WEBVTT - Open-AI, Broadcom Sign 10-Gigawatt Pact for Chips, Networking 

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news. You're listening to the

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<v Speaker 2>Man Deep sing joints this year because we want to

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<v Speaker 2>get some more details on this Broadcom deal, because again

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<v Speaker 2>moving the stock big time, help you propel the Nasdaq

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<v Speaker 2>to a nice move today. Man Deep sing is a

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<v Speaker 2>senior techalyst for Bloomberg Intelligence. He's been telling us about

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<v Speaker 2>AI for like a couple of years now. And folks,

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<v Speaker 2>if you don't really know what AI is, and you

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<v Speaker 2>have access to the Bloomberg terminal, just go type in

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<v Speaker 2>BI go that'll get you to Bloomberg Intelligence homepage the

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<v Speaker 2>search bar. Just type in AI and it'll bring up

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<v Speaker 2>send you to the Definitive report, really large report on AI.

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<v Speaker 2>What is it, how to play it, and what's the

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<v Speaker 2>future of AI. It is the definitive Research Report Lomall

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<v Speaker 2>Street on AI, and Man Deep Singh is the blame

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<v Speaker 2>for that. Mandy, talk to us about this Broadcom deal.

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<v Speaker 2>Here lay it out for us. What does it mean

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<v Speaker 2>for broadcommon for just kind of an open AI as well.

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<v Speaker 3>Yeah, I mean loc Open AI is going after heaving

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<v Speaker 3>as much compute capacity as they can, and they did

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<v Speaker 3>first ten gigawatts with Nvidia, six gigawatts with AMD, and

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<v Speaker 3>now ten gigawats with Broadcom. And the difference here is

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<v Speaker 3>with Broadcom they get to use their own chips, and

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<v Speaker 3>Vidia and AMD are what we call merchant silicon. They exactly,

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<v Speaker 3>I mean, that's basically generalized chips where you can deploy

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<v Speaker 3>the workload you want, whether it's from open AI or

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<v Speaker 3>Microsoft or any other vendor. In the case of custom silicon,

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<v Speaker 3>which is what Broadcom does, a company like open AI

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<v Speaker 3>or Google. Google makes up almost you know, fifty plus

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<v Speaker 3>of Broadcom's AI revenue. So Google has their chip called TPUs.

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<v Speaker 3>They use it for everything run on Google's platform, whether

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<v Speaker 3>it's YouTube, whether it's AI, whether it's cloud. Everything inside

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<v Speaker 3>Google's run on their TPU. So opening eyes strategy here

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<v Speaker 3>is to use an approach which is similar to Google

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<v Speaker 3>GPUs because it saves you a lot of money. I mean,

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<v Speaker 3>imagine an Nvidia AI chip costs you thirty grand. A

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<v Speaker 3>custom silicon that Broadcom is making for Google costs you

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<v Speaker 3>six grand. That's the cost differential we are talking about.

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<v Speaker 3>And it's not because Nvidia has to spend thirty grand

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<v Speaker 3>to make that chip. They have a seventy five percent

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<v Speaker 3>gross margin on the chip that they're selling to the customers.

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<v Speaker 3>So Nvidia's cost is also low, but they mark up

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<v Speaker 3>the price of their silicon. Same thing with AMD. In

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<v Speaker 3>the case of Google, they are going directly to Broadcom

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<v Speaker 3>to make that chip a far lower price and it's

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<v Speaker 3>for their own use, which is why they don't have

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<v Speaker 3>to pay the markup to Invidio or AMD. And that's

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<v Speaker 3>why having your custom silicon strategy is so good because

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<v Speaker 3>it really saves you. So one gigaw with Nvidia silicon

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<v Speaker 3>would cost you about forty to fifty billion. One gigawart

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<v Speaker 3>with a Broadcom open AI silicon would cost you twenty

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<v Speaker 3>five to thirty billion. So if you're talking about, you know,

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<v Speaker 3>thirty to forty percent cost differential, and it's huge. I

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<v Speaker 3>mean in the context of what these guys are trying

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<v Speaker 3>to do, you know, scaled the infrastructure.

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<v Speaker 4>In addition to that distinction, there's also no investment or

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<v Speaker 4>stock component to this open Ai Broadcom deal, which makes

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<v Speaker 4>it different from the deals that it struck with Nvidia

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<v Speaker 4>and AMD. So I guess my question is how would

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<v Speaker 4>open Ai finance the purchase or the chips in general?

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<v Speaker 3>That's a great question because right now they have to

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<v Speaker 3>do a lot of financing. It's one thing that's a

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<v Speaker 3>common thread in the Invidia transaction where even though in

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<v Speaker 3>Vidia is putting ten billion dollars in open Ai, they

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<v Speaker 3>still have to find the remainder of the money. So

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<v Speaker 3>if you imagine, you know, forty to fifty billion dollars

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<v Speaker 3>per gigawatt ten gigawatts costume around five hundred billion, Nvidia

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<v Speaker 3>is already investing up two hundred billions, so they still

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<v Speaker 3>have to figure out the remainder of four hundred billion.

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<v Speaker 3>In the case of AMD, I mean, yes, they are

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<v Speaker 3>getting some stock, but you still have to figure out

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<v Speaker 3>the financing for that, you know, three hundred billion or so.

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<v Speaker 3>Here it's the same thing. You need the money and

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<v Speaker 3>Opening eyes bed is if we keep ramping up our revenue,

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<v Speaker 3>that is obviously a big source of the funding. We'll

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<v Speaker 3>do a lot of private deals because we already have

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<v Speaker 3>the buy in from these big player whether it's Nvidia

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<v Speaker 3>or Microsoft and other sovereign providers, and I think it's

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<v Speaker 3>a lot of scale game right now, because once we

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<v Speaker 3>keep hitting our milestones, we'll keep raising more money. And

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<v Speaker 3>that's the hope.

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<v Speaker 2>When it comes to one name I hadn't heard during

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<v Speaker 2>all this dance between all these tech companies is Apple. Yeah,

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<v Speaker 2>what's going on there? Glaring absence exactly.

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<v Speaker 3>I think that's the right way to frame it. And look,

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<v Speaker 3>at some point, I think they are going to go

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<v Speaker 3>the Broadcom route. Out of the three partnerships that Openei

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<v Speaker 3>has had, a company like Apple will never go for

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<v Speaker 3>merchant silicon. I mean, look at what they have done

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<v Speaker 3>in their own devices. It's all custom silicon. And that's

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<v Speaker 3>where if I had to pick a strategy for Apple,

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<v Speaker 3>it will likely be custom silicon using Broadcom or Marvel

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<v Speaker 3>or one of these asay providers. But the hard thing

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<v Speaker 3>for them is because they have missed out all the

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<v Speaker 3>action in the past three years, it's so hard to

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<v Speaker 3>catch up. Even if you throw money and you know

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<v Speaker 3>your CAPEX dollars, the time is off the essence, and

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<v Speaker 3>the longer they delay this, I feel either is Broadcom

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<v Speaker 3>or a partnership with Google. Now that antitrust is behind,

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<v Speaker 3>so they may very adopt Google's LM across their the

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<v Speaker 3>huge That will be huge. But I think you know,

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<v Speaker 3>with the regulatory overhand going away, that could be a

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<v Speaker 3>very likely strategy.

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<v Speaker 4>Apple has a ton of cash. It can't buy its

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<v Speaker 4>way to a solution here.

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<v Speaker 3>Who do you buy? I mean these are all scale

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<v Speaker 3>players and Broadcom. Maybe you could say Marvel is a

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<v Speaker 3>smaller player. But you need the best and chips. That's

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<v Speaker 3>why everyone is buying Nvidia because they have the highest

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<v Speaker 3>performance per what. So you can't really get a second

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<v Speaker 3>or a third player because then you compromise on the

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<v Speaker 3>performance per what when the biggest constraint out out there

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<v Speaker 3>is power, So you know you need the leading player

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<v Speaker 3>when it comes to the chip side of the equation.

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<v Speaker 2>Stay with us. More from Bloomberg Intelligence coming up after this.

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<v Speaker 1>You're listening to the Bloomberg Intelligence podcast. Catch us live

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<v Speaker 1>weekdays at ten am Eastern on Apple Corplay and Android

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<v Speaker 1>Auto with the Bloomberg Business app. Listen on demand wherever

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<v Speaker 1>you get your podcasts, or watch us live on YouTube.

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<v Speaker 2>Let's get back to what's happening in the markets. One

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<v Speaker 2>of the concerns, and Scarlett mentioned a couple of times

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<v Speaker 2>here today is credit markets. Do we have some concerns

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<v Speaker 2>out there. First Brands, for example, their challenges there have

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<v Speaker 2>really spooked some parts of the credit market. We want

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<v Speaker 2>to get the latest on what's going on there. Were

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<v Speaker 2>checking with Steve Man Bloomberg Intelligence Global Autos and Industrials

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<v Speaker 2>research analysts. Steve from your perspective, just tell us for

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<v Speaker 2>the people out there that don't know who First Brands is,

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<v Speaker 2>who are they and what happened? Yeah.

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<v Speaker 5>First Brand is a big, huge aftermarket parts supplier. They

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<v Speaker 5>you know, some of the brands are really well known

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<v Speaker 5>in the markets. Parts include like break pads, engine oil filters,

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<v Speaker 5>windshow wipers. So a lot of these are just very

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<v Speaker 5>fast where parts that everyday consumers by.

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<v Speaker 4>Yes, okay, so it's something that's quantifiable, it's knowable to consumers.

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<v Speaker 4>And it kind of shocked everyone when it ran into

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<v Speaker 4>financial problems. And I know that everyone's still trying to

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<v Speaker 4>uncover how much of this is perhaps corporate malfeasance or

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<v Speaker 4>there might be some fraud going on. But it happened

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<v Speaker 4>at the same time that another company named Tree Color

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<v Speaker 4>was also falling apart, and both of these are tied

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<v Speaker 4>to the auto sector. They're not making cars and selling

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<v Speaker 4>cars directly, but you know they are tied to the

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<v Speaker 4>business of selling cars or the business of taking care

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<v Speaker 4>of car consumers afterwards. What does that say about the

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<v Speaker 4>car industry?

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<v Speaker 2>Steve, Yeah, I.

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<v Speaker 5>Think those two insidances really freaked out the market. Based

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<v Speaker 5>on our research, I think those are really contained situation

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<v Speaker 5>to those companies and don't feel there's a broader end pack.

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<v Speaker 5>But you never know. You know, the markets based on

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<v Speaker 5>investors sentiment. But we did some research on the impact

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<v Speaker 5>on the after after market, the parts market. You know,

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<v Speaker 5>companies like O'Reilly, AutoZone and Advanced Autoparts are unlikely to

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<v Speaker 5>see impact on their supply chain. Like I said earlier,

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<v Speaker 5>these are high commodity parts. Uh, there's a lot of

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<v Speaker 5>producer that actually produce wipers and brake pads, not just

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<v Speaker 5>first brands. So it's not going to impact the consumer.

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<v Speaker 5>It's not going to impact companies like O'Reilly AutoZone.

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<v Speaker 3>It actually may be.

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<v Speaker 5>Beneficial to the aftermarket retailers and in terms of higher prices.

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<v Speaker 2>How important are these after market retailers. I mean, it

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<v Speaker 2>seems I keep hearing reading your research that people are

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<v Speaker 2>holding onto their cars longer and longer and longer, and

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<v Speaker 2>therefore this after parts it's a pretty good business, and

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<v Speaker 2>it's a.

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<v Speaker 5>Very good business. It's a relatively high margin business, great

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<v Speaker 5>for cash flow. So in this instance with First Brand,

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<v Speaker 5>you know, companies like O'Reilly AutoZone doesn't really on a

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<v Speaker 5>financial perspective, doesn't really deal with First Brands. You know,

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<v Speaker 5>they buy parts from First Brands. Uh, these these they

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<v Speaker 5>but they pay the financial institutions. And this financial institution

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<v Speaker 5>actually pays First Brand through these what we call supplier

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<v Speaker 5>agreements finance agreements. So there, you know, these auto parts

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<v Speaker 5>retailers are actually shielded from what's happening with First Brands.

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<v Speaker 4>The news, of course today is that First Brands is

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<v Speaker 4>founder and CEO Patrick James, someone that a lot of

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<v Speaker 4>people don't know and haven't heard of. He is resigning

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<v Speaker 4>because of course the company is facing an investigation over

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<v Speaker 4>its finances, and he will be replaced by Charles Moore

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<v Speaker 4>as an interim CEO. This is very inside baseball, Steve,

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<v Speaker 4>But what I wanted to get to is this idea

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<v Speaker 4>that a lot of people are not overly concerned that

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<v Speaker 4>this spells broader problems. At what point might you get

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<v Speaker 4>a little bit more concerned.

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<v Speaker 5>I think if there's a contagion in fact, which I

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<v Speaker 5>think is a low real probability. The other issue is

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<v Speaker 5>a supply chain. Is it gonna if first brand does

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<v Speaker 5>stop operations and stop producing parts, Does it impact the

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<v Speaker 5>supply chain of like o'rally and AutoZone. I think temporary

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<v Speaker 5>it does. But what really could happen is that o'rally

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<v Speaker 5>and AutoZone will probably raise prices and it actually will

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<v Speaker 5>help juice up their margins.

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<v Speaker 2>Stay with us more from Bloomberg Intelligence coming up after this.

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<v Speaker 1>You're listening to the Bloomberg Intelligence podcast. Catch us live

0:11:53.960 --> 0:11:57.040
<v Speaker 1>weekdays at ten am Eastern on Apple Coarclay and Android

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<v Speaker 1>Auto with the Bloomberg Business app. Listen on demand wherever

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<v Speaker 1>you get your podcasts, or watch us live on YouTube.

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<v Speaker 2>M and A media likely to be some type of

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<v Speaker 2>media activity M and A activity in the media spaces.

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<v Speaker 2>Some of these companies need to consolidate even more to

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<v Speaker 2>get even more scale to compete against the Netflix of

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<v Speaker 2>the world, not to mention the Amazons and the Apples and

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<v Speaker 2>so on and so forth. So one of the deals

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<v Speaker 2>that's out there potentially is sky Dance, Powermount maybe doing

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<v Speaker 2>a deal with Warner Brothers Discovery. Let's see where we

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<v Speaker 2>are right now. There's been a lot of rumors and

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<v Speaker 2>a lot of news reporting about a potential hookup in

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<v Speaker 2>between these two companies. KEITHA, wrong and nothing. She looks

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<v Speaker 2>at this stuff. She's the US media analyst for Bloomberg

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<v Speaker 2>Intelligence located in our Princeton, New Jersey office. Githa. I mean,

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<v Speaker 2>the scuttle butt is, you know, Paramount is interested in

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<v Speaker 2>buying Warner Brothers Discovery, but I don't. We haven't seen

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<v Speaker 2>Warner Brothers really open to a deal, at least not

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<v Speaker 2>at the prices that have been bandied about. What's the latest?

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<v Speaker 3>Yeah, the latest, Paul is?

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<v Speaker 6>I mean, as you just said, there have been rumors

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<v Speaker 6>now ongoing about this, these possible sale dogs for over

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<v Speaker 6>a month. Over the weekend, you know, Lucas Shaw and

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<v Speaker 6>Bloomberg News basically broke the story that Warner Brothers did

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<v Speaker 6>receive an offer for twenty dollars a share, but David Zaslav,

0:13:18.720 --> 0:13:22.360
<v Speaker 6>the CEO of Warner has basically rejected that offer as

0:13:22.400 --> 0:13:25.640
<v Speaker 6>being too low. Now we know from some prior reporting

0:13:25.760 --> 0:13:29.440
<v Speaker 6>that he had been looking for something like about forty

0:13:29.480 --> 0:13:32.240
<v Speaker 6>dollars a share. So obviously that's a huge, huge gap

0:13:32.320 --> 0:13:32.800
<v Speaker 6>right there.

0:13:33.440 --> 0:13:35.319
<v Speaker 2>And I'm just looking at the size of these companies.

0:13:35.360 --> 0:13:38.160
<v Speaker 2>I mean, Warner Brothers has a Warner Brothers Discovery has

0:13:38.160 --> 0:13:43.839
<v Speaker 2>an enterprise value of more than twice that of Paramount.

0:13:44.360 --> 0:13:45.600
<v Speaker 2>How's that math going to work?

0:13:46.720 --> 0:13:48.920
<v Speaker 6>Yeah, So this is what we've been kind of, you know,

0:13:49.080 --> 0:13:51.840
<v Speaker 6>scratching our heads about. So initially, when we had, you know,

0:13:51.880 --> 0:13:54.600
<v Speaker 6>the news come in, one of the big pieces that

0:13:54.760 --> 0:13:57.320
<v Speaker 6>was mentioned was that this was going to be a

0:13:57.360 --> 0:14:00.200
<v Speaker 6>majority cash deal and a lot of the funding was

0:14:00.240 --> 0:14:03.839
<v Speaker 6>going to come from the Ellison family. Now, things seem

0:14:03.880 --> 0:14:06.880
<v Speaker 6>to have changed a little bit last week because we

0:14:07.000 --> 0:14:09.960
<v Speaker 6>heard that private equity players were getting involved. So Apollo

0:14:10.120 --> 0:14:12.440
<v Speaker 6>was one of the names that was mentioned. It looks

0:14:12.440 --> 0:14:15.000
<v Speaker 6>like Paramount had approached Blackstone, but maybe they were not

0:14:15.240 --> 0:14:18.559
<v Speaker 6>really that interested. Legendary was also thrown into the mix.

0:14:18.840 --> 0:14:22.120
<v Speaker 6>So we're not completely sure just yet whether you know,

0:14:22.640 --> 0:14:24.960
<v Speaker 6>Paramount is going to proceed with a higher offer with

0:14:25.120 --> 0:14:28.280
<v Speaker 6>some of these external sources of financing, or whether really

0:14:28.280 --> 0:14:30.680
<v Speaker 6>the Ellison family is kind of going to you know,

0:14:30.720 --> 0:14:35.560
<v Speaker 6>step in and you know, basically fund majority of the acquisition.

0:14:35.920 --> 0:14:37.480
<v Speaker 2>Well, it's not like you can't afford it. I just

0:14:37.520 --> 0:14:40.640
<v Speaker 2>typed in Rich, go Rich. That's the list of the

0:14:40.640 --> 0:14:43.040
<v Speaker 2>top most wealthy people in the world. According to Bloomberg,

0:14:43.320 --> 0:14:45.480
<v Speaker 2>mister Ellison is number two, with a networth of three

0:14:45.520 --> 0:14:49.240
<v Speaker 2>hundred and fifty billion dollars. So there's certainly some capital

0:14:49.320 --> 0:14:52.880
<v Speaker 2>there to be deployed either. What's the sense of timing here?

0:14:52.920 --> 0:14:56.000
<v Speaker 2>I know, Warner Brothers Discovery, they're actually pursuing kind of

0:14:56.040 --> 0:14:59.080
<v Speaker 2>a parallel path, which is there separating their businesses a

0:14:59.120 --> 0:15:00.000
<v Speaker 2>little bit. Tell us about that.

0:15:01.400 --> 0:15:03.600
<v Speaker 6>Yeah, So, you know, I really think here the odds

0:15:03.640 --> 0:15:06.720
<v Speaker 6>are in Warner Brothers Discoveries favor. And I say that because,

0:15:06.760 --> 0:15:08.840
<v Speaker 6>as you just pointed out, they are on this path

0:15:08.880 --> 0:15:11.760
<v Speaker 6>to separating the two companies. They're separating out the TV networks,

0:15:11.920 --> 0:15:14.560
<v Speaker 6>which really doesn't have a great growth outlook, from their

0:15:14.600 --> 0:15:17.680
<v Speaker 6>streaming and studio assets, which by the way, is just

0:15:17.760 --> 0:15:21.360
<v Speaker 6>doing extremely well. The studio has had an absolutely fantastic

0:15:21.440 --> 0:15:23.720
<v Speaker 6>run this year. They're making up almost thirty percent of

0:15:23.760 --> 0:15:27.200
<v Speaker 6>the box office. They've had hit after hit, so they

0:15:27.240 --> 0:15:29.600
<v Speaker 6>really are on a winning streak. And this is what

0:15:29.680 --> 0:15:32.920
<v Speaker 6>I think gives David Zaslav a lot of confidence that

0:15:33.000 --> 0:15:36.360
<v Speaker 6>he can get top dollar for at least the streaming

0:15:36.360 --> 0:15:39.000
<v Speaker 6>and studio part of the business. The real problem, Paul,

0:15:39.200 --> 0:15:41.000
<v Speaker 6>and you know this very well, is what the outlook

0:15:41.040 --> 0:15:43.120
<v Speaker 6>is going to be for the TV networks. And that's

0:15:43.160 --> 0:15:44.480
<v Speaker 6>where I think it's a little bit of a double

0:15:44.560 --> 0:15:47.680
<v Speaker 6>ed sword, because the paramount offer right now is for

0:15:47.760 --> 0:15:50.840
<v Speaker 6>the entire company, which means he gets to offload, you know,

0:15:50.840 --> 0:15:53.000
<v Speaker 6>the TV networks doesn't really have to worry or think

0:15:53.040 --> 0:15:55.480
<v Speaker 6>about it. The thing is, if he waits and you know,

0:15:56.000 --> 0:15:58.600
<v Speaker 6>pursues the split, of course streaming and studios is going

0:15:58.600 --> 0:16:01.360
<v Speaker 6>to do really well. But then again we're we're stuck

0:16:01.400 --> 0:16:04.880
<v Speaker 6>with the you know, the TV network business without you know,

0:16:04.960 --> 0:16:08.880
<v Speaker 6>much of really a future, a proper future, good outlook

0:16:08.960 --> 0:16:11.440
<v Speaker 6>for it. So so that's really where the dilemma is

0:16:11.480 --> 0:16:14.200
<v Speaker 6>for the Warner Brothers Discovery management team.

0:16:14.680 --> 0:16:17.040
<v Speaker 2>Well, what's interesting here, I think, particularly if you're a

0:16:17.040 --> 0:16:19.080
<v Speaker 2>banker or a lawyer trying to put a deal together,

0:16:19.160 --> 0:16:22.440
<v Speaker 2>is we have a willing seller here. Mister Zazov has

0:16:22.480 --> 0:16:25.280
<v Speaker 2>stated he's willing to sell and stated that it probably

0:16:25.360 --> 0:16:28.520
<v Speaker 2>makes sense for this industry to consolidate. Even more so,

0:16:28.560 --> 0:16:31.440
<v Speaker 2>it sounds like it's just going to come down the price.

0:16:32.640 --> 0:16:35.200
<v Speaker 6>It is going to come down absolutely to price. I mean,

0:16:35.600 --> 0:16:40.160
<v Speaker 6>he's already kind of said on multiple occasions that you know,

0:16:40.200 --> 0:16:42.720
<v Speaker 6>there are people who are interested, especially in the streaming

0:16:42.720 --> 0:16:44.960
<v Speaker 6>and studio part of the business. He is going to

0:16:44.960 --> 0:16:47.680
<v Speaker 6>push hard, very hard for you know, on the on

0:16:47.720 --> 0:16:50.680
<v Speaker 6>the price front. We know he's a really tough negotiator,

0:16:51.800 --> 0:16:54.120
<v Speaker 6>but I'm not really sure how much amount is going

0:16:54.120 --> 0:16:56.200
<v Speaker 6>to be willing to pay up for this.

0:16:56.560 --> 0:16:59.920
<v Speaker 2>So broadly speaking, for these networks, the good to zero

0:17:00.040 --> 0:17:03.440
<v Speaker 2>with code cutting, cord cutting, they.

0:17:03.360 --> 0:17:06.040
<v Speaker 6>Won't go to zero, Paul, but they're definitely I mean,

0:17:06.040 --> 0:17:08.679
<v Speaker 6>the floor has been going lower and lower, so you

0:17:08.800 --> 0:17:10.960
<v Speaker 6>very well know that. You know, at its peak, PayTV

0:17:11.200 --> 0:17:14.400
<v Speaker 6>households were somewhere at about one hundred and four million

0:17:14.520 --> 0:17:18.280
<v Speaker 6>in the country. Today they're at about sixty five million.

0:17:19.040 --> 0:17:21.640
<v Speaker 6>The idea, or at least the thinking on the street,

0:17:21.720 --> 0:17:23.600
<v Speaker 6>is that this is probably going to go to somewhere

0:17:23.640 --> 0:17:26.560
<v Speaker 6>like about forty million, maybe in the next three to

0:17:26.640 --> 0:17:28.760
<v Speaker 6>four years, but who knows. I mean, the rate of

0:17:28.800 --> 0:17:31.480
<v Speaker 6>decline has been pretty dramatic. I mean, even when Warner

0:17:31.520 --> 0:17:34.880
<v Speaker 6>Brothers and Discovery came together a few years ago, remember

0:17:35.240 --> 0:17:39.320
<v Speaker 6>they had projected fourteen billion dollars in ebitdah. That number.

0:17:39.359 --> 0:17:41.680
<v Speaker 6>We never got anywhere close to that number. This year,

0:17:41.680 --> 0:17:43.600
<v Speaker 6>we're looking at something like about eight and a half

0:17:43.640 --> 0:17:46.439
<v Speaker 6>billion or nine billion in ibadah. So there's it's just

0:17:46.560 --> 0:17:48.600
<v Speaker 6>such a big gap, and that's just because of the

0:17:48.680 --> 0:17:51.280
<v Speaker 6>dramatic decline in the TV network business.

0:17:51.720 --> 0:17:56.399
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