely different. Maybe it's a
Speaker 10: YouTube ad for one client, maybe for another client it's
Speaker 10: UGC content, which is user generated content.
Speaker 4: You have different numbers of followers on EAH.
Speaker 10: Yes, yes, but sometimes they're pushing it just on their socials.
Speaker 10: Sometimes I'm pushing it online. It really depends on the client,
Speaker 10: what the deal is, how it's structured.
Speaker 3: Ultimately, you embracing the world of osufficient intelligence to enhance.
Speaker 2: The way in which you can produce content.
Speaker 10: The only way I'm embracing artificial intelligence is through chat GPT.
Speaker 10: I use it every day, mostly just to make pitch
Speaker 10: decks for different brands.
Speaker 9: And then sometimes for research.
Speaker 4: But that's it.
Speaker 3: How confident in the long term stability of the world
Speaker 3: in which you work do you feel? How much you
Speaker 3: think you continue to monetize in the way that you
Speaker 3: currently monetize.
Speaker 4: I think.
Speaker 10: I feel very good about it, because I think that's
Speaker 10: the way.
Speaker 4: Things are moving.
Speaker 10: I think we're moving away from traditional commercials and traditional advertising,
Speaker 10: and we're moving more towards these kind of like micro
Speaker 10: influencers and comedians all driving or working with brands to
Speaker 10: sell products. Like I feel that that's the way marketing
Speaker 10: is going and advertising is going. Like I buy more
Speaker 10: things from TikTok ads and Instagram ads and YouTube ads
Speaker 10: than I ever did from like commercials on television.
Speaker 9: So I think it's a good lane to be in.
Speaker 5: You have a good following but not massive, right, I
Speaker 5: think it's fair to say, who do you look up to?
Speaker 5: Who are the content creators you try and.
Speaker 4: Model yourself after? Well, where is that the wrong strategy?
Speaker 2: You know?
Speaker 10: I kind of look to a lot of different people,
Speaker 10: like podcasters.
Speaker 11: I look up to people like Bobby Altoff.
Speaker 10: She's like one of these people who blew up overnight,
Speaker 10: And that's exactly what I was trying to say earlier.
Speaker 10: She had one podcast episode with a very hilarious comedian
Speaker 10: that blew up and her next guest was Drake.
Speaker 4: But that's just because.
Speaker 10: These little soundbites went viral on TikTok. So I look
Speaker 10: up to people like that who take really interesting angles
Speaker 10: with their podcasting.
Speaker 5: Thanks to Paige el Kington Content create a podcast straight
Speaker 5: from the ones to watch lists to our studio here
Speaker 5: in Hollywood.
Speaker 3: We are live from Los Angeles, California, and right here
Speaker 3: at Bloomberg screen Time. I'm Caroline Hyde and.
Speaker 5: I'm Ed Ludlow and look in the background, writers strike done,
Speaker 5: Actor strike continues. This is a really exciting fun event,
Speaker 5: but very serious discussion happening on the ground as well.
Speaker 3: Yeah, exactly about how the allocation of capital is currently
Speaker 3: distributed around Hollywood and in fact how content is produced
Speaker 3: as well. Where winning formula. The perfect guest yesterday was
Speaker 3: gone A Langley, which is chief content officer over at
Speaker 3: NBC Universal and boy who she had some winners this year.
Speaker 2: Here's what she had to say.
Speaker 1: The big picture is it has never been more I
Speaker 1: would say volatile. I mean it has, but you know,
Speaker 1: it continues to be volatile. But like you said, we
Speaker 1: did see real signs of life this summer. So generally speaking,
Speaker 1: box office is down globally around twenty percent to twenty nineteen,
Speaker 1: so pre pandemic levels, but this summer it was five
Speaker 1: percent down right, So it would suggest that even though
Speaker 1: there were winners and losers of this summer, and obviously
Speaker 1: we had the two big juggernauts with Bobby and Oppenheimer.
Speaker 1: You know, movie going begets movie going, right, So when
Speaker 1: there's a good a season filled with you know, good
Speaker 1: movies that people want to see, you know, I was
Speaker 1: pretty I was made to feel pretty optimistic about what
Speaker 1: we saw in the summer.
Speaker 7: What you mentioned Oppenheimer, we can talk about Barbielo.
Speaker 2: That's not one of your movies.
Speaker 7: Your two big movies of the year were Mario and Oppenheimer.
Speaker 7: Which of those was a bigger surprise to you?
Speaker 1: I think probably Oppenheimer, you know, I mean an R
Speaker 1: rated film with that subject master and you know, at
Speaker 1: the at the at the running time, and I wasn't
Speaker 1: surprised that it was successful, right, I mean, it's Christopher Nolan.
Speaker 1: We know that he is a singular filmmaker who audiences
Speaker 1: globally really want to go see. But I was really
Speaker 1: surprised at at the sort of the breadth of the audience.
Speaker 1: The demographic its skewed from you know, from young from
Speaker 1: you know, young kids to not young kids, but teenagers
Speaker 1: all the way up to you know, an older audience.
Speaker 1: So it was it was pretty surprising.
Speaker 7: You use the word singular to describe Christopher Nolan. I'm
Speaker 7: wondering because in conversations I've had, at least in the
Speaker 7: last few few weeks a few months, there seem to
Speaker 7: be some people who are drawing conclusions from Oppenheimer seeing
Speaker 7: that as a really good sign, say for the Martin
Speaker 7: Scorsese movie that's about to open, or other very long,
Speaker 7: big dramas. Do you do you feel like the success
Speaker 7: of Oppenheimer says anything about the business or is it
Speaker 7: the case that Chris Nolan is just a filmmaker. Like
Speaker 7: from where I'm coming from, at least Chris Nolan and
Speaker 7: Quentin Tarantino seem like two filmmakers where if they make
Speaker 7: a movie, they're like a brand, right, even if they're original,
Speaker 7: people will show up to see them.
Speaker 2: So I'm not sure if you get what I'm saying.
Speaker 7: I'm not sure if that means anything for even a
Speaker 7: Martin Scorsese because his movies their performance have been less consistent.
Speaker 1: Yeah, I think, you know, I think in the case
Speaker 1: of Christopher Nolan, he makes films for the big screen
Speaker 1: and really for the big screen only. Of course, you
Speaker 1: can watch a Christopher Nolan movie at home and eventually
Speaker 1: you'll be able to do that. But you know, he he,
Speaker 1: I mean everything he does, from choosing on Imax to
Speaker 1: you know, to seventy millimeter to the way that you know,
Speaker 1: he really encouraged his films, encourage audiences to experience his
Speaker 1: films on imax screens and in the large format. I
Speaker 1: think it all speaks to again I use that word,
Speaker 1: a sort of singular cinematic experience. You know what you're
Speaker 1: going to get, not subject matter wise, but you know
Speaker 1: you're going to get a very fulfilling experience at the
Speaker 1: movie theater and sort of quite frankly value value for
Speaker 1: your money.
Speaker 4: I mean, you've just.
Speaker 5: Heard from a power player in the world of entertainment
Speaker 5: and Dame no less than Okay, And what struck me
Speaker 5: was the very simple message about what's happening with the
Speaker 5: actors strike right now. There is a risk that next
Speaker 5: summer there are no movies, no films at the box office,
Speaker 5: and that is a big concern for them, and that's
Speaker 5: the impetus to get something done on these strikes.
Speaker 3: Yeah, and ultimately protecting and reevaluating how money is allocated,
Speaker 3: how you protect them from the future innovations that come
Speaker 3: in the world of entertainment, sports, AI of course being.
Speaker 5: To the mind, and the consensus that Oppenheimer was a
Speaker 5: huge surprise hit.
Speaker 4: I thought that was really interesting. Let's keep the conversation going.
Speaker 5: Joining us now here in Hollywood, Cherie Clark Suarez of
Speaker 5: Harbaview Equity Partners and investor in intellectual property essentially right.
Speaker 5: I know you have an emphasis on music. Your firm
Speaker 5: looks across the entertainment space.
Speaker 4: What's business like for you at the moment. It's a
Speaker 4: fight out there.
Speaker 11: It's a fight out there. It's so good to be
Speaker 11: here with you guys. You know, business is great. We've
Speaker 11: got a lot of opportunities in the landscape to really
Speaker 11: be thinking through how we can be supportive of creators
Speaker 11: with capital, to really support kind of what their next
Speaker 11: phase of their life cycle looks like. In particular, you know,
Speaker 11: after the summer of strikes and you know, obviously looking
Speaker 11: to see some resolve with respect to the actors strike,
Speaker 11: you're seeing a lot of creators start thinking about how
Speaker 11: they can engage with capital partners differently, and so we're
Speaker 11: excited about all of those opportunities. We spend a lot
Speaker 11: of our time in music. We buy a lot of
Speaker 11: music related cashlows and IP. Yeah, because we believe in
Speaker 11: how non correlated it is and how perpetual the asset
Speaker 11: is and how important it is to the human condition.
Speaker 3: Can you push us forward in terms of what income
Speaker 3: revenue stream looks like for you? You've built businesses for
Speaker 3: Morgan Stani for ge in terms of allocating capital, this
Speaker 3: is your second time building your own business. Yeah, what
Speaker 3: is the monetization value in music?
Speaker 4: Right?
Speaker 5: Yeah?
Speaker 11: So music rights? I mean, I think you know we're
Speaker 11: here a Boomberg screen time and we're talking a lot
Speaker 11: about how technology is really empowered, how consumers can really
Speaker 11: pull content and the content they're really interested in, and
Speaker 11: so that's really allowed for obviously streaming, and how streaming
Speaker 11: has really democratized how consumers can engage and the music
Speaker 11: space has really been a big pull through. But certainly
Speaker 11: what you're also seeing, which I think you're seeing also
Speaker 11: across the media space as well as you're seeing that
Speaker 11: you know, highly engaged, diverse audiences can now tell you
Speaker 11: where they want to spend their time. We're fortunate in
Speaker 11: our portfolio to have the Song of the Summer, a
Speaker 11: bios by es Laban Armado and Festolfool Luma, And that's
Speaker 11: largely because we see real value in deep engage audiences
Speaker 11: and we try to really and find ways to invest
Speaker 11: behind them. And as you do that, you can participate
Speaker 11: in the overall economy of how music is engaged. We're
Speaker 11: listening to music right.
Speaker 5: Now, actual though, that's crazy, Like I get the strategy
Speaker 5: get in early. Yeah, the talent before one of the
Speaker 5: big players comes in. That you think about when you're
Speaker 5: scrolling through Instagram reels or TikTok. You have these people
Speaker 5: posting their own content, incredible talent vocally or as musicians
Speaker 5: about how people watch music as a video on YouTube.
Speaker 4: How do you play that in that market? Yeah?
Speaker 11: I think for us in terms of playing that market
Speaker 11: because we are so connected to the original IP and
Speaker 11: owning the original IP wherever it's used, however it's engaged,
Speaker 11: it's places where it's a monetization event that allows for
Speaker 11: our investors to benefit from that monetization. So whether it's
Speaker 11: TikTok all the way through to YouTube, to Spotify, to
Speaker 11: Apple Music, to watching things in that and formats, those
Speaker 11: are all places that create value for the underlying IP
Speaker 11: that we own.
Speaker 3: Who are your investors and how are they changing this
Speaker 3: economic landscape.
Speaker 11: Yeah, so our investors, you know, we're a private equity
Speaker 11: and asset management firm. Our investors are very traditional investors
Speaker 11: that you would see in any other private equity and
Speaker 11: asset management firm. So pension funds, endowments, foundations, large scale
Speaker 11: partners that we have a very strong partnership with. The
Speaker 11: team at Apollo is a big partner of ours as well.
Speaker 11: So we have a number of different investors that are
Speaker 11: very traditional, but mostly we work on the behalf of
Speaker 11: people who are looking to live their life and dignity
Speaker 11: and retirement. So for pension holders, for foundations doing really
Speaker 11: amazing work. We're really proud of a lot of the
Speaker 11: foundations that we have as part of our investing group.
Speaker 5: I think it would be remissive us to not bring
Speaker 5: up the story of the year for many Taylor Swift.
Speaker 4: Yeah, but part of that story seriously has been music rights.
Speaker 4: And yeah, you know, the idea of music rights.
Speaker 5: And I wonder what the trickle down or the ripple
Speaker 5: effect of the negotiations right with the have for you down,
Speaker 5: you know, lower down at the earliest stage.
Speaker 11: Yeah, so I think you know, listen, it is the
Speaker 11: summer of of it is the fem summer between Beyonce,
Speaker 11: Taylor Swift, Barbie Beyonce breaking records in terms of com
Speaker 11: score and for audience engagement of at her tour globally,
Speaker 11: it has been a really great summer to really show
Speaker 11: and showcase the power of the the w the female
Speaker 11: economy with respect to music but also with respect to
Speaker 11: content right and so for us, you know, we see
Speaker 11: those trends, we've been seeing them, we've been investing behind them,
Speaker 11: we continue to look to invest behind them, and we're
Speaker 11: really excited about continuing to to to invest behind those themes.
Speaker 11: So from the top of the funnel all the way
Speaker 11: down to owners of IP like us, we participate in
Speaker 11: that that we have songs in our portfolio that were
Speaker 11: participate that we're part of the Barbie MUV soundtrack, all
Speaker 11: the way to writers who've written with people like Beyonce
Speaker 11: as well as writers.
Speaker 4: Who've written with people like Taylor Swift.
Speaker 11: So so we get to benefit by being a part
Speaker 11: of that broader ecosystem and how much engagement the fans
Speaker 11: have around it.
Speaker 3: Cheri's is great to have some time with you. The equities,
Speaker 3: Thank you, thank you, you come back on the show,
Speaker 3: Charise Clark Suarez. Of course half of you equity partners
Speaker 3: right here in Los Angeles. Coming up, we're going to
Speaker 3: talk about like the intersection and media of entertainment with
Speaker 3: the VC industry too, and their team partner, Lizzie Francis
Speaker 3: is going to be joining.
Speaker 4: Us YEP live from Hollywood. Where the money is coming from.
Speaker 4: This is Bloomberg.
Speaker 3: We are live from Los Angeles, California, at Bloomberg screen Time.
Speaker 4: I'm Caroline Hyde and I'm at Lovelock.
Speaker 3: And meanwhile, we're taking a look at how the money
Speaker 3: is flowing into this industry ultimately, whether it be in
Speaker 3: public markets, also whether it be in private markets, entertainment,
Speaker 3: content creation, all of that is now in our conversation
Speaker 3: around VC Spotlight. We're going to be bringing in Lizzie
Speaker 3: France's partner and head of operations over at M thirteen
Speaker 3: has nine hundred million dollars in asset under management. You're
Speaker 3: an operator, of course, other Starlight names go for example,
Speaker 3: and I think that's what distinguishes M thirteen is that
Speaker 3: it is an offering of operations and expertise, not just
Speaker 3: the money of allocation, but talk about allocated money right now,
Speaker 3: because it feels like only if you're AI related are
Speaker 3: you getting.
Speaker 12: Any Yeah, thank you men, Caroline so much for having
Speaker 12: me today. I mean, it's hard to believe. A year
Speaker 12: ago Open Ai released chat GPT and in that year
Speaker 12: we have just seen unbelievable proliferation of AI related businesses.
Speaker 12: So it's remarkable one out of four startup dollars is
Speaker 12: now going to an AI related business.
Speaker 5: I also like to jump in and say, you guys,
Speaker 5: you have fun three now, which is wonder million, but
Speaker 5: that's what you're investing out of and you.
Speaker 4: Like lead all these rounds. Why why is it important
Speaker 4: to lead around?
Speaker 5: Is it because everyone's having a bit of a scrap
Speaker 5: to get involved in whatever startups available.
Speaker 12: Yeah, it's such a great question. You know, at M thirteen,
Speaker 12: we're really more than capital. We like to go beyond
Speaker 12: capital in every way with our founders who are truly
Speaker 12: exceptional and are building really exceptional businesses. But the problem
Speaker 12: is at the early stage they're expected to be absolutely everything.
Speaker 12: So if we lead the round in these exceptional businesses,
Speaker 12: we get to really partner with them and help them
Speaker 12: every day on the things and challenges that will help
Speaker 12: them actually grow. Their businesses from a very early stage. So,
Speaker 12: for instance, we've recently led around in care Gnostics, which
Speaker 12: is the healthcare platform that actually diagnoses and diagnoses with
Speaker 12: powered by AI, health conditions that people might have. So
Speaker 12: think chronic conditions like kidney or astha. So now imagine
Speaker 12: you have this incredible platform powered by AI and it's
Speaker 12: actually giving clinicians the ability to work with their patients
Speaker 12: and get them preventative care ahead of time. And so
Speaker 12: when we partner with someone like that, we want to
Speaker 12: be alongside them because they are having real insformational outcomes
Speaker 12: happen in the world today. With humans, we want to
Speaker 12: be there every step of the way through their journey.
Speaker 3: What's interesting though, is there's the optimism how AI can
Speaker 3: help with healthcare. There's the fear how AI is going
Speaker 3: to disrupt industries are the one we sit in right now.
Speaker 3: The fact that actors are still on strike, fat the
Speaker 3: rights are just coming back, and a lot of that
Speaker 3: has been about ultificient intelligence and how they protect themselves.
Speaker 3: How are you seeing allocation money to AI that is
Speaker 3: disrupting content.
Speaker 12: Yeah, it's a great question, Caroline, and actually I think
Speaker 12: it's similar across all industries. Be it healthcare or work
Speaker 12: or even media. I mean even this summer Runway had
Speaker 12: a pretty monster serious c and they are creating creator
Speaker 12: tools to actually help creators produce content more quickly. So
Speaker 12: I think there's lots of ways that AI can be used.
Speaker 12: I think there's two key areas that M thirteen is
Speaker 12: particularly interested in that's driving this proliferation of venture dollars
Speaker 12: into this space. The first is the ability to crunch
Speaker 12: data you know it rapid pays and build these really
Speaker 12: remarkable business models that can transform businesses. And the second
Speaker 12: is in productivity, right, so removing these manual tasks or
Speaker 12: speeding up processes like in media, which is how can
Speaker 12: I distribute content quickly? How am I able to check
Speaker 12: for copyright infringement at.
Speaker 4: Scale in a global market?
Speaker 12: I mean, these are really wonderful applications that AI can
Speaker 12: drive innovation in. We actually are really excited. We just
Speaker 12: let around in a company called Polymorphic, which is a
Speaker 12: SaaS powered by AI constituency service. And that's a mouthful,
Speaker 12: but let me tell you how they're tackling productivity, which
Speaker 12: is really interesting. Every day across the United States, local
Speaker 12: government is mired in sort of old fashioned, archaic rote
Speaker 12: issues when it comes to process. So, ed, you want
Speaker 12: to throw a party this weekend at a park, you
Speaker 12: need to pull a permit for it. I'm sure it's
Speaker 12: an awful.
Speaker 4: Process, you know, a very hypothetically yes, I'm.
Speaker 12: Sure there's paper involved. There might be a phone caller
Speaker 12: to you. So now imagine that happening millions of times
Speaker 12: for an eventis exactly across the United States. What they're
Speaker 12: actually doing is taking the cost out of operations on
Speaker 12: the government side. They're making that pain point of production faster,
Speaker 12: and they're making us as taxpayers and constituents have a
Speaker 12: much better customer experience.
Speaker 5: Well, it is one big party here. La Pratis, partner
Speaker 5: and head of operations at M thirteen.
Speaker 4: Thank you.
Speaker 13: It's been fast and furious from the very beginning. I
Speaker 13: think you know, it's looking at doing things differently. How
Speaker 13: we started out with a different investor group, a different
Speaker 13: model that's.
Speaker 4: You know, not the usual for football.
Speaker 2: And when we look at a productively female.
Speaker 4: It's football.
Speaker 13: Just let's clear the record, it's football.
Speaker 4: Not soccer.
Speaker 2: The music.
Speaker 4: Yeah, please continue to know your audience.
Speaker 2: And so yeah, and how we did things differently.
Speaker 13: We have a predominantly female owned operated business and club.
Speaker 4: And you know, I think the way that we're approaching, you.
Speaker 13: Know, community first, right, we are engaged with our community.
Speaker 13: We have fans that show up twenty two thousand fans
Speaker 13: every home game that we sell out, and it's the
Speaker 13: supply wheel of we want to produce on the pitch,
Speaker 13: you know, for our community, for our fans, they support us.
Speaker 4: And that's kind of why I ask the question. So
Speaker 4: David Beckham goes later and is to Creative America.
Speaker 5: The men's game wasn't just developed and then the stadium
Speaker 5: a small stadium empty. Now you guys have this ginormous.
Speaker 4: Following already in the stadium every home game.
Speaker 5: We When you get ready to play Alyssa, you're young
Speaker 5: with respect, What is it like getting ready for the
Speaker 5: game at that level at your age?
Speaker 4: It's honestly really fun.
Speaker 14: I love seeing all the fans and all like the
Speaker 14: chants and stuff. I love hearing it, and I just
Speaker 14: love that it's really a unity there and you always
Speaker 14: feel supported, whether you're losing, you're winning, we're tied.
Speaker 4: I always feel supported.
Speaker 14: By the fans and I always feel uplifted. So it's
Speaker 14: honestly amazing and.
Speaker 3: That uplift and you know something that companies want to
Speaker 3: associate themselves with you not in phenomenal deal with DoorDash,
Speaker 3: you've linked linked that relationship with them with Philoup profit giving,
Speaker 3: with ensuring.
Speaker 4: That the community keeps building.
Speaker 3: How are you ensuring that you can monetize a great feeling?
Speaker 2: Ultimately?
Speaker 13: I mean, I think our revenue group has done a
Speaker 13: tremendous job that ten percent model of again engaging the
Speaker 13: community and getting back to the community with every sponsorship
Speaker 13: deal that comes in. So I think that's been a huge.
Speaker 4: Part of the model for our success.
Speaker 3: And ultimately, is that something that attracted you to want
Speaker 3: to lend your talents.
Speaker 4: To such a force? I mean, was it just obvious
Speaker 4: that this was the.
Speaker 3: Path for calling the brand that you wanted.
Speaker 4: To align yourself with.
Speaker 14: I mean, yeah, I really I feel like making the
Speaker 14: decision was hard, but once I felt like it was
Speaker 14: in LA and at home, I felt really good.
Speaker 2: About my decision.
Speaker 14: And just being a part of this club is amazing.
Speaker 14: It's so much more than soccer and I love being
Speaker 14: a part of a community.
Speaker 4: Like that and being with just so many powerful women too.
Speaker 3: An LA success story of course, that all being surrounding
Speaker 3: the world of soccer. We called it football, but Angel
Speaker 3: lef C and Anisad Thompson just being one of the
Speaker 3: ones to watch Omnimo's business week. We welcome the editor now,
Speaker 3: Joel Webber, who also sat down in the Angel City yesterday.
Speaker 3: But who else in this list has really caught your
Speaker 3: attention across the world A media and entertainment.
Speaker 15: Yeah, what we really wanted to do was spotlight some
Speaker 15: names that you might not have heard of arts, culture, entertainment.
Speaker 15: And what we end up there with is this really
Speaker 15: interesting CROC section. Right, so Alyssa, obviously a huge name,
Speaker 15: eighteen years old, gets to be in the World Cup,
Speaker 15: you know, headlining this team here in LA that has
Speaker 15: done amazing things and then also graduating from high school
Speaker 15: and turning eighteen, right, so that kind of embodies it.
Speaker 15: But when we look across, like another group that I'm
Speaker 15: really interested in is what's happening at d C. We
Speaker 15: have these two names who are basically leading the charge
Speaker 15: on what DC will look like when it takes on Marvel,
Speaker 15: which you know, Marvel has made this huge universe of characters.
Speaker 4: Don't tempt me with a Battle of the Superhi so
Speaker 4: that's what we're talking about.
Speaker 2: Cleanly one to watch because.
Speaker 5: It was interesting to see music restaurants in there. Just
Speaker 5: some of the other names quickly Joel that are on
Speaker 5: the list.
Speaker 15: So the Ice Spice is one that I think is
Speaker 15: really interesting, Like anybody who can touch Taylor Swift right
Speaker 15: now as she was able to do it do a
Speaker 15: collaboration with She has just gone to the heights of
Speaker 15: hip hop in a way that few people have done it.
Speaker 15: And it all started for her with Drake listening to
Speaker 15: a song and then giving an airport.
Speaker 5: Joe Weber, editor of Bloomberg BusinessWeek, terrific with the list.
Speaker 3: Check it out character fascinating because only are they the
Speaker 3: up and coming, it's then the people who are already
Speaker 3: making massive moves in the world of Hollywood. We're going
Speaker 3: to be speaking, of course with the COSEO of Netflix
Speaker 3: is going to be joining Lucas Shaw on stage, Ted
Speaker 3: surround Us and of course YouTube CEO two.
Speaker 5: Yeah, Neil Mohen, I've got a really interesting video games
Speaker 5: industry conversation coming up.
Speaker 4: To and you are going to speak to a big name,
Speaker 4: Chris Jenna.
Speaker 3: More than two billion, almost two billion followers across the
Speaker 3: Jenna Kardashian household, so we'll be speaking to Chris Jenna
Speaker 3: as well.
Speaker 4: This is fru Bag technology.