1 00:00:01,400 --> 00:00:02,120 Speaker 1: From Marhart. 2 00:00:02,279 --> 00:00:06,720 Speaker 2: We're Innovation, Money and Power Collie in Silicon Valley, NBN. 3 00:00:07,040 --> 00:00:23,360 Speaker 1: This is Bloomberg Technology with Caroline Hyde and Ed Ludlow. 4 00:00:25,680 --> 00:00:28,240 Speaker 3: I'm Caroline Hyde and Bloomberg's world headquarters. 5 00:00:27,760 --> 00:00:32,160 Speaker 4: In New York, and I'm Ed Ludlow live at CS 6 00:00:32,280 --> 00:00:35,360 Speaker 4: Las Vegas. This is Bloomberg Technology. 7 00:00:35,000 --> 00:00:36,120 Speaker 5: Coming up on the show. 8 00:00:36,400 --> 00:00:39,280 Speaker 3: Full coverage from CS in Las Vegas. With Then we 9 00:00:39,320 --> 00:00:42,080 Speaker 3: sit down with the CEO's of Qualcom, of mobili and 10 00:00:42,120 --> 00:00:44,520 Speaker 3: we're here from a cito of Mercedes on Generator AI 11 00:00:44,680 --> 00:00:48,279 Speaker 3: in Auto's Plus the CS underway. Amazon reveals it's new 12 00:00:48,320 --> 00:00:52,240 Speaker 3: streaming feature to rival Apple's Airplay. Details on that ahead, 13 00:00:52,640 --> 00:00:55,520 Speaker 3: and Bitcoin it hovers just below that forty seven thousand 14 00:00:55,560 --> 00:00:58,480 Speaker 3: dollars mark, all ahead of the all important SEC decision 15 00:00:58,520 --> 00:01:01,360 Speaker 3: on the spot Bitcoin ETF that we anticipate all that 16 00:01:01,440 --> 00:01:03,880 Speaker 3: and so much more coming up first. 17 00:01:04,200 --> 00:01:06,479 Speaker 5: Ed, you are live on the ground. 18 00:01:06,120 --> 00:01:08,960 Speaker 3: And it must all feel like it's about artificial intelligence. 19 00:01:11,160 --> 00:01:14,200 Speaker 4: Yeah, it's AI everything, but you know the name Consumer 20 00:01:14,280 --> 00:01:17,959 Speaker 4: Electronics Show. The range of companies here that are bringing 21 00:01:18,000 --> 00:01:22,720 Speaker 4: substantive news about AI is really interesting, from beauty to 22 00:01:22,800 --> 00:01:26,000 Speaker 4: big box right. Walmart CEO Doug McMillan, one of the 23 00:01:26,080 --> 00:01:29,480 Speaker 4: keynote speakers. I'll be speaking to the Nasdaq CEO Adina 24 00:01:29,480 --> 00:01:33,040 Speaker 4: Freeman about the impact of AI on financial markets over 25 00:01:33,080 --> 00:01:35,040 Speaker 4: the next twenty four to forty eight hours. Look at 26 00:01:35,040 --> 00:01:37,080 Speaker 4: some of the stocks of these companies, because we're already 27 00:01:37,080 --> 00:01:40,319 Speaker 4: seeing moves, for example in video based on the CS 28 00:01:40,319 --> 00:01:41,280 Speaker 4: announcements they're making. 29 00:01:41,560 --> 00:01:44,480 Speaker 3: Yeah, maybe even Amazon Driving Train because of its announcement 30 00:01:44,480 --> 00:01:47,440 Speaker 3: as well. But the cars still front and center. It 31 00:01:47,480 --> 00:01:50,040 Speaker 3: always has felt like cars have encroached on the tech 32 00:01:50,080 --> 00:01:50,640 Speaker 3: space of late. 33 00:01:51,360 --> 00:01:54,480 Speaker 4: Yeah, there is a heavy presence of the automotive sector here, 34 00:01:54,560 --> 00:01:58,760 Speaker 4: particular focus on technology that ranges from AI and perhaps 35 00:01:58,880 --> 00:02:02,120 Speaker 4: advanced driver's system. It's an autonomy right through to the 36 00:02:02,160 --> 00:02:04,920 Speaker 4: next generation of battery electric vehicles. That's going to be 37 00:02:05,000 --> 00:02:08,280 Speaker 4: the discussion here throughout this hour. Really heavy automotive scene 38 00:02:08,440 --> 00:02:09,519 Speaker 4: underpinning it AI. 39 00:02:10,000 --> 00:02:11,519 Speaker 3: I mean, we've got to get to what's happening on 40 00:02:11,560 --> 00:02:13,800 Speaker 3: the ground in CS and you've got a key special 41 00:02:13,800 --> 00:02:14,320 Speaker 3: guest for us. 42 00:02:15,480 --> 00:02:18,400 Speaker 4: Yeah, let's get right to our first interview Mercedes CTO 43 00:02:18,919 --> 00:02:23,120 Speaker 4: Marcus Schaeffer, and as we discuss Mercedes starting their announcements 44 00:02:23,440 --> 00:02:26,440 Speaker 4: focused on AI and Marcus I don't know what to 45 00:02:26,480 --> 00:02:29,520 Speaker 4: make of this. You're calling it a virtual assistant. It 46 00:02:29,680 --> 00:02:34,440 Speaker 4: is part generative AI tool, it's part cockpit. Explain the 47 00:02:34,520 --> 00:02:36,720 Speaker 4: virtual assistant to us and what you've announced this morning. 48 00:02:37,320 --> 00:02:39,840 Speaker 6: Well, I would call AI a real game changer, and 49 00:02:40,040 --> 00:02:42,680 Speaker 6: at this moment in time, from most they dispense. So 50 00:02:42,720 --> 00:02:45,880 Speaker 6: AI is used in several instance, it's grading a car 51 00:02:46,080 --> 00:02:50,000 Speaker 6: much faster, riding cold, but AI these days is helping 52 00:02:50,080 --> 00:02:52,679 Speaker 6: us really to put the car in a different light. 53 00:02:53,800 --> 00:02:57,160 Speaker 6: So the car is no longer a vehicle just takes 54 00:02:57,160 --> 00:02:59,480 Speaker 6: you from A to B. It's somebody who can talk 55 00:02:59,560 --> 00:03:00,760 Speaker 6: to And that's. 56 00:03:00,600 --> 00:03:03,239 Speaker 4: Exactly basic that how does it work? How do I interact? 57 00:03:03,280 --> 00:03:06,360 Speaker 6: So it's about the human machine interface actually, and it 58 00:03:06,520 --> 00:03:09,000 Speaker 6: used to be knobs and buttons in the past, and 59 00:03:09,040 --> 00:03:13,840 Speaker 6: it was voice signals phrases that you were using. Now 60 00:03:13,919 --> 00:03:17,920 Speaker 6: at the present time, we're using actually even jet GPT 61 00:03:18,200 --> 00:03:20,720 Speaker 6: in some instances in US cars, but that's more a 62 00:03:20,760 --> 00:03:24,079 Speaker 6: one way dialogue. But now with the virtual system AI 63 00:03:24,240 --> 00:03:27,760 Speaker 6: and the in house software, we're enabling a dialogue. So 64 00:03:28,160 --> 00:03:32,400 Speaker 6: this enables a fully intelligent car and intelligent conversation. So 65 00:03:32,480 --> 00:03:36,960 Speaker 6: the car appears in a completely different context and that's 66 00:03:36,960 --> 00:03:40,320 Speaker 6: what the user is already experiencing participating in our chet 67 00:03:40,360 --> 00:03:44,400 Speaker 6: GIPT beta program. So the use of voice control and 68 00:03:44,480 --> 00:03:49,400 Speaker 6: voice interaction with a car is just rising traumatically by 69 00:03:49,440 --> 00:03:52,560 Speaker 6: a more intelligent conversation with a car. And that's exactually 70 00:03:52,840 --> 00:03:56,120 Speaker 6: what this virtual system that we are creating with the 71 00:03:56,160 --> 00:03:59,120 Speaker 6: help of AI and in house software is enabling. So 72 00:03:59,840 --> 00:04:03,160 Speaker 6: this changes the relation between you, the customer and the 73 00:04:03,200 --> 00:04:03,960 Speaker 6: car dramatically. 74 00:04:04,280 --> 00:04:07,920 Speaker 4: Marcus, who built the underlying technology Mercedes, or you worked 75 00:04:07,960 --> 00:04:10,040 Speaker 4: with an AI developer like open Ai. 76 00:04:10,800 --> 00:04:14,200 Speaker 6: Well, the key is that's our understanding. We developing our 77 00:04:14,240 --> 00:04:17,839 Speaker 6: own in house software. We call it Mercedes Spence Operating 78 00:04:17,920 --> 00:04:21,640 Speaker 6: System MBOs. It's called MBOs. So this is the foundation, 79 00:04:21,760 --> 00:04:25,000 Speaker 6: this is a basis. This is a chip to cloud architecture. 80 00:04:25,080 --> 00:04:27,600 Speaker 6: So we're defining the chip level, we're defining the base 81 00:04:27,680 --> 00:04:31,720 Speaker 6: like middleware. We're defining our clouds. So we own the cloud, 82 00:04:32,000 --> 00:04:35,560 Speaker 6: the Mercedespence Intelligent Cloud. So it's a complete three hundred 83 00:04:35,560 --> 00:04:39,440 Speaker 6: and sixty decreased system. And within this system, we're having partners, 84 00:04:39,880 --> 00:04:44,039 Speaker 6: so we're using partners for AI modules, data access, and 85 00:04:44,120 --> 00:04:46,680 Speaker 6: so we're partnering here partially. When it comes to the 86 00:04:46,720 --> 00:04:50,480 Speaker 6: virtual Assistant, but partially the software is written in house 87 00:04:50,800 --> 00:04:53,640 Speaker 6: in order to be in control of the result towards 88 00:04:53,720 --> 00:04:55,919 Speaker 6: the customer and the data privacy. 89 00:04:56,480 --> 00:04:59,360 Speaker 4: Just very quickly, if I'm a Mercedes customer, do I 90 00:04:59,480 --> 00:05:02,000 Speaker 4: purchase Virtual Assistant or does it come as part of 91 00:05:02,000 --> 00:05:03,520 Speaker 4: a broader software suite. 92 00:05:04,040 --> 00:05:07,719 Speaker 6: Well, the idea is that we provide a complete entertainment package. 93 00:05:08,160 --> 00:05:10,960 Speaker 6: So it's not only the virtual system model lines or 94 00:05:11,080 --> 00:05:15,680 Speaker 6: across all model lines. So it's ultimately about the customer experience, 95 00:05:15,800 --> 00:05:18,640 Speaker 6: and the Virtual Assystem is just an enabler and intelligent 96 00:05:18,880 --> 00:05:24,080 Speaker 6: enabler that opened up the world of entertainment for Benz customer. 97 00:05:24,240 --> 00:05:27,719 Speaker 6: So you purchase a whole package of entertainment. It's video, 98 00:05:28,080 --> 00:05:33,320 Speaker 6: it's audio. We just announced yesterday partnership with Audible Podcast. 99 00:05:33,960 --> 00:05:36,800 Speaker 6: So there are many many ways that entertainment in the 100 00:05:36,880 --> 00:05:40,440 Speaker 6: mercedspense is taken to the next level through the Virtual Assistant. 101 00:05:41,120 --> 00:05:45,440 Speaker 4: Marcus, you are entering a key battleground with drive pilots 102 00:05:45,960 --> 00:05:50,160 Speaker 4: level three California and Nevada at first, and customers will 103 00:05:50,200 --> 00:05:54,520 Speaker 4: be able to start taking delivery download of this early 104 00:05:54,560 --> 00:05:57,919 Speaker 4: twenty twenty four. What has demand been like? Can you 105 00:05:57,960 --> 00:06:01,080 Speaker 4: tell me how many Mercedes customers will be able to 106 00:06:01,160 --> 00:06:05,760 Speaker 4: use drive pilot on roads in those states. Twenty twenty four, Well. 107 00:06:05,640 --> 00:06:08,920 Speaker 6: We started offering a level three drive pilot in Germany 108 00:06:09,000 --> 00:06:12,520 Speaker 6: last year, so we have quite some experience in Germany 109 00:06:12,600 --> 00:06:15,719 Speaker 6: and the interest in purchasing the drive Pilot with the 110 00:06:15,839 --> 00:06:19,240 Speaker 6: S class and the EQS is really really high in Germany. 111 00:06:19,600 --> 00:06:22,320 Speaker 6: So now we're starting in the market here in Nevada 112 00:06:22,400 --> 00:06:26,719 Speaker 6: and in California. Customers will receive the first cars and 113 00:06:26,760 --> 00:06:30,240 Speaker 6: the interest is absolutely high. But this is a game changer. 114 00:06:30,640 --> 00:06:31,680 Speaker 7: This is an absolute new. 115 00:06:31,600 --> 00:06:34,279 Speaker 4: Game knowlogier for revenue as well as technology. Will you 116 00:06:34,279 --> 00:06:35,360 Speaker 4: make it work vanguards from it? 117 00:06:35,560 --> 00:06:39,760 Speaker 6: Technologically, it's a game changer because responsibility moving from level 118 00:06:39,800 --> 00:06:43,200 Speaker 6: two cars to level three cars changes from the driver 119 00:06:43,640 --> 00:06:47,920 Speaker 6: to the vehicle and that's a fundamental paradigm shift that's 120 00:06:48,040 --> 00:06:52,040 Speaker 6: happening here supported by technology. So there's lighter technology in 121 00:06:52,080 --> 00:06:56,719 Speaker 6: the car, cameras, radars, a software stack, an intelligence software stack, 122 00:06:57,000 --> 00:06:59,599 Speaker 6: and intensive for work with the authorities here in the 123 00:06:59,680 --> 00:07:04,920 Speaker 6: US to get it certified. So it's a huge technology 124 00:07:04,960 --> 00:07:08,159 Speaker 6: stack and package that we're offering the customers here with 125 00:07:08,279 --> 00:07:12,520 Speaker 6: a benefit that you are unable to perform side activities 126 00:07:12,680 --> 00:07:16,360 Speaker 6: while you're driving, so off the road and hands off 127 00:07:16,360 --> 00:07:18,880 Speaker 6: the steering wheel for the first time. Right, this is 128 00:07:18,920 --> 00:07:21,000 Speaker 6: the only vehicle in the market so far. 129 00:07:21,600 --> 00:07:24,000 Speaker 4: You raise a good point on certification. A big news 130 00:07:24,000 --> 00:07:27,560 Speaker 4: story of the last week has been the recall in 131 00:07:27,680 --> 00:07:31,320 Speaker 4: name only of all Tesla vehicles on autopilot in China, 132 00:07:31,640 --> 00:07:35,160 Speaker 4: and the regulator said, you need to do more to 133 00:07:35,200 --> 00:07:39,000 Speaker 4: get the driver focused on the road, more alerts. Do 134 00:07:39,080 --> 00:07:41,920 Speaker 4: you think you'll avoid a soft recall like that? Are 135 00:07:41,960 --> 00:07:44,920 Speaker 4: you confident that once drive pilot is rolled out here 136 00:07:44,960 --> 00:07:47,720 Speaker 4: in the United States and later China, that it will 137 00:07:47,800 --> 00:07:50,240 Speaker 4: just be able to exist in the marketplace. 138 00:07:50,680 --> 00:07:52,680 Speaker 6: I believe you can never rule out that you were 139 00:07:52,720 --> 00:07:55,600 Speaker 6: running into a recall. But on the other hand, we're 140 00:07:55,640 --> 00:07:59,800 Speaker 6: doing everything in the forefield to avoid this and making 141 00:07:59,800 --> 00:08:04,080 Speaker 6: sure this is a reliable system. So the intensive work, 142 00:08:04,160 --> 00:08:07,280 Speaker 6: extensive work with the authorities over a couple of years 143 00:08:07,320 --> 00:08:11,280 Speaker 6: with DMVNITZA and many authorities in the country to explain 144 00:08:11,320 --> 00:08:14,000 Speaker 6: the system to them and the boundaries of the system. 145 00:08:14,240 --> 00:08:15,160 Speaker 7: What the system can. 146 00:08:15,040 --> 00:08:17,680 Speaker 6: Do and what the system cannot do is so essential, 147 00:08:18,040 --> 00:08:20,480 Speaker 6: and to explain it in detail also to the customer. 148 00:08:20,840 --> 00:08:24,640 Speaker 6: So it's an education process that has happened over the 149 00:08:24,760 --> 00:08:27,840 Speaker 6: last two years three years in the country here making 150 00:08:27,880 --> 00:08:32,560 Speaker 6: sure customers and the legislator understand the boundaries of the 151 00:08:32,600 --> 00:08:35,640 Speaker 6: system here, and I think it's very important to distinguish 152 00:08:35,679 --> 00:08:38,800 Speaker 6: being a level two system, a driver a system system 153 00:08:39,559 --> 00:08:45,720 Speaker 6: and an automated drive. Pilots the lowest and it's so 154 00:08:45,880 --> 00:08:48,559 Speaker 6: essential for the customers that they understand what the system 155 00:08:48,840 --> 00:08:50,960 Speaker 6: is able to do and what they can do what 156 00:08:51,040 --> 00:08:53,960 Speaker 6: they cannot do in order to avoid what we call 157 00:08:54,160 --> 00:08:57,560 Speaker 6: mode confusion. So you should never confuse your customer what 158 00:08:57,600 --> 00:08:59,920 Speaker 6: the system is able to do. That's why we clear 159 00:09:00,160 --> 00:09:04,520 Speaker 6: distinguished this is a level two car driver systems takes 160 00:09:04,520 --> 00:09:06,560 Speaker 6: a lot of load from you, but you always have 161 00:09:06,640 --> 00:09:08,560 Speaker 6: to have your hand in the steering wheel and you 162 00:09:08,600 --> 00:09:11,720 Speaker 6: are in charge. But in level three you give the 163 00:09:11,760 --> 00:09:15,640 Speaker 6: responsibility to the machine and that's a fundamental change. With 164 00:09:15,760 --> 00:09:20,240 Speaker 6: the benefit you can perform side activities, watching movies and 165 00:09:20,280 --> 00:09:21,959 Speaker 6: doing other things in the car legally. 166 00:09:22,320 --> 00:09:25,920 Speaker 4: Marcus Schaefer, Mercedes Chief Technology Officer CTO, good to catch 167 00:09:26,000 --> 00:09:28,920 Speaker 4: up here at CES. Caroline Ba's you in New York. 168 00:09:29,280 --> 00:09:32,360 Speaker 3: Love the nuances when it comes to tech within the autosphere. Meanwhile, 169 00:09:32,400 --> 00:09:34,199 Speaker 3: coming up, we're going to be continuing that coverage from 170 00:09:34,280 --> 00:09:38,160 Speaker 3: cs next up the Mobile I co You do not 171 00:09:38,320 --> 00:09:41,440 Speaker 3: want to miss our conversation coming up next. Meanwhile, just 172 00:09:41,679 --> 00:09:43,240 Speaker 3: keep an eye on what's happening with the shares of 173 00:09:43,280 --> 00:09:46,640 Speaker 3: your brown left. Today we go from autodiscussion to the 174 00:09:46,640 --> 00:09:50,880 Speaker 3: discussion around flexible working and indeed gig working. The pushback 175 00:09:50,960 --> 00:09:53,600 Speaker 3: is on, of course once again the federal government really 176 00:09:53,640 --> 00:09:56,600 Speaker 3: trying to look at how we are protecting employees whether 177 00:09:56,679 --> 00:10:00,000 Speaker 3: contractors are indeed full time employees or not. You can expect, 178 00:10:00,040 --> 00:10:01,640 Speaker 3: of course, the Chamber of Commerce and I need some 179 00:10:01,640 --> 00:10:03,080 Speaker 3: of these companies to push back against the. 180 00:10:03,080 --> 00:10:05,880 Speaker 5: Latest labor law that has just dropped. Today, we're still. 181 00:10:05,760 --> 00:10:07,760 Speaker 3: Up on the high side, lift up more than percentage point, 182 00:10:07,840 --> 00:10:10,720 Speaker 3: uber more than two percent, so no great investor concerns 183 00:10:10,760 --> 00:10:11,240 Speaker 3: at the moment. 184 00:10:11,360 --> 00:10:25,040 Speaker 8: This is Bloomberg Technology. 185 00:10:26,800 --> 00:10:29,960 Speaker 4: Welcome back to cs LAS Vegas. Our next interview Mobilized 186 00:10:30,000 --> 00:10:34,400 Speaker 4: CEO am Noon Shashua, the technology company announcing a range 187 00:10:34,440 --> 00:10:37,720 Speaker 4: of news items to do with advanced driver assistance and 188 00:10:37,720 --> 00:10:41,280 Speaker 4: actually amnon you literally right now are announcing a new 189 00:10:41,320 --> 00:10:46,880 Speaker 4: one DXP, an operating system for aid AS. What is it? 190 00:10:46,960 --> 00:10:48,200 Speaker 4: Explain how it works? 191 00:10:48,520 --> 00:10:50,520 Speaker 9: Well, it's good to be here, ed always good to 192 00:10:50,520 --> 00:10:54,040 Speaker 9: see you, the expered to driving experience to the platform. 193 00:10:54,559 --> 00:10:57,599 Speaker 9: There is a natural tension between the need of his 194 00:10:57,679 --> 00:11:01,199 Speaker 9: supplier to skill I'll create to one system that fits 195 00:11:01,200 --> 00:11:03,480 Speaker 9: all right, and the need of the customer the car 196 00:11:03,559 --> 00:11:07,720 Speaker 9: maker to differentiate, try to make something that is unique 197 00:11:07,920 --> 00:11:13,040 Speaker 9: to its own driving experience. And the way that this 198 00:11:13,120 --> 00:11:16,480 Speaker 9: has been handled so far is let's provide the car 199 00:11:16,559 --> 00:11:20,439 Speaker 9: maker with libraries with API calls and let the car 200 00:11:20,520 --> 00:11:24,840 Speaker 9: maker build their own system. And this doesn't look that, 201 00:11:24,920 --> 00:11:25,480 Speaker 9: it seems to. 202 00:11:25,440 --> 00:11:28,080 Speaker 4: Work, okay, so you're basically going to yours basically in 203 00:11:28,120 --> 00:11:31,439 Speaker 4: saying here is an operating system. 204 00:11:31,040 --> 00:11:35,360 Speaker 9: So that there are kind of two extremes. What we 205 00:11:35,480 --> 00:11:39,920 Speaker 9: separated is what is universal and what is unique universal, say, 206 00:11:39,920 --> 00:11:40,880 Speaker 9: for example, perception. 207 00:11:40,960 --> 00:11:42,080 Speaker 7: Perception is universal. 208 00:11:42,120 --> 00:11:46,000 Speaker 9: Why because there isn't any differentiation to do with understanding 209 00:11:46,040 --> 00:11:49,800 Speaker 9: the environment, right, A BMW vehicle or UNDI vehicle or 210 00:11:49,800 --> 00:11:52,160 Speaker 9: an AUDI vehicle to understand the environment the same way. 211 00:11:52,679 --> 00:11:57,120 Speaker 9: So there's no differentiation there. HMI and control. Clearly that's 212 00:11:57,160 --> 00:12:00,080 Speaker 9: in the territory of the car maker to differentiate. 213 00:12:00,040 --> 00:12:02,679 Speaker 4: Especially if you have a highest speck car response. 214 00:12:02,480 --> 00:12:05,360 Speaker 9: Yeah exactly. But then comes the big thing in the middle, 215 00:12:05,400 --> 00:12:08,440 Speaker 9: the big elephant, which is called driving policy. This is 216 00:12:08,520 --> 00:12:11,000 Speaker 9: all the decision making the car makes and the car 217 00:12:11,040 --> 00:12:13,600 Speaker 9: needs to do in order to merge into traffic. When 218 00:12:13,640 --> 00:12:17,720 Speaker 9: you're doing a hands free experience, now decide to change lane, 219 00:12:17,720 --> 00:12:20,360 Speaker 9: when to change line, how to negotiate with other with 220 00:12:20,440 --> 00:12:25,439 Speaker 9: other road users, the breaking profile, the comfort versus the 221 00:12:25,480 --> 00:12:29,360 Speaker 9: safety type of balancing. There's lots and lots of you know, 222 00:12:29,480 --> 00:12:34,360 Speaker 9: heavy AI. There lots of validation, you know, huge amount 223 00:12:34,400 --> 00:12:38,400 Speaker 9: of data for training, and this is something that so 224 00:12:38,520 --> 00:12:42,720 Speaker 9: far has been difficult to separate into something that you 225 00:12:42,760 --> 00:12:45,360 Speaker 9: can just give a library to the car maker. So 226 00:12:45,400 --> 00:12:48,760 Speaker 9: what we created we create an operating system that separates 227 00:12:48,840 --> 00:12:52,559 Speaker 9: driving policy into the universal part, which Mobili does as 228 00:12:52,640 --> 00:12:55,640 Speaker 9: kind of the substrate, all the all the difficult AI, 229 00:12:55,800 --> 00:12:58,840 Speaker 9: all the difficult AIE parts, and then the unique parts. 230 00:12:59,280 --> 00:13:04,160 Speaker 9: That is a set of code that we provide of 231 00:13:04,160 --> 00:13:08,040 Speaker 9: course reference code to the carmakers that controls every aspect 232 00:13:08,040 --> 00:13:09,040 Speaker 9: of the driving experience. 233 00:13:09,120 --> 00:13:12,520 Speaker 4: Right, they customize this the OS relative to the model 234 00:13:12,520 --> 00:13:13,400 Speaker 4: that they're trying SEA. 235 00:13:13,480 --> 00:13:15,480 Speaker 9: It's just like writing an app on an iPhone. 236 00:13:15,920 --> 00:13:17,400 Speaker 4: Just like writing app on an iPhone, you're going to 237 00:13:17,400 --> 00:13:18,600 Speaker 4: make any money from this. 238 00:13:19,480 --> 00:13:22,520 Speaker 9: Well, it allows us to scale. How so so because 239 00:13:22,760 --> 00:13:24,880 Speaker 9: you know, we're talking about very complex systems. You are 240 00:13:24,920 --> 00:13:28,080 Speaker 9: not just the front facing camera, you know, basic aidas. 241 00:13:28,559 --> 00:13:33,520 Speaker 9: These are systems with eleven cameras and radars, heavy compute 242 00:13:34,200 --> 00:13:38,000 Speaker 9: and scaling this from carmaker to carmaker is a challenge 243 00:13:38,000 --> 00:13:41,560 Speaker 9: because these are complex systems. This DXP allows us to 244 00:13:41,600 --> 00:13:44,839 Speaker 9: scale easily. From our point of view, we're creating one 245 00:13:44,880 --> 00:13:47,480 Speaker 9: system that kind of fits all, but from the point 246 00:13:47,480 --> 00:13:49,439 Speaker 9: of view of the car maker, the full control of 247 00:13:49,520 --> 00:13:53,080 Speaker 9: changing the driving experience to whatever they desire. 248 00:13:53,360 --> 00:13:55,240 Speaker 4: Let's talk about this, and we have to in the 249 00:13:55,240 --> 00:13:57,840 Speaker 4: context of last week. You gave a sales outlook for 250 00:13:57,880 --> 00:14:01,640 Speaker 4: this year overall below Wall Street estimates, but you basically 251 00:14:01,640 --> 00:14:04,679 Speaker 4: said first quarter sales will be down fifty percent year 252 00:14:04,720 --> 00:14:09,600 Speaker 4: on year. Why because customers built up inventores they've paused 253 00:14:09,720 --> 00:14:13,120 Speaker 4: ordering to work through the back rone. A question that 254 00:14:13,160 --> 00:14:15,160 Speaker 4: the street had is why didn't you see that coming 255 00:14:15,400 --> 00:14:16,160 Speaker 4: a bit sooner. 256 00:14:16,920 --> 00:14:20,480 Speaker 9: Look, this is the dark side of having long term commitments. 257 00:14:21,360 --> 00:14:23,680 Speaker 9: You know, during the COVID the years we're talking about 258 00:14:23,720 --> 00:14:26,600 Speaker 9: three years, we sold ninety nine million chips. Or during 259 00:14:26,640 --> 00:14:30,320 Speaker 9: these three years we had to give long term commitments 260 00:14:30,360 --> 00:14:33,280 Speaker 9: to our material suppliers, and we had to ask for 261 00:14:33,320 --> 00:14:35,240 Speaker 9: long term commitments from our customers. 262 00:14:35,440 --> 00:14:36,360 Speaker 7: The Tier one supplies. 263 00:14:36,400 --> 00:14:38,880 Speaker 9: Long term commitments is a year and a half going forward, 264 00:14:39,400 --> 00:14:41,640 Speaker 9: and it's difficult to kind of forecast a year and 265 00:14:41,680 --> 00:14:45,440 Speaker 9: the half to do accurate forecasting. So we felt very 266 00:14:45,480 --> 00:14:48,280 Speaker 9: secure that we have, you know, foreign purchase orders a 267 00:14:48,320 --> 00:14:50,800 Speaker 9: year and a half ahead. Well, what it turns out 268 00:14:50,840 --> 00:14:53,840 Speaker 9: that you know, customers, the Tier ones, they gradually built up. 269 00:14:55,360 --> 00:14:57,239 Speaker 4: Inventory severe inventory. 270 00:14:57,320 --> 00:14:59,560 Speaker 9: Well you know, it's about seven percent of what we 271 00:14:59,600 --> 00:15:01,600 Speaker 9: shipped in three years, so it's not that severe, but 272 00:15:01,640 --> 00:15:04,360 Speaker 9: two three percent a year. But you know, it was 273 00:15:04,440 --> 00:15:07,560 Speaker 9: kind of under the rug. We didn't see it. We 274 00:15:07,600 --> 00:15:10,400 Speaker 9: didn't see it coming. And now the first quarter of 275 00:15:10,400 --> 00:15:12,720 Speaker 9: twenty twenty four, all this inventory is going to be 276 00:15:12,840 --> 00:15:16,440 Speaker 9: used and then the remaining years as growth the second 277 00:15:16,480 --> 00:15:20,040 Speaker 9: quarter or third quarter, fourth quarter is the natural growth 278 00:15:20,080 --> 00:15:22,000 Speaker 9: of alas. 279 00:15:21,360 --> 00:15:24,320 Speaker 4: Returning to grave. And you're seeing very quickly evidence that 280 00:15:24,360 --> 00:15:27,440 Speaker 4: the inventories are now being worked through in first So. 281 00:15:27,480 --> 00:15:29,920 Speaker 9: The first quarter, the invanty is going to be depleted 282 00:15:30,400 --> 00:15:31,760 Speaker 9: and then we're going back to normal. 283 00:15:31,800 --> 00:15:35,040 Speaker 4: Okay. The other piece of news is Mahindra you are 284 00:15:35,040 --> 00:15:38,040 Speaker 4: going to provide a desk tech for their next gen cars. 285 00:15:38,360 --> 00:15:40,560 Speaker 4: Give me some numbers. What does that look like over 286 00:15:40,600 --> 00:15:41,320 Speaker 4: the coming years. 287 00:15:41,360 --> 00:15:44,440 Speaker 9: Well, we have ADAS tech in India with Mahindra and 288 00:15:44,520 --> 00:15:47,600 Speaker 9: Prime models in Prime models suv models and it turned 289 00:15:47,640 --> 00:15:49,960 Speaker 9: out to be very successful. You know that the demand 290 00:15:50,040 --> 00:15:53,480 Speaker 9: is about three times four times what they forecasted in India, 291 00:15:53,560 --> 00:15:56,320 Speaker 9: so there is kind of a strong sense of desire 292 00:15:56,400 --> 00:16:00,880 Speaker 9: for safety in India. What's interesting with this particular pr 293 00:16:01,440 --> 00:16:04,080 Speaker 9: is not that it's regular aid US. It's our latest model, 294 00:16:04,120 --> 00:16:07,760 Speaker 9: the Supervision eleven cameras around the car, hands free driving. 295 00:16:08,400 --> 00:16:10,640 Speaker 9: And you wouldn't expect India to be one of those, 296 00:16:11,240 --> 00:16:14,520 Speaker 9: you know, territories that will go and adopt such a system. 297 00:16:14,960 --> 00:16:19,280 Speaker 9: And it shows that in India, you know, our new 298 00:16:19,600 --> 00:16:22,840 Speaker 9: roads are being built, new highway roads are built being built, 299 00:16:23,080 --> 00:16:25,760 Speaker 9: and the kind of safety that these systems provide there 300 00:16:25,840 --> 00:16:28,760 Speaker 9: is a strong need for them. And India is a 301 00:16:28,840 --> 00:16:31,520 Speaker 9: huge growth territory. So it's not only China. 302 00:16:31,720 --> 00:16:35,520 Speaker 4: You also announced a deal with it unnamed automaker. I 303 00:16:35,560 --> 00:16:38,000 Speaker 4: know you won't name them. The question our audience has 304 00:16:38,000 --> 00:16:40,920 Speaker 4: for you is who is the lied our supplier on 305 00:16:41,000 --> 00:16:44,040 Speaker 4: these deals when I posted you coming on. They all said, 306 00:16:44,040 --> 00:16:46,160 Speaker 4: ask amnon, who's the lied oar supplier. 307 00:16:46,560 --> 00:16:49,640 Speaker 9: Well, if I tell you, it may kind of indicate 308 00:16:49,680 --> 00:16:53,200 Speaker 9: who is this Western Oh yem right. But you know 309 00:16:53,280 --> 00:16:58,560 Speaker 9: we won seventeen models both Supervision and Chauffeur. This is 310 00:16:58,600 --> 00:17:01,800 Speaker 9: a great win for our it's all coming out in 311 00:17:02,120 --> 00:17:06,280 Speaker 9: twenty twenty six. It's actually also drive the Robotaxi. 312 00:17:06,800 --> 00:17:09,359 Speaker 1: It's a huge it's a huge deal for us. 313 00:17:09,600 --> 00:17:12,280 Speaker 9: I think overall, when you look at Supervision platform, we 314 00:17:12,320 --> 00:17:15,520 Speaker 9: have now thirty car models three zero when we started 315 00:17:15,560 --> 00:17:17,120 Speaker 9: only with two car models a year ago. 316 00:17:17,560 --> 00:17:19,720 Speaker 4: I'm not sha share nobile. I CEEO. So good to 317 00:17:19,720 --> 00:17:20,960 Speaker 4: catch Thank you, thank you at C. 318 00:17:21,160 --> 00:17:32,040 Speaker 5: Yes time now for talking tech. 319 00:17:32,119 --> 00:17:35,680 Speaker 3: First up, India's Z Entertainment Beaus reportedly missed the deadline 320 00:17:35,680 --> 00:17:38,359 Speaker 3: to pay Walt Disney's India unit for the rights to 321 00:17:38,359 --> 00:17:40,920 Speaker 3: televise cricket matches now Blue. Both sources say Z didn't 322 00:17:40,920 --> 00:17:43,840 Speaker 3: pay a two hundred million dollar installment fee to Disney 323 00:17:43,960 --> 00:17:46,439 Speaker 3: Star it it was due to a shortage of cash. 324 00:17:46,760 --> 00:17:48,920 Speaker 3: Z and Disney Star entered that agreement at one point 325 00:17:48,920 --> 00:17:51,840 Speaker 3: four billion dollar packed in August to broadcast the cricket 326 00:17:51,840 --> 00:17:55,399 Speaker 3: games until twenty twenty seven. Meanwhile, JD dot COM's Dada 327 00:17:55,560 --> 00:17:59,399 Speaker 3: Nexus says it's investigating suspicious practices that led to a 328 00:17:59,480 --> 00:18:01,040 Speaker 3: discrepancy in its revenue outlook. 329 00:18:01,200 --> 00:18:02,720 Speaker 5: A routine audit found. 330 00:18:02,480 --> 00:18:05,639 Speaker 3: That Dudda may have overstated both sales and support costs 331 00:18:06,000 --> 00:18:07,919 Speaker 3: i AM rough one hundred and forty million dollars, triggering 332 00:18:08,000 --> 00:18:10,960 Speaker 3: a forty six percent job in its share price. Independent 333 00:18:10,960 --> 00:18:13,879 Speaker 3: advisors will assist in the review of the situation. Plus 334 00:18:14,000 --> 00:18:17,240 Speaker 3: Judipa Networks rising the most nearly twenty years. That's after 335 00:18:17,280 --> 00:18:19,280 Speaker 3: the Wall Street Journals said that the company was in 336 00:18:19,359 --> 00:18:22,160 Speaker 3: merger talks with the Hewlett Packard Enterprise. Now reports say 337 00:18:22,160 --> 00:18:26,320 Speaker 3: that HPA would would acquire Juniper for about thirteen billion 338 00:18:26,359 --> 00:18:29,720 Speaker 3: dollars representatives when both companies did not comment on the matter. 339 00:18:30,560 --> 00:18:32,399 Speaker 5: Now, let's just briefly return. 340 00:18:32,160 --> 00:18:34,720 Speaker 3: To what's going on at CS the conference there and 341 00:18:35,240 --> 00:18:37,400 Speaker 3: there are going to be some big announcements from tech's 342 00:18:37,400 --> 00:18:38,119 Speaker 3: biggest players. 343 00:18:38,160 --> 00:18:39,280 Speaker 5: One of them is Amazon. 344 00:18:39,440 --> 00:18:42,439 Speaker 3: It's already been unveiling its new video streaming features similar 345 00:18:42,440 --> 00:18:45,200 Speaker 3: to that of Apple Airplay. Joining us to break down 346 00:18:45,240 --> 00:18:48,480 Speaker 3: why this is important, Spencer, SOAPA, so already you can 347 00:18:48,520 --> 00:18:52,800 Speaker 3: do Google or Android cast you can do Apple Airplay, 348 00:18:53,080 --> 00:18:56,040 Speaker 3: Why does Amazon want to offer this optionality to Spencer. 349 00:18:57,440 --> 00:18:59,520 Speaker 10: Yeah, so Amazon's playing a little bit of catch up here, 350 00:18:59,560 --> 00:19:02,240 Speaker 10: and the key thing is that Amazon doesn't have a smartphone, 351 00:19:02,280 --> 00:19:04,159 Speaker 10: so that's why it comes at in kind of a 352 00:19:04,160 --> 00:19:07,919 Speaker 10: weak position. But It's realized people are using Prime Video 353 00:19:08,400 --> 00:19:12,040 Speaker 10: and they want to stream Prime Video on another device, 354 00:19:12,280 --> 00:19:14,080 Speaker 10: They're going to have to do that through either an 355 00:19:14,119 --> 00:19:18,200 Speaker 10: Android phone or an iOS device, and so Amazon's recognizing 356 00:19:18,280 --> 00:19:23,479 Speaker 10: you has to have its apps and functions operate that 357 00:19:23,520 --> 00:19:27,240 Speaker 10: way on devices that it doesn't make. So right now 358 00:19:27,280 --> 00:19:28,919 Speaker 10: you'll be able to date us today is you'll be 359 00:19:28,920 --> 00:19:33,680 Speaker 10: able to stream Prime Video from an iOS or Android 360 00:19:33,680 --> 00:19:36,320 Speaker 10: device onto like an EGO show, and that in months 361 00:19:36,400 --> 00:19:37,840 Speaker 10: you'll be able to do it on a player TV 362 00:19:37,960 --> 00:19:40,040 Speaker 10: and that sort of thing. But they're realizing is that 363 00:19:40,080 --> 00:19:42,440 Speaker 10: people's devices need to be able to talk to. 364 00:19:42,359 --> 00:19:42,960 Speaker 4: One another, and. 365 00:19:44,440 --> 00:19:46,600 Speaker 10: That you need to be able to stream for one 366 00:19:46,680 --> 00:19:50,680 Speaker 10: device your phone where you get the signal, onto another 367 00:19:50,720 --> 00:19:53,040 Speaker 10: device where you want to watch it. 368 00:19:53,040 --> 00:19:54,720 Speaker 5: It's called matter casting. 369 00:19:54,920 --> 00:19:56,880 Speaker 3: Now already we know that some of these big tech 370 00:19:56,880 --> 00:19:59,760 Speaker 3: companies have been trying to agree on the ways and 371 00:19:59,800 --> 00:20:02,880 Speaker 3: where you can do this sort of technology but what's 372 00:20:03,040 --> 00:20:05,359 Speaker 3: what's so hard about it? How hard did Amazon have 373 00:20:05,400 --> 00:20:08,000 Speaker 3: to work? Briefly, Spencer, Well, we know. 374 00:20:07,960 --> 00:20:14,040 Speaker 10: That they had to negotiate with Apple and Google and 375 00:20:14,040 --> 00:20:16,000 Speaker 10: those things can be kind of tense, you know, hard 376 00:20:16,000 --> 00:20:17,879 Speaker 10: to find a win win, and a lot of times 377 00:20:17,920 --> 00:20:19,800 Speaker 10: these companies want to be in like kind of a 378 00:20:19,920 --> 00:20:23,280 Speaker 10: walled garden where they control everything. 379 00:20:23,440 --> 00:20:25,840 Speaker 3: Yeah, Spencer Soper, I know you're a busy guy. You're 380 00:20:25,880 --> 00:20:27,800 Speaker 3: about to make that flight out to Las Vegas yourself. 381 00:20:27,800 --> 00:20:30,600 Speaker 3: We really appreciate you bringing us that particular story. 382 00:20:30,840 --> 00:20:38,040 Speaker 8: This is Blueberg Technology. 383 00:20:40,320 --> 00:20:42,520 Speaker 3: Welcome back to blue Meg Technology. I'm Caroline Hyed in 384 00:20:42,560 --> 00:20:44,600 Speaker 3: New York Ed. He's over there in Las Vegas. We'll 385 00:20:44,640 --> 00:20:45,920 Speaker 3: be about to see us in a moment. But let's 386 00:20:45,920 --> 00:20:47,560 Speaker 3: have a look at what's happening in the markets right now, 387 00:20:47,600 --> 00:20:50,480 Speaker 3: because we are actually seeing a little bit of a recovery. 388 00:20:50,800 --> 00:20:53,280 Speaker 3: We had seen some concerns around tech, particularly when it 389 00:20:53,280 --> 00:20:54,879 Speaker 3: came to the chip stocks from she delve into in 390 00:20:54,880 --> 00:20:57,000 Speaker 3: a moment, But now it's like one hundred currently recovering. 391 00:20:57,160 --> 00:20:59,800 Speaker 3: We're only about twenty three points. That's less than to 392 00:21:00,119 --> 00:21:02,760 Speaker 3: tents of a percent. Nevertheless, there is int cautious holding 393 00:21:02,760 --> 00:21:04,080 Speaker 3: into the Nasdaq tenure. 394 00:21:03,880 --> 00:21:05,680 Speaker 5: Yield currently seeing a bit of a bid. 395 00:21:05,680 --> 00:21:08,160 Speaker 3: We're off by one two basis points across the curve 396 00:21:08,200 --> 00:21:10,000 Speaker 3: in facts and buying into that three year auction that 397 00:21:10,040 --> 00:21:12,359 Speaker 3: we're anticipating. But the direction of travel for bond markets 398 00:21:12,400 --> 00:21:15,400 Speaker 3: really does stick tech. Perhaps what happens with overall equity 399 00:21:15,440 --> 00:21:17,680 Speaker 3: markets as well. We're all wondering where the Federal Reserve goes. 400 00:21:17,920 --> 00:21:20,520 Speaker 3: Bitcoin just down about seven ten percent and the moment 401 00:21:20,560 --> 00:21:22,320 Speaker 3: we're gonna be delving into bitcoin in a moment, but 402 00:21:22,680 --> 00:21:25,200 Speaker 3: just caution and maybe treading water ahead of what's the 403 00:21:25,280 --> 00:21:28,000 Speaker 3: all important spot, Bitcoin ETF that we hope, well the 404 00:21:28,040 --> 00:21:30,600 Speaker 3: market anticipates might be signed off as soon as tomorrow 405 00:21:30,680 --> 00:21:32,960 Speaker 3: forty seven hundred and ninety one. Move into some of 406 00:21:33,000 --> 00:21:35,200 Speaker 3: the individual movers that we're looking at individual stocks that 407 00:21:35,240 --> 00:21:37,080 Speaker 3: are on the move, and we really have been seeing 408 00:21:37,280 --> 00:21:39,720 Speaker 3: in particular, I think this is the wrong one here, 409 00:21:39,760 --> 00:21:41,040 Speaker 3: but I was looking at what was happening in the 410 00:21:41,080 --> 00:21:43,520 Speaker 3: chip stocks in particular, and we are seeing the socks 411 00:21:43,680 --> 00:21:46,840 Speaker 3: had been showing some under pressure, but overall seeingle recovery 412 00:21:46,880 --> 00:21:49,359 Speaker 3: in chip stocks, even after Samsung told us, of course, 413 00:21:49,359 --> 00:21:52,680 Speaker 3: of their revenue fall for offerittability fall and ultimately a 414 00:21:52,760 --> 00:21:55,520 Speaker 3: worry about the slump continuing in chips and memory and 415 00:21:55,560 --> 00:21:58,400 Speaker 3: what that means to be overall tech recovery, Unity software 416 00:21:58,480 --> 00:22:00,320 Speaker 3: interesting one Pokemon Go. You might have play it and 417 00:22:00,440 --> 00:22:02,919 Speaker 3: my son's pretty addicted, but look overall they're having to 418 00:22:02,920 --> 00:22:05,080 Speaker 3: share jobs. We saw that after the bell being announced. 419 00:22:05,080 --> 00:22:06,800 Speaker 3: We actually saw some recovery in the stock yesterday. 420 00:22:06,800 --> 00:22:07,720 Speaker 5: But now it turns south. 421 00:22:07,920 --> 00:22:10,240 Speaker 3: Eighteen hundred jobs or so on the block when it 422 00:22:10,280 --> 00:22:13,080 Speaker 3: comes from this particular company, MicroStrategy, and look at some. 423 00:22:12,960 --> 00:22:13,960 Speaker 5: Of the individual movers. 424 00:22:13,960 --> 00:22:15,960 Speaker 3: When it comes to crypto and we are under a 425 00:22:15,960 --> 00:22:17,919 Speaker 3: little bit of selling pressure, we receive perhaps just a 426 00:22:17,920 --> 00:22:20,239 Speaker 3: pause in the run up of bitcoin prices. Remember they 427 00:22:20,240 --> 00:22:22,640 Speaker 3: were eclipsing forty seven thousand yesterday. Today we just pull 428 00:22:22,680 --> 00:22:24,960 Speaker 3: back to that forty six thousand dollar handlef for bitcoin. 429 00:22:25,119 --> 00:22:27,080 Speaker 3: We're of by two and a half percent for micro Strategy, 430 00:22:27,080 --> 00:22:29,760 Speaker 3: which of course holds an awful lot of e OG 431 00:22:29,960 --> 00:22:32,520 Speaker 3: of the crypto space. Then let's talk about bitcoin. Let's 432 00:22:32,520 --> 00:22:34,400 Speaker 3: talk about the spot bitcoin ETF and what it means 433 00:22:34,440 --> 00:22:36,719 Speaker 3: to the rest of the market. Ayakontorovich is a busy 434 00:22:36,960 --> 00:22:40,239 Speaker 3: person right now. Fractal Co CEO and co founder and 435 00:22:40,280 --> 00:22:42,679 Speaker 3: You've been in this space for a long time and 436 00:22:42,720 --> 00:22:45,960 Speaker 3: I'm interested. So what this ultimately means if we get 437 00:22:45,960 --> 00:22:47,600 Speaker 3: the sign off January. 438 00:22:47,160 --> 00:22:51,359 Speaker 11: Tenth, Absolutely, it's a pretty big move. It's going to 439 00:22:51,400 --> 00:22:55,160 Speaker 11: be fifteen years after the initial genesis block of bitcoin, 440 00:22:55,480 --> 00:22:59,040 Speaker 11: and what we expected is actually a rotation from GBTC 441 00:22:59,240 --> 00:23:03,000 Speaker 11: Spot Bitcoin as well as the future into the ETF 442 00:23:03,040 --> 00:23:05,720 Speaker 11: because not only is it cheaper, but also from a 443 00:23:05,720 --> 00:23:08,440 Speaker 11: custody and security perspective, it's going to be a lot 444 00:23:08,520 --> 00:23:09,919 Speaker 11: safer in terms of risks. 445 00:23:10,160 --> 00:23:12,800 Speaker 12: You have bn Y Mellon who's the admin for over. 446 00:23:12,680 --> 00:23:16,160 Speaker 11: Half of the ETF today, and what you'll see also 447 00:23:16,240 --> 00:23:19,240 Speaker 11: is instead of paying ten plus percent for the future's 448 00:23:19,240 --> 00:23:21,800 Speaker 11: carry rate, you're going to pay an applied cost of 449 00:23:21,880 --> 00:23:25,240 Speaker 11: roughly twenty bits in fees, which again is a lot 450 00:23:25,320 --> 00:23:28,840 Speaker 11: like cheaper. So you'll likely see the CME basis collapse, 451 00:23:28,920 --> 00:23:30,960 Speaker 11: which we expect to be trading under darbid. 452 00:23:31,600 --> 00:23:34,920 Speaker 3: So ultimately people get out of the futures because it's expensive, 453 00:23:35,160 --> 00:23:37,520 Speaker 3: they go to the Spot Bitcoin ETF and we're. 454 00:23:37,400 --> 00:23:39,879 Speaker 5: Looking at sort of a whole raft of inflows. 455 00:23:39,920 --> 00:23:41,640 Speaker 3: What it ultimately means, will it be five to ten 456 00:23:41,680 --> 00:23:44,320 Speaker 3: billion in the first week of trading. What sort of 457 00:23:44,400 --> 00:23:49,600 Speaker 3: scale and of adoption do you anticipate, ia, I think. 458 00:23:49,440 --> 00:23:51,480 Speaker 11: You know the market is priced anywhere between one to 459 00:23:51,520 --> 00:23:54,040 Speaker 11: two billion. You saw standard charter that said they expect 460 00:23:54,080 --> 00:23:55,919 Speaker 11: anywhere between fifty to one hundred. 461 00:23:55,680 --> 00:23:58,760 Speaker 12: Billion within you know, twenty twenty four a loan. It 462 00:23:58,800 --> 00:23:59,520 Speaker 12: really depends. 463 00:23:59,560 --> 00:24:03,320 Speaker 11: But I say, you know today you still have open interests. 464 00:24:03,320 --> 00:24:05,640 Speaker 11: That's the highest it's ever been on the CME. Though 465 00:24:05,640 --> 00:24:08,719 Speaker 11: institutions are very much long Bitcoin, and because it is 466 00:24:08,760 --> 00:24:11,919 Speaker 11: so expensive but also very difficult to trade on the 467 00:24:11,960 --> 00:24:15,920 Speaker 11: CME directly today, whether it's through an FCM or it's 468 00:24:15,960 --> 00:24:18,479 Speaker 11: through your broker, we do expect to see that migrate 469 00:24:18,560 --> 00:24:21,119 Speaker 11: over to the spot etf which will just inherently be 470 00:24:21,200 --> 00:24:23,480 Speaker 11: easier to trade con fractal. 471 00:24:23,720 --> 00:24:26,760 Speaker 3: Of course, your business that you're building is all about 472 00:24:26,760 --> 00:24:30,800 Speaker 3: trying to make trading liquidity, the whole use case of 473 00:24:31,560 --> 00:24:35,360 Speaker 3: this new asset class easier. I'm interested as to what 474 00:24:35,400 --> 00:24:38,119 Speaker 3: sort of scale of adoption you see for retail, Like 475 00:24:38,160 --> 00:24:39,960 Speaker 3: a lot of this is about institutional buying, a lot 476 00:24:39,960 --> 00:24:41,200 Speaker 3: of it so about whether or not I can get 477 00:24:41,200 --> 00:24:42,200 Speaker 3: out on my pension. 478 00:24:43,720 --> 00:24:44,160 Speaker 12: Exactly. 479 00:24:44,160 --> 00:24:46,440 Speaker 11: And so you know, the conversations we've been having even 480 00:24:46,560 --> 00:24:48,639 Speaker 11: we always talk about the stander run up or the 481 00:24:48,640 --> 00:24:51,720 Speaker 11: conversations that people have in Thanksgiving when they're home with 482 00:24:51,760 --> 00:24:54,720 Speaker 11: their families, and really the realistic thing is, up until 483 00:24:54,720 --> 00:24:57,000 Speaker 11: now people couldn't purchase this easily in their four to 484 00:24:57,040 --> 00:24:59,840 Speaker 11: one K in their I raise, and now this unlocks 485 00:25:00,160 --> 00:25:04,159 Speaker 11: this entire market, which is over six trillion just in 486 00:25:04,200 --> 00:25:06,680 Speaker 11: the ETF market alone in the United States. The RIA 487 00:25:06,760 --> 00:25:10,439 Speaker 11: market is also massive specific in the US, and the 488 00:25:10,480 --> 00:25:13,280 Speaker 11: fees for this is also relatively low. We're seeing a 489 00:25:13,320 --> 00:25:17,080 Speaker 11: competition of fees as well. And aside from just your dad, 490 00:25:17,160 --> 00:25:19,960 Speaker 11: your grandparents being able to purchase US, we've also seen 491 00:25:20,000 --> 00:25:23,639 Speaker 11: a lot of narratives Bitcoin narratives on chain around surrounding 492 00:25:23,680 --> 00:25:26,520 Speaker 11: companies that are BTC specific also have a run up 493 00:25:26,520 --> 00:25:27,280 Speaker 11: into this news. 494 00:25:28,280 --> 00:25:30,399 Speaker 3: It's interesting, isn't it The way in which the SEC 495 00:25:30,480 --> 00:25:32,280 Speaker 3: has been trying to play this. There's been lots of 496 00:25:32,600 --> 00:25:34,879 Speaker 3: anticipation and perhaps reporting that they. 497 00:25:34,720 --> 00:25:35,960 Speaker 5: Didn't want to make a king maker. 498 00:25:36,080 --> 00:25:39,680 Speaker 3: It sort of happened with the Future's Bitcoin ETF where 499 00:25:39,760 --> 00:25:41,560 Speaker 3: prochees just got ahead of the rest of the pack. 500 00:25:42,480 --> 00:25:45,600 Speaker 3: How do we decide which particular offering you go for? 501 00:25:45,720 --> 00:25:47,600 Speaker 3: Is this going to be like a rush of marketing 502 00:25:47,680 --> 00:25:50,639 Speaker 3: to decide which particular well, whether you go to Fidelity, 503 00:25:50,720 --> 00:25:54,320 Speaker 3: whether you use are all the different vuying of spot 504 00:25:54,359 --> 00:25:55,400 Speaker 3: bitcoin atf sire. 505 00:25:56,760 --> 00:25:58,399 Speaker 11: I think at the end of the day, it always 506 00:25:58,400 --> 00:26:02,360 Speaker 11: comes down to the comfort of the individual user and you. 507 00:26:02,320 --> 00:26:05,240 Speaker 12: Know, the access that they have. If the overhead is. 508 00:26:05,240 --> 00:26:08,359 Speaker 11: Going to be really high in terms of changing opening 509 00:26:08,400 --> 00:26:10,600 Speaker 11: new accounts, they're probably not going to be I want 510 00:26:10,640 --> 00:26:13,000 Speaker 11: to use it. And so we're seeing one in terms 511 00:26:13,040 --> 00:26:15,320 Speaker 11: of access. You know, is it already sitting in someone's 512 00:26:15,359 --> 00:26:18,159 Speaker 11: four one k it's the ra already exposed to that 513 00:26:18,240 --> 00:26:21,120 Speaker 11: specific broker. The second is the competition around the flease. 514 00:26:21,160 --> 00:26:23,920 Speaker 11: So you saw Blackrock adjusts down to twenty bits, you're 515 00:26:23,960 --> 00:26:26,359 Speaker 11: seeing bit wise at twenty four arc and Venac at 516 00:26:26,400 --> 00:26:29,159 Speaker 11: twenty five and then all the way up to grayscale 517 00:26:29,200 --> 00:26:31,080 Speaker 11: one and a half percent, and so you know that's 518 00:26:31,119 --> 00:26:34,240 Speaker 11: also a big portion of it as well. Realistically, I 519 00:26:34,280 --> 00:26:37,800 Speaker 11: think when you look at the exposure Blackrock has in 520 00:26:37,840 --> 00:26:41,000 Speaker 11: the specific market, it's a no brainer that they probably 521 00:26:41,040 --> 00:26:44,159 Speaker 11: have the overhead in terms of just being able to 522 00:26:44,240 --> 00:26:45,720 Speaker 11: access a wider market. 523 00:26:45,960 --> 00:26:48,080 Speaker 3: Meanwhile, people have been in the crypto space is still 524 00:26:48,119 --> 00:26:51,440 Speaker 3: looking to trade I don't know. You provide infrastructure, whether 525 00:26:51,480 --> 00:26:55,120 Speaker 3: it's clear and settling sort of margin on digital assets. 526 00:26:55,480 --> 00:26:58,400 Speaker 3: They're not just looking to play in bitcoin, they want 527 00:26:58,400 --> 00:27:01,800 Speaker 3: old coins as well. What does the spot bitcoin ETF 528 00:27:01,880 --> 00:27:04,560 Speaker 3: mean for eight for Solana, for some of the smaller 529 00:27:04,560 --> 00:27:06,000 Speaker 3: old coins, the mean coins. 530 00:27:05,640 --> 00:27:09,639 Speaker 11: Even Yeah, so I will be honest, you know, the 531 00:27:09,640 --> 00:27:13,240 Speaker 11: the all coin market has been lagging tremendously into this move. 532 00:27:13,320 --> 00:27:16,120 Speaker 11: This is the lowest level of eth BTC that we've 533 00:27:16,119 --> 00:27:18,320 Speaker 11: seen over the last year, and so it's really going 534 00:27:18,359 --> 00:27:20,440 Speaker 11: to be interesting now to see, you know, what's the 535 00:27:20,520 --> 00:27:23,960 Speaker 11: narrative around the eth ETF once BTC is approved. And 536 00:27:24,040 --> 00:27:27,480 Speaker 11: also we've seen clients trade ethe the eight future into 537 00:27:27,480 --> 00:27:29,920 Speaker 11: the approval tomorrow, assuming that there might be an eth 538 00:27:29,960 --> 00:27:33,480 Speaker 11: ETF coming next. On the more esoteric alts we've seen 539 00:27:33,560 --> 00:27:37,200 Speaker 11: around the bitcoin narrative, you have stax st x, which 540 00:27:37,240 --> 00:27:40,440 Speaker 11: is small contract on bitcoin, ordinals. 541 00:27:40,200 --> 00:27:41,240 Speaker 12: And thor chain bruin. 542 00:27:41,720 --> 00:27:44,240 Speaker 11: All of these are built on bitcoin and then also 543 00:27:44,320 --> 00:27:48,000 Speaker 11: seen a price appreciation into the move with the CTF. 544 00:27:48,480 --> 00:27:50,640 Speaker 5: I am we thank you for carving out a little 545 00:27:50,640 --> 00:27:53,240 Speaker 5: bit of time. Order is a pretty hectic week. I'm 546 00:27:53,280 --> 00:27:53,879 Speaker 5: sure I can. 547 00:27:53,920 --> 00:27:56,960 Speaker 3: Tarovich, we thank you so much factal co CEO co founder. 548 00:27:57,440 --> 00:27:59,239 Speaker 3: We always love having you in the show. Meanwhile, coming up, 549 00:27:59,359 --> 00:28:01,399 Speaker 3: we're going to continue our CEES coverage. We're going to 550 00:28:01,440 --> 00:28:04,240 Speaker 3: sit down with Qualcom CEO Cristiano am On. You do 551 00:28:04,359 --> 00:28:07,080 Speaker 3: not want to miss that conversation. Whether it's of course 552 00:28:07,119 --> 00:28:09,400 Speaker 3: the chips that have been used within auto's, whether it's 553 00:28:09,440 --> 00:28:11,560 Speaker 3: in the latest VR AR. We're going to have a 554 00:28:11,600 --> 00:28:13,960 Speaker 3: conversation across the bold. This is Bloomberg Technology. 555 00:28:18,680 --> 00:28:22,200 Speaker 4: Welcome to our Bloomberg television and radio audiences worldwide. We 556 00:28:22,240 --> 00:28:25,520 Speaker 4: are live at cs Las Vegas and we're talking to 557 00:28:25,600 --> 00:28:29,960 Speaker 4: the CEO of Qualcom, Cristiano among Cristiano, good to see you, 558 00:28:30,000 --> 00:28:33,800 Speaker 4: Good to see it. There is a flood of wide 559 00:28:33,920 --> 00:28:36,320 Speaker 4: ranging news and announcements, but I actually want to start 560 00:28:36,320 --> 00:28:40,000 Speaker 4: on your updated XR chip. This is a processor that 561 00:28:40,040 --> 00:28:44,400 Speaker 4: you are going to put into headsets, mixed reality headsets 562 00:28:44,400 --> 00:28:47,880 Speaker 4: that will take on the Apple Vision Pro. And I 563 00:28:47,960 --> 00:28:50,160 Speaker 4: just want you to talk about how confident you are 564 00:28:50,640 --> 00:28:52,920 Speaker 4: that you will take on the Apple Vision Pro and 565 00:28:52,920 --> 00:28:55,440 Speaker 4: at what end of the market you're going to help support. 566 00:28:55,640 --> 00:28:59,360 Speaker 2: Look, we have been a big believerance spaceship computing, and 567 00:28:59,400 --> 00:29:03,320 Speaker 2: I think the arge in two It's another instance of 568 00:29:03,800 --> 00:29:06,800 Speaker 2: what we have been doing generation after generation again four K, 569 00:29:06,920 --> 00:29:09,680 Speaker 2: especially computer on Eachi. But most important is we've been 570 00:29:09,760 --> 00:29:12,120 Speaker 2: driving how to bring scale. You see some of the 571 00:29:12,200 --> 00:29:15,840 Speaker 2: partnerships we have with Meta, what were they doing with. 572 00:29:15,880 --> 00:29:19,640 Speaker 7: The Quest series? We're working and announced. 573 00:29:19,160 --> 00:29:21,800 Speaker 2: I think a while ago that we're working with Sansung 574 00:29:21,880 --> 00:29:25,520 Speaker 2: and Google. You saw some devices being announced from Sony. 575 00:29:25,920 --> 00:29:28,520 Speaker 2: I think that's a great opportunity, and the key thing 576 00:29:28,640 --> 00:29:30,760 Speaker 2: is can you get that to a scale with the 577 00:29:30,800 --> 00:29:34,040 Speaker 2: performance and the price point that we excite developers. 578 00:29:34,080 --> 00:29:35,280 Speaker 7: I think it's a great opportunity. 579 00:29:35,320 --> 00:29:37,400 Speaker 4: On the scale point, there is a feeling that Apple 580 00:29:37,440 --> 00:29:39,760 Speaker 4: will come in with Division Pro or a next generation 581 00:29:40,240 --> 00:29:43,040 Speaker 4: at a lower price point and just take the market 582 00:29:43,400 --> 00:29:46,440 Speaker 4: based on the demand you've had for XR two plus. 583 00:29:46,960 --> 00:29:48,920 Speaker 4: Is that going to be the case? So no, I 584 00:29:48,960 --> 00:29:49,360 Speaker 4: think you. 585 00:29:49,400 --> 00:29:50,960 Speaker 2: Have to look at this in a different way. I 586 00:29:50,960 --> 00:29:53,320 Speaker 2: think Apple is doing a great job. I think what 587 00:29:53,400 --> 00:29:55,959 Speaker 2: they done with Division Pro it's great. If you look 588 00:29:56,000 --> 00:29:58,680 Speaker 2: at the device and to bring it to scale. All 589 00:29:58,720 --> 00:30:02,680 Speaker 2: that it's going to do is to ignite the developer ecosystem. 590 00:30:02,720 --> 00:30:05,120 Speaker 2: At the end of the day, those computing platforms and 591 00:30:05,200 --> 00:30:09,640 Speaker 2: developers creating content the more that you have more content, 592 00:30:09,680 --> 00:30:11,880 Speaker 2: and that content that they're going to help create is 593 00:30:11,880 --> 00:30:13,280 Speaker 2: going to be available on. 594 00:30:13,280 --> 00:30:15,480 Speaker 7: Other platforms as well, and vice versa. 595 00:30:15,600 --> 00:30:18,520 Speaker 2: It's about creating the next special computing platform. 596 00:30:18,840 --> 00:30:20,200 Speaker 7: It's a great opportunity. 597 00:30:20,240 --> 00:30:23,280 Speaker 2: We're still in the early growth stage of this market. 598 00:30:23,400 --> 00:30:26,640 Speaker 4: You have been to many cess I have been to 599 00:30:26,680 --> 00:30:29,360 Speaker 4: a few. It's always hard to find the common theme. 600 00:30:29,880 --> 00:30:31,880 Speaker 4: But this year there is clearly a common theme, which 601 00:30:31,920 --> 00:30:33,960 Speaker 4: is AI. And you and I have talked in the 602 00:30:33,960 --> 00:30:37,760 Speaker 4: past about on device AI use, particularly in the cell 603 00:30:37,760 --> 00:30:41,760 Speaker 4: phone or smartphone context. This year, the PC seems to 604 00:30:41,800 --> 00:30:45,960 Speaker 4: be the battleground. What is cloudcom doing AI on PC? 605 00:30:46,280 --> 00:30:49,480 Speaker 2: Look, we're incredibly excited and we feel kind of what 606 00:30:49,560 --> 00:30:52,080 Speaker 2: we have been saying is validated if we look at 607 00:30:52,120 --> 00:30:56,000 Speaker 2: all of the other companies all announcing on device AI, 608 00:30:56,520 --> 00:30:59,000 Speaker 2: something we've been talking for more than a year. If 609 00:30:59,000 --> 00:31:03,000 Speaker 2: you look what we did at Snapdragon Summit, we're now Exceleite, 610 00:31:03,200 --> 00:31:08,000 Speaker 2: which right now is the king of all device AI 611 00:31:08,480 --> 00:31:12,160 Speaker 2: computing platform for the PC has an integrated total seventy 612 00:31:12,200 --> 00:31:16,040 Speaker 2: five top stre operations per second, and we started to 613 00:31:16,080 --> 00:31:20,240 Speaker 2: see what Microsoft is doing other companies doing this is exciting. 614 00:31:20,360 --> 00:31:20,920 Speaker 1: Just to put in. 615 00:31:20,920 --> 00:31:26,200 Speaker 2: Perspective, we have over thirty different AI models been ported 616 00:31:26,280 --> 00:31:30,120 Speaker 2: to the Snapdragon platform preparing for. 617 00:31:30,000 --> 00:31:34,400 Speaker 7: This on device AIPC, and it's going to change user experience, 618 00:31:34,400 --> 00:31:35,560 Speaker 7: it's going to change productivity. 619 00:31:35,720 --> 00:31:37,520 Speaker 2: Look at the number of CEOs talking about how they 620 00:31:37,640 --> 00:31:40,120 Speaker 2: investing in this, and when you run on a device, 621 00:31:40,480 --> 00:31:43,240 Speaker 2: it's more secure and you have context and you have privacy. 622 00:31:43,320 --> 00:31:47,320 Speaker 4: So, as an example, has been talking about the promise 623 00:31:47,560 --> 00:31:50,680 Speaker 4: of chips that power aim PC for quite a long 624 00:31:50,720 --> 00:31:55,480 Speaker 4: time and it kind of hasn't materialized until now. When 625 00:31:55,520 --> 00:31:58,080 Speaker 4: I posted on x and asked our audience, what are 626 00:31:58,120 --> 00:32:01,360 Speaker 4: you most excited about from a technology gadget perspective twenty 627 00:32:01,400 --> 00:32:04,440 Speaker 4: twenty four. To be fair, many people replied and said 628 00:32:04,440 --> 00:32:07,360 Speaker 4: Snapdragon elite. So what does snap Dragon look like in 629 00:32:07,400 --> 00:32:10,280 Speaker 4: the real, real world this year twenty twenty four, How 630 00:32:10,320 --> 00:32:13,280 Speaker 4: many consumers can actually sit at their laptop or PC 631 00:32:13,800 --> 00:32:15,880 Speaker 4: and do something of interest. 632 00:32:16,160 --> 00:32:17,680 Speaker 7: Oh, you're going to be able to do a lot. 633 00:32:18,120 --> 00:32:21,240 Speaker 2: So maybe just put a perspective on Excelle because there's 634 00:32:21,240 --> 00:32:23,760 Speaker 2: a lot of excitement. We're very happy that a number 635 00:32:23,760 --> 00:32:26,800 Speaker 2: of designs is going to launch together with the new 636 00:32:26,960 --> 00:32:31,000 Speaker 2: version of Windows is going to have on device copilot, 637 00:32:31,400 --> 00:32:33,160 Speaker 2: and there's so many things you'll be able to do 638 00:32:33,400 --> 00:32:36,160 Speaker 2: from be able to have a computer now. 639 00:32:36,040 --> 00:32:37,480 Speaker 7: That's going to predict your every moment. 640 00:32:37,720 --> 00:32:40,000 Speaker 2: You're going to have copilot when you talk about the 641 00:32:40,040 --> 00:32:43,440 Speaker 2: Windows ecles system across all the different applications, and there's 642 00:32:43,480 --> 00:32:45,680 Speaker 2: a number of other use cases. When you think about 643 00:32:46,080 --> 00:32:49,280 Speaker 2: visual models, language models, they're being developed. 644 00:32:49,280 --> 00:32:51,480 Speaker 7: They're very exciting, and I think. 645 00:32:51,280 --> 00:32:54,160 Speaker 2: That that's happen on PC, that's. 646 00:32:54,000 --> 00:32:56,520 Speaker 7: Happening on phones, that's going to happening on cars as well. 647 00:32:56,960 --> 00:33:00,080 Speaker 4: To our Bloomberg television and radio audience worldwide relive in 648 00:33:00,120 --> 00:33:03,680 Speaker 4: Las Vegas at CES and we're speaking to Christiano Raman, 649 00:33:03,880 --> 00:33:07,920 Speaker 4: CEO of Cloudcom. Let's set a baseline and say there 650 00:33:07,960 --> 00:33:11,160 Speaker 4: is still some weakness in the global smartphone market right 651 00:33:12,160 --> 00:33:15,920 Speaker 4: What functionality in this AI era is going to bring 652 00:33:15,960 --> 00:33:19,720 Speaker 4: the consumer back to start the upgrade cycle to get 653 00:33:19,800 --> 00:33:23,640 Speaker 4: smartphone growth like we've seen in prior cycles. 654 00:33:23,680 --> 00:33:25,880 Speaker 7: So that's a great question. As far as the weakness. 655 00:33:26,000 --> 00:33:28,120 Speaker 2: I think we did say in the last Learning score 656 00:33:28,240 --> 00:33:31,280 Speaker 2: that the correction and the inventory correction is behind us 657 00:33:31,360 --> 00:33:34,480 Speaker 2: right now. So we're excited about the market being stable, 658 00:33:34,840 --> 00:33:37,800 Speaker 2: and then it leads to exactly this point that you 659 00:33:37,880 --> 00:33:40,960 Speaker 2: bring up what is going to create a new upgrade 660 00:33:41,000 --> 00:33:43,080 Speaker 2: cycle that people want to buy a new phone. And 661 00:33:43,120 --> 00:33:46,160 Speaker 2: we're one hundred percent convinced is what's happening right now 662 00:33:46,200 --> 00:33:49,040 Speaker 2: with JENAI on the phone the way you need to 663 00:33:49,080 --> 00:33:51,720 Speaker 2: think about it. We have been accustomed to the experience 664 00:33:51,800 --> 00:33:54,840 Speaker 2: that you have a platform or the OS platform on 665 00:33:54,880 --> 00:33:56,600 Speaker 2: top of the computer, you have the apps, and you 666 00:33:56,640 --> 00:34:00,520 Speaker 2: go in and you touch it. But now on of 667 00:34:00,680 --> 00:34:03,120 Speaker 2: the OS you're going to have those models. They're trying 668 00:34:03,160 --> 00:34:06,320 Speaker 2: to predict your every move and it's going to bring 669 00:34:06,600 --> 00:34:08,720 Speaker 2: not only efficiency, but new use cases. 670 00:34:08,719 --> 00:34:09,440 Speaker 7: And we've seen that. 671 00:34:09,600 --> 00:34:12,680 Speaker 2: We've seen that with automatic translation, we're seeing that with 672 00:34:13,160 --> 00:34:14,160 Speaker 2: web summarization. 673 00:34:14,280 --> 00:34:15,960 Speaker 7: We're seeing that with ability. 674 00:34:15,560 --> 00:34:17,839 Speaker 2: To create content, and they did content in real time, 675 00:34:18,080 --> 00:34:22,520 Speaker 2: content that didn't exist before using visualization models and many more. 676 00:34:22,800 --> 00:34:26,160 Speaker 7: And something as simple as texting is going. 677 00:34:26,000 --> 00:34:29,120 Speaker 2: To have context that will allow the AI to bring 678 00:34:29,200 --> 00:34:31,839 Speaker 2: information that you may want to share, you may want 679 00:34:31,880 --> 00:34:36,160 Speaker 2: to schedule, all part of the experience. I'm believing the 680 00:34:36,160 --> 00:34:38,680 Speaker 2: next user experience is going to be based on Jenny 681 00:34:38,719 --> 00:34:41,839 Speaker 2: I on the phones, and we're optimistic that we can 682 00:34:41,880 --> 00:34:45,800 Speaker 2: start to see devices as early this year with those capability. 683 00:34:45,600 --> 00:34:48,040 Speaker 4: So in earliers this year. With that in mind, what 684 00:34:48,160 --> 00:34:51,600 Speaker 4: is your twenty twenty four global smartphone call outlook? 685 00:34:52,280 --> 00:34:54,920 Speaker 2: Difficult to make a call of the total market. I 686 00:34:54,960 --> 00:34:57,920 Speaker 2: think we're just happy that the market is now stable. 687 00:34:58,000 --> 00:35:01,520 Speaker 2: The correction is behind us. Let's see what our partners 688 00:35:01,560 --> 00:35:05,040 Speaker 2: can launch. Stay tuned, for example, what Samsung is going 689 00:35:05,080 --> 00:35:08,160 Speaker 2: to announce soon. I think there's a lot of excitement 690 00:35:08,560 --> 00:35:12,720 Speaker 2: about the Snapdragon h Entry automotive. 691 00:35:13,480 --> 00:35:16,200 Speaker 4: You are very bullitional automotive, and you've tried to position 692 00:35:16,280 --> 00:35:19,800 Speaker 4: the company to diversify the company. The automotive is a 693 00:35:19,880 --> 00:35:22,719 Speaker 4: key pillar. Ten percent of revenue is kind of the 694 00:35:22,760 --> 00:35:26,360 Speaker 4: target twenty twenty six end of decade nine billion of sales. 695 00:35:26,760 --> 00:35:29,640 Speaker 4: What data hits your desk that tells you you're on 696 00:35:29,719 --> 00:35:30,200 Speaker 4: track for that? 697 00:35:30,320 --> 00:35:31,440 Speaker 7: Oh, we're on track. 698 00:35:31,719 --> 00:35:33,680 Speaker 2: I think what we had said, we're going to get 699 00:35:34,200 --> 00:35:37,759 Speaker 2: to four billion fort milestone, and then we're going to 700 00:35:37,760 --> 00:35:39,360 Speaker 2: get to the nine billion the end of the decade. 701 00:35:39,640 --> 00:35:42,720 Speaker 2: I think we're ahead of those targets. What is really 702 00:35:42,840 --> 00:35:46,799 Speaker 2: showing traction is the number of OEMs that are being 703 00:35:46,840 --> 00:35:51,360 Speaker 2: working with Welcome and how we continue to add to 704 00:35:51,440 --> 00:35:54,560 Speaker 2: the pipeline of design. I think what's resonating the car 705 00:35:54,640 --> 00:35:58,799 Speaker 2: industry is transforming to a digital industry. 706 00:35:59,440 --> 00:36:02,200 Speaker 4: Well, come plain, Sorry to interrupt with same questions with 707 00:36:02,239 --> 00:36:05,879 Speaker 4: the smartphone or PC. What is the functionality If I'm 708 00:36:05,920 --> 00:36:08,719 Speaker 4: a customer, end user, that's going to change my mind 709 00:36:08,760 --> 00:36:12,200 Speaker 4: about buying this vehicle that has something it doesn't have 710 00:36:12,280 --> 00:36:13,920 Speaker 4: today that you a contributed. 711 00:36:13,960 --> 00:36:15,000 Speaker 7: Well you already seen that. 712 00:36:15,680 --> 00:36:18,880 Speaker 2: See the good thing about tracking qualcom progress for us, 713 00:36:18,880 --> 00:36:23,000 Speaker 2: it's less about the market size. It's more about gaining 714 00:36:23,080 --> 00:36:26,200 Speaker 2: share and new models are a launching the technology. You 715 00:36:26,239 --> 00:36:27,759 Speaker 2: can see some of the cars if you're going to 716 00:36:27,800 --> 00:36:30,960 Speaker 2: go buy a car today, let's just say the Mercedes class, 717 00:36:31,000 --> 00:36:36,040 Speaker 2: what GM is doing with their car line and many others. 718 00:36:37,160 --> 00:36:39,840 Speaker 2: You have a fully immersive digital cockpit. You didn't have 719 00:36:39,920 --> 00:36:43,480 Speaker 2: that before. That's enabled by Snapdragon. Right now you have 720 00:36:43,640 --> 00:36:47,120 Speaker 2: those beautiful screens that are immersive and it brings you 721 00:36:47,160 --> 00:36:49,839 Speaker 2: a lot of information about the car the road. On 722 00:36:49,920 --> 00:36:53,040 Speaker 2: top of that, you have safety and we have a 723 00:36:53,160 --> 00:36:56,960 Speaker 2: vision that assisted driving needs to be in every car. 724 00:36:57,280 --> 00:36:59,480 Speaker 2: For example, the announcement we did the show and a 725 00:36:59,480 --> 00:37:02,840 Speaker 2: portship with Bosh. We have now announced at the CS 726 00:37:02,880 --> 00:37:05,120 Speaker 2: a central compute platform that you can have adas in 727 00:37:05,160 --> 00:37:09,000 Speaker 2: a digital cockpit on the same silicon, which basically you 728 00:37:09,040 --> 00:37:11,000 Speaker 2: can do that for premium cards. 729 00:37:11,040 --> 00:37:12,920 Speaker 7: Now bring it to enter a level car last market. 730 00:37:12,920 --> 00:37:16,080 Speaker 2: Those are going to be completely different changes in how 731 00:37:16,120 --> 00:37:18,319 Speaker 2: you think about safety and how to think about your driving. 732 00:37:18,560 --> 00:37:21,640 Speaker 4: Christiana, we just have thirty seconds left. But where geographically 733 00:37:22,040 --> 00:37:23,520 Speaker 4: is the automotive growth coming from? 734 00:37:23,560 --> 00:37:25,960 Speaker 2: Which markets for US is across the board, because you 735 00:37:25,960 --> 00:37:29,320 Speaker 2: should think about us as new models, launcher or technology 736 00:37:29,320 --> 00:37:31,839 Speaker 2: we gain share. We're working with all the Americans, all 737 00:37:31,880 --> 00:37:35,919 Speaker 2: the Europeans, all the Koreans, all the Japanese, all the Chinese, 738 00:37:36,080 --> 00:37:39,000 Speaker 2: so pretty much the entire automotive industry. I would be 739 00:37:39,040 --> 00:37:40,719 Speaker 2: hard pressed to tell you a car company we're not 740 00:37:40,800 --> 00:37:42,360 Speaker 2: working with car Comcia. 741 00:37:42,480 --> 00:37:52,280 Speaker 4: Christiana, I'm on live from cs Las Vegas. 742 00:37:53,880 --> 00:37:54,040 Speaker 11: Now. 743 00:37:54,080 --> 00:37:57,719 Speaker 3: Microsoft's thirteen billion dollar investment into open Ai look at 744 00:37:57,800 --> 00:37:59,960 Speaker 3: Risk is a full blown investigation by the European Union 745 00:38:00,080 --> 00:38:03,400 Speaker 3: and deals watchdogs. There After a mutiny of course that 746 00:38:03,440 --> 00:38:06,800 Speaker 3: the chat GPT creator laid bare, there's really deep ties 747 00:38:06,880 --> 00:38:09,840 Speaker 3: between the two companies, Samaltman and of course Satia Nadella. 748 00:38:10,040 --> 00:38:13,279 Speaker 3: The European Commission said on Tuesday that it's examining whether 749 00:38:13,360 --> 00:38:16,520 Speaker 3: Microsoft's involvement should be vetted under the block's Mersura rules, 750 00:38:16,680 --> 00:38:18,640 Speaker 3: paving the way for a formal probe and even a 751 00:38:18,680 --> 00:38:23,560 Speaker 3: potential unwinding it's found to hamper fair competition. Meanwhile, let's 752 00:38:23,600 --> 00:38:25,880 Speaker 3: look at another coming together. This one is the Matchmaker 753 00:38:25,960 --> 00:38:29,319 Speaker 3: Match of course, company that is the parent company of 754 00:38:29,360 --> 00:38:32,319 Speaker 3: many a dating app, Tinder. Hinge shares rising after a 755 00:38:32,320 --> 00:38:35,319 Speaker 3: Wall Street Journal report said that Elliott Investment Management has 756 00:38:35,320 --> 00:38:37,080 Speaker 3: actually built up a stake of about a billion dollars 757 00:38:37,080 --> 00:38:39,440 Speaker 3: in the company. Ninbeg's Graham Star joins us now to 758 00:38:39,440 --> 00:38:43,040 Speaker 3: discuss as to what they are currently concerned about. Why 759 00:38:43,160 --> 00:38:44,960 Speaker 3: are they building up why do they want to be 760 00:38:45,040 --> 00:38:45,480 Speaker 3: pushing for. 761 00:38:45,560 --> 00:38:48,920 Speaker 13: Change a match So over the last four quarters, match 762 00:38:49,160 --> 00:38:51,880 Speaker 13: which owns Tinder, the largest dating app in the world, 763 00:38:52,160 --> 00:38:57,080 Speaker 13: has seen a consistent decline in paid subscribers, even though 764 00:38:57,080 --> 00:39:00,880 Speaker 13: it's increased the average revenue per user. Elie other investors 765 00:39:00,920 --> 00:39:02,480 Speaker 13: are likely to be concerned. 766 00:39:02,080 --> 00:39:03,080 Speaker 4: About that number. 767 00:39:03,840 --> 00:39:05,480 Speaker 13: There's been a lot of pressure on the company to 768 00:39:05,520 --> 00:39:08,720 Speaker 13: increase that subscriber number. They've rolled out new subscription plans 769 00:39:08,760 --> 00:39:11,279 Speaker 13: as well as new offerings to try and get new subscribers, 770 00:39:11,320 --> 00:39:14,439 Speaker 13: new paid users. That's likely the goal for the year. 771 00:39:14,760 --> 00:39:16,600 Speaker 13: Something I want to make clear is that there are 772 00:39:16,640 --> 00:39:21,000 Speaker 13: no cell ratings on match Group or even a close competitor, Bumble, 773 00:39:21,080 --> 00:39:23,600 Speaker 13: which has also seen a very similar decline over. 774 00:39:23,400 --> 00:39:24,160 Speaker 1: The last year. 775 00:39:24,840 --> 00:39:28,080 Speaker 3: Many would say this is a normalization, of course, like 776 00:39:28,239 --> 00:39:31,600 Speaker 3: many a stock when absolutely gangbusters during COVID because we're 777 00:39:31,600 --> 00:39:33,760 Speaker 3: all stuck at home, people dating using apps far more, 778 00:39:34,000 --> 00:39:36,279 Speaker 3: and then a realization that maybe the way in which 779 00:39:36,400 --> 00:39:39,040 Speaker 3: we date hasn't changed that much. But if they are 780 00:39:39,040 --> 00:39:42,359 Speaker 3: trying to charge sixty dollars per user, if you're really 781 00:39:42,400 --> 00:39:44,640 Speaker 3: active data, if they are trying to already change things up, 782 00:39:44,680 --> 00:39:48,720 Speaker 3: and Bernard Kim taking over in terms of steering Tinder 783 00:39:48,760 --> 00:39:50,960 Speaker 3: as well directly, and what can they really. 784 00:39:50,760 --> 00:39:53,360 Speaker 13: Do, do you think, Well, not just sixty dollars a month. 785 00:39:54,440 --> 00:39:56,680 Speaker 13: Late last year they rolled out a five hundred dollars 786 00:39:56,680 --> 00:39:59,400 Speaker 13: a month plan for Tinder as well, part of the 787 00:39:59,400 --> 00:40:01,840 Speaker 13: same Mac withsition that they bought the League, which is 788 00:40:01,880 --> 00:40:06,000 Speaker 13: again a very expensive dating app that is geared towards 789 00:40:06,040 --> 00:40:09,759 Speaker 13: career minded individuals in twenty twenty two. It is this 790 00:40:10,200 --> 00:40:14,840 Speaker 13: investment in different ways in which communities can develop, or 791 00:40:14,840 --> 00:40:18,080 Speaker 13: they can develop community focus dating apps. They also launch Archer, 792 00:40:18,080 --> 00:40:20,919 Speaker 13: which is focused on queer and bisexual and gay men, 793 00:40:21,640 --> 00:40:23,479 Speaker 13: as well as leaning into these other apps that they. 794 00:40:23,400 --> 00:40:28,319 Speaker 3: Own, add campaigns, pricing plans, ultra premium tiers. Is it 795 00:40:28,480 --> 00:40:30,520 Speaker 3: just more now that the investor base just thinks, oh good, 796 00:40:30,560 --> 00:40:34,000 Speaker 3: an activist investor might just start to drive. 797 00:40:33,840 --> 00:40:36,400 Speaker 5: Even more change or more view of the value of 798 00:40:36,400 --> 00:40:37,520 Speaker 5: the parts of this business. 799 00:40:37,640 --> 00:40:41,240 Speaker 13: I think there's also a goal for consistency. The company 800 00:40:41,280 --> 00:40:44,080 Speaker 13: has seen churn in its CEOs. It has not had 801 00:40:44,080 --> 00:40:46,480 Speaker 13: a CEO for longer than two years. Bernard Kim has 802 00:40:46,520 --> 00:40:48,600 Speaker 13: been CEO for less than two years at this point. 803 00:40:48,760 --> 00:40:51,280 Speaker 13: He's now been CEO of Tinder. In addition to Match Group, 804 00:40:52,560 --> 00:40:56,839 Speaker 13: the company's pricing plans see consistent churn, as you can 805 00:40:56,880 --> 00:41:00,360 Speaker 13: see with analysts attribute to just generally high pricing plans. 806 00:41:00,400 --> 00:41:02,280 Speaker 4: Overall, I think. 807 00:41:02,200 --> 00:41:04,840 Speaker 13: What investors are looking for is consistency that the company 808 00:41:04,920 --> 00:41:08,040 Speaker 13: can get more consistent, paid, active users. 809 00:41:08,640 --> 00:41:12,480 Speaker 3: We'll see if Elliott Management and Elliot Investment Management can 810 00:41:12,520 --> 00:41:14,279 Speaker 3: help stay with that Graham style. Great to have you on, 811 00:41:14,400 --> 00:41:16,200 Speaker 3: Thank you so much. Meanwhile, that does it for this 812 00:41:16,360 --> 00:41:20,000 Speaker 3: edition of Bloomberg Technology. The CES coverage does not stop 813 00:41:20,200 --> 00:41:21,960 Speaker 3: and continues tomorrow as well. Check it out on our 814 00:41:21,960 --> 00:41:26,239 Speaker 3: podcast if you need to recap, this is Bloomberg technology.