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Speaker 5: Coming up, we'll have full coverage on the aftermath the
Speaker 5: attack on former President Donald Trump.
Speaker 4: That says the RNC kicks off in Milwaukee.
Speaker 6: And we'll turn our attention to M and A.
Speaker 7: It's Google Eyes Whiz for its biggest ever acquisition.
Speaker 5: Plus we bring you the latest on Apple as shares
Speaker 5: hit a record high. For now, look, let's go on
Speaker 5: the ground to Milwaukee where former President Trump, we understand
Speaker 5: has arrived for the Republican National Convention joining us now
Speaker 5: in most Kayley lines, a lot of breaking news to
Speaker 5: continue to digest.
Speaker 8: Kayley, Yeah, there is, of course, the utmost being what
Speaker 8: happened over the weekend at Israelly in Pennsylvania, in which
Speaker 8: the president was shot former president in the right year,
Speaker 8: obviously an attash assassination attempt that he survived, but very
Speaker 8: much changes the tenor of what is going down in
Speaker 8: Milwaukee this week. There is an incredibly intense security. Donald
Speaker 8: Trump himself admitted that he was considering postponing his trip here,
Speaker 8: but did indeed come early, in fact, yesterday afternoon, and
Speaker 8: is preparing, we understand according to an interview he just
Speaker 8: gave to Fox News to announce his vice presidential pick today.
Speaker 8: But of course the news does not stop there. We
Speaker 8: learned just this morning that the judge in the criminal
Speaker 8: case brought against him in Florida, the Document's case, a
Speaker 8: judge appointed by him, Eiland Cannon, has now completely dismissed
Speaker 8: that case against him on the grounds and the appointment
Speaker 8: of special counsel Jack Smith, who of course brought that
Speaker 8: case was unconstitutional. Essentially went around Congress, is what the
Speaker 8: judge has ruled here. Obviously, there is room for an appeal.
Speaker 8: The Justice Department is probably likely to do so. But
Speaker 8: that's just another piece of news that works in the
Speaker 8: former president's favor. As the proceedings at the convention here
Speaker 8: get underway in Milwaukee.
Speaker 7: Later in the program, Kelly, We're going to discuss some
Speaker 7: of the big names from the technology world who have
Speaker 7: either come out and endorse President Trump following the events
Speaker 7: of the weekend, or weighed in frankly over what happened.
Speaker 7: The other story, of course, is the response from President Biden.
Speaker 7: What is that playing out like in the news cycle
Speaker 7: where you are.
Speaker 8: Well, The President clearly is still trying to keep himself
Speaker 8: in the news cycle.
Speaker 9: Ed.
Speaker 8: We have heard from him addressing cameras three times since
Speaker 8: that shooting on Saturday. He of course first made remarks
Speaker 8: from Delaware the same day that it happened. He gave
Speaker 8: brief remarks to the press in the early hours Sunday rather,
Speaker 8: and then of course gave that Oval Office address at
Speaker 8: primetime eight pm Eastern last night, basically calling for unity,
Speaker 8: calling on Americans to turn down the temperature, tone down
Speaker 8: some of the rhetoric in the aftermath of what he
Speaker 8: said is something that shouldn't be taking place in America,
Speaker 8: political violence. He said that there is no place for
Speaker 8: it in this country, even as he was giving that speech,
Speaker 8: not just as a president, but a presidential candidate who
Speaker 8: was running against the very man who, of course was
Speaker 8: shot at a rally on Saturday during the usual course
Speaker 8: of the democratic process. So we're likely to see a
Speaker 8: tone shift to from the Biden campaign, who have pulled
Speaker 8: down their advertisements in the aftermath of this assassination.
Speaker 4: Attempt.
Speaker 8: They're probably going to be retooling their messaging. And Donald Trump,
Speaker 8: we understand is as well. He of course will be
Speaker 8: addressing the convention on Thursday evening, and an interview to
Speaker 8: the Washington Examiner after the shooting, he said he is
Speaker 8: reworking that speech. He said it was going to be
Speaker 8: a humdigger and dinger, and now he's going to be
Speaker 8: used as an opportunity to call for national unity.
Speaker 7: Bloombo's Katie Lyons in Milwaukee, thank you. Meanwhile, we want
Speaker 7: to hone in now on social media and disinformation online
Speaker 7: following the attack on President Trump. We heard earlier today
Speaker 7: from former National Security Advisors to the US John Bolton
Speaker 7: on the attack, but also on how conspiracy theories will
Speaker 7: remain in its way.
Speaker 10: We need to do the review of this in a
Speaker 10: calm way.
Speaker 11: I think do it.
Speaker 10: Quickly as well, because there are already conspiracy theories about
Speaker 10: what happened on Saturday that I think are learning tunes.
Speaker 10: But I don't think they're going to go away until
Speaker 10: we have an independent objective review.
Speaker 7: I want to bring in Bloomberg's Davy Alba, who was
Speaker 7: on duty this weekend, and Davey, you wrote a really
Speaker 7: important report Saturday into Sunday about how quickly misinformation spread
Speaker 7: on key social media platforms, in particular, X, just summarize
Speaker 7: your reporting for us.
Speaker 11: Yeah.
Speaker 3: Absolutely.
Speaker 1: I mean this is kind of to be expected after
Speaker 1: any major news event that there will be information flying
Speaker 1: from all sides as the facts become clear. But the
Speaker 1: thing that we've seen over and over at this point
Speaker 1: is that people are all too willing to share conspiracy
Speaker 1: theories as well.
Speaker 3: About what actually happened.
Speaker 1: I think there was an advantage in this particular moment.
Speaker 3: That there were live cameras and so.
Speaker 1: Much documentation of what actually happened when the president was
Speaker 1: shot in the ear to the former president, I should say, However,
Speaker 1: you know that didn't stop some others from spreading unfounded narratives,
Speaker 1: such as, you know, some actual people who have hold
Speaker 1: elected office who said that President Biden ordered the shooting.
Speaker 1: There were rumors flying about the identity of the shooter
Speaker 1: that were completely unconfirmed, but people were pointing figures at
Speaker 1: specific individuals, And there were also tons of rumors about
Speaker 1: this event being staged when there is no evidence that.
Speaker 5: I just want to hone in on that fact because
Speaker 5: your story really brings it to light Davy. Ultimately, these
Speaker 5: aren't just average uses social media. These are sitting law makers,
Speaker 5: these are elected officials, and I want to understand how
Speaker 5: much more complex that makes the role of social media.
Speaker 1: Yes, that's a really great question, and I think what
Speaker 1: comes into play here is that we've seen content moderation
Speaker 1: efforts over the past year get weakened. You know, the
Speaker 1: idea that social media platforms are in a position of
Speaker 1: basically deciding what speech can remain up and what should
Speaker 1: be taken down is something that was very controversial over
Speaker 1: the past few years and really took root I think
Speaker 1: this year with many Republicans sort of saying that there
Speaker 1: are these social media platforms are in a position of
Speaker 1: censoring speech. So I think the platforms are in a tough.
Speaker 3: Position right now. You know, they have.
Speaker 1: To make these calls about whether someone who actually holds
Speaker 1: elected office can continue to post essentially whatever they want,
Speaker 1: or if the speech is so false that, you know,
Speaker 1: the facts simply don't bear the out, do they do
Speaker 1: something about it? And I think that the answer in
Speaker 1: this presidential election cycle is still not clear, and these
Speaker 1: companies continued to be in a tough place.
Speaker 4: Devi Alba brilliant reporting.
Speaker 5: We thank you working throughout the weekend, but we can
Speaker 5: now talk about someone who has deep experience what it's
Speaker 5: like to work within one of those social media platforms
Speaker 5: and indeed has a bird's eye perspective of it. Now,
Speaker 5: Kara Frederick's with us from the Heritage Foundation research and
Speaker 5: educational institution with air mission to promote conservative public policies. Kara,
Speaker 5: you served as director of the Tech Policy Center, with
Speaker 5: research focusing on big tech emerging technology policy. What's so
Speaker 5: fascinating is your prioral at Facebook as well. Facebook's Global
Speaker 5: Security counter Terrorism Analysis program.
Speaker 4: You helped create it, you lead it.
Speaker 5: Give us the sense of what ultimately the social media
Speaker 5: platforms are doing right now to respond to the weekend, Well.
Speaker 9: It's a farcrive from what I used to do starting
Speaker 9: in twenty sixteen, where we were essentially building an airplane
Speaker 9: in midflight. So what happens in a situation like this.
Speaker 9: I was specifically devoted to foreign Islamist terrorism, so it
Speaker 9: was a very different animal. But at the same time,
Speaker 9: what all of these teams are working together with it
Speaker 9: and companies are doing. They're working with their community operations teams,
Speaker 9: they're working with their engineers, usually the trust and safety engineers.
Speaker 9: They're working with their policy teams, they're working with people
Speaker 9: in global security, like the team that I led, and
Speaker 9: they're trying to identify if the attacker, attacker was on
Speaker 9: the platform, if he has active accounts, if he was
Speaker 9: ever on the platform, if he posted anything.
Speaker 3: They're trying to potentially.
Speaker 9: Take down some of that information for so the public
Speaker 9: can't necessarily see it and instigate copycat attacks and whatnot.
Speaker 3: But ultimately they.
Speaker 9: Are trying to identify the perpetrator in the minutes after
Speaker 9: those attacks that happened and get them off the platform.
Speaker 9: The whole mo of these teams is to make the
Speaker 9: platform hostile to these types of actors, and that's what
Speaker 9: they're going to be doing in the moments after an
Speaker 9: attack breaks on the news.
Speaker 7: Like this, Cura, good morning, and thank you for coming
Speaker 7: on Bloombay Technology. I'd like to just focus on what
Speaker 7: happened the last forty eight hours, the social media discussion
Speaker 7: immediately following the attack on former President Trump, but also
Speaker 7: the sort of continued sharing of content. And one thing
Speaker 7: that I noticed or I reflect on, is how many
Speaker 7: people discussing the platform X and how they were pleased
Speaker 7: basically to be able to get information so quickly. But
Speaker 7: as Davies just pointed out in her reporting, within the
Speaker 7: stuff shared on x much of it was misinformation.
Speaker 6: It was false.
Speaker 7: How do you balance speed of access to information to
Speaker 7: the check that you have to get it right.
Speaker 3: It is a very, very difficult question.
Speaker 9: And my best advice, having been a camera terrorism analysts
Speaker 9: for the Department of Defense for six years and then
Speaker 9: having worked in counter terrorism at the platform level at
Speaker 9: a big tech company, is to wait to be very
Speaker 9: prudent about number one even identifying the attacker. We knew
Speaker 9: in the couple minutes after this there were different pictures
Speaker 9: of who it could have potentially been floating around on
Speaker 9: social media.
Speaker 3: They were wrong. There are other pictures they were wrong.
Speaker 9: So I think the act of prudence in this case
Speaker 9: is to wait to try to get the full picture.
Speaker 3: And you know what's really interesting too.
Speaker 9: Is there is a cohort of open source analysts who
Speaker 9: are digging through a lot of these information.
Speaker 3: They're working many times on their own.
Speaker 9: They were not necessarily employed by these big tech companies.
Speaker 9: They're not even vendors or contracted out, but they're digging
Speaker 9: through a lot of the information. They're putting the pieces together.
Speaker 9: But my advice to everyone, just people that are looking
Speaker 9: at vowyeers, just wait the full story eventually comes out.
Speaker 9: But in terms of waiting, the scales in either way,
Speaker 9: I think big tech platforms have to do a much
Speaker 9: better job of showing that they are more neutral arbiters
Speaker 9: of information, because, as the Bloomberg reporter said, prior to this,
Speaker 9: you know, tech has been under a microscope because they
Speaker 9: haven't gotten so many of the calls. Right look at
Speaker 9: the Hunter Biden laptop story when Twitter was breaking the
Speaker 9: links to the dms for that legitimate story in the
Speaker 9: twenty twenty campaign. So big tech has a lot of
Speaker 9: making up to do when it comes to this. They
Speaker 9: don't have the trust of the people, and I would
Speaker 9: say rightly.
Speaker 5: So it was interesting that ahead of all of this,
Speaker 5: Meta did, indeed as it had said it would do,
Speaker 5: lift all restrictions on Trump's accounts ahead of the US election,
Speaker 5: and it was understood car and I'm interested is as
Speaker 5: we do try and gain trust, it's also at a
Speaker 5: time where we've got artificial intelligence and technology working against
Speaker 5: us in terms of really understanding the true nature of things.
Speaker 5: How much is that making life ever more difficult.
Speaker 9: I think it's exacerbating it to the nth degree. I mean,
Speaker 9: you look at AI, and I'm a big fan of AI.
Speaker 9: I'm a big fan and pro innovation. When it comes
Speaker 9: to open sourcing these models and these AI tools, I
Speaker 9: think that's going to take us farther than our foreign
Speaker 9: adversary counterparts who are working on more closed models of
Speaker 9: these large language models, et cetera, et cetera. So I
Speaker 9: am a big fan of AI. I want to get
Speaker 9: that out front. But as we say in the tech community,
Speaker 9: if you build it, they will come. Bad actors are
Speaker 9: always going to co opt technology that outpaces attempts to
Speaker 9: govern it. This technology is developing even more rapidly than
Speaker 9: I even foresaw when I was working with it in
Speaker 9: twenty seventeen and then researching it in twenty eighteen. Now
Speaker 9: we were talking of an AI winter back then another
Speaker 9: AI winter, and yet with the explosion of GPT four
Speaker 9: now called chat GPT. I mean it looks like these
Speaker 9: technologies because they can tailor information, amplify information, and do
Speaker 9: all of this at machine speed and scale. That's the kicker,
Speaker 9: machine speed and scale. We are going to see a
Speaker 9: world of synthetic media, where the truth is going to
Speaker 9: be harder and harder to discern, and that puts a
Speaker 9: lot of onus on the platform to get it right.
Speaker 7: At the abset car, we have a question from one
Speaker 7: of our audience members, which is how much of Project
Speaker 7: twenty twenty five will actually make it into the GOP platform.
Speaker 7: But let's answer that in the lens of technology, please.
Speaker 9: Yeah. So we don't know what's in Trump's mind or
Speaker 9: Trump's campaign's mind, but we do know what the platform
Speaker 9: has said. The platform is pro crypto, the platform is
Speaker 9: pro AI development, and the platform.
Speaker 3: Is pro space.
Speaker 9: So I think when it comes to what the Trump
Speaker 9: campaign and potential Trump presidency, second Trump presidency is going
Speaker 9: to do, I don't speak for them, but it looks
Speaker 9: like they're trying to paint an affirmative agenda, an affirmative
Speaker 9: vision of the things that they are for when it
Speaker 9: comes to technology, rather than the things that they are against.
Speaker 3: So I would expect a lot of.
Speaker 9: Pro innovation to take place under a potential second Trump presidency.
Speaker 4: An extraordinary voice to have join us today.
Speaker 5: Frederick Tech Policy Center, Director at the Heritage Foundation and
Speaker 5: decent Experience, having worked at Facebook, and indeed in counter terrorism.
Speaker 4: We thank you.
Speaker 7: Let's keep talking about the Trump trade that's kind of
Speaker 7: intensified following the events of the last forty eight hours.
Speaker 7: We spoke about DJT, but crypto related names, not just
Speaker 7: coinbases is sort of exchanged, but some of the miners
Speaker 7: also doing well. The idea being that Trump had been
Speaker 7: scheduled to speak at crypto events. He's seen as the
Speaker 7: more crypto friendly of the two candidates. I'd also point out, Caro,
Speaker 7: there are other stocks in other areas moving to the
Speaker 7: upside on the same logic, and.
Speaker 5: Certainly it's not only crypto names that are moving today.
Speaker 5: Investors reassessing assets across the board. Ed the price in
Speaker 5: what a Trump win in November really does mean across
Speaker 5: asset classes with us to regul all down bluemgs just
Speaker 5: mentu Shanali Bassek No, we can talk crypto more Volueishnati,
Speaker 5: but just dig into some of the industry utes power
Speaker 5: the S and P five hundred thirty eighth record.
Speaker 4: That's right.
Speaker 12: So of course ED just brought up crypto related stocks.
Speaker 12: So if you look at the bitwise ETF that tracks
Speaker 12: those crypto stocks, which I know SHNAI is going to
Speaker 12: get more to the bitcoin side of things, but of
Speaker 12: course that houses stocks like if you're looking at Marathon
Speaker 12: Digital right platforms, Coinbase. We did see a pop in
Speaker 12: that today because if you're thinking about President Trump, who
Speaker 12: has been very pro a crypto exposure and things like that,
Speaker 12: you're seeing a pop there.
Speaker 4: But then also beyond just that too, if you're looking at.
Speaker 12: Maybe more regulated type sectors with financials as well as healthcare.
Speaker 12: Those are two key areas to watch as far as
Speaker 12: what that means, because usually if there's say a Republican
Speaker 12: potential sweep there, that would be more easy policy toward.
Speaker 12: When you're looking at banks and financials, and then as
Speaker 12: well as the healthcare side of things, especially those insurers.
Speaker 12: If you're thinking about CBS obviously owns Etna, and then
Speaker 12: obviously when you think about other insurers like that too,
Speaker 12: those are some industries keeping a close eye on. And
Speaker 12: then also when it comes to fossil fuels, but then
Speaker 12: we're renewable energy or solar stocks too because those have
Speaker 12: been more prominent and gotten a support under a democratic presidency.
Speaker 12: But if you're thinking about sun solar sunrun in stocks
Speaker 12: like that, that's something to watch too, because they could
Speaker 12: have potentially more restrictions. There thing's going undone if there
Speaker 12: is a Republican president.
Speaker 7: Well, the exception is that rule probably Tesla that's up
Speaker 7: almost six percent in a bit of a Trump Shinali.
Speaker 7: The macro view here is that the market's trying to
Speaker 7: assess who's going to be president and by extension, what
Speaker 7: policy will be to various parts of the economy and
Speaker 7: different industry groups.
Speaker 13: Yeah, let's take a look across what that means across
Speaker 13: asset classes, because of course it is of course impacting
Speaker 13: the stock market and certain sectors, as Jess was saying, energy, financials,
Speaker 13: places that Trump would be expected to have a massive
Speaker 13: mark on policy. But then also you're seeing a really
Speaker 13: big move here, as we've been saying, in bitcoin, of
Speaker 13: roughly ten percent or more since Friday.
Speaker 6: It ended well below.
Speaker 13: Sixty thousand, closer to fifty seven thousand on Friday, and
Speaker 13: now you're watching it surge past sixty three thousand. Remember,
Speaker 13: Trump is largely seen as more of a pro crypto candidate,
Speaker 13: bitcoins not alone. You see the dollar also rising as well,
Speaker 13: because you are watching this expectation that in a Trump administration,
Speaker 13: what you would have as the odds rise. Is of
Speaker 13: course that tariff policy and therefore potentially a stronger dollar.
Speaker 13: I would also add point to the curve steepener. When
Speaker 13: you think about the bond market, it's not the front
Speaker 13: end of the curve really that's moving. It's the tail
Speaker 13: end of the curve. You're seeing a bigger sell off.
Speaker 13: Think here, taxes being looser in the future, potentially think
Speaker 13: here this idea that you might have a more of
Speaker 13: a fiscal burden on the United States. Of course, you're
Speaker 13: seeing that thirty year really sell off. Briefly today you've
Speaker 13: seen that two thirty curve disinvert and steepen, and of
Speaker 13: course that is that short end staying flat and that
Speaker 13: sell off in the long end starting to be pronounced.
Speaker 13: There are a lot of factors under the surface here,
Speaker 13: but just significantly many asset classes really moving into today.
Speaker 5: Perfect summary from Shananibase and just Ment.
Speaker 7: Google parent Alphabets in talks to acqui cyber security startup Whiz,
Speaker 7: according to a source, a deal that may be worth
Speaker 7: as much as twenty three billion dollars, which would make
Speaker 7: it the tech giant's largest acquisition to date. Bloomberg's mark
Speaker 7: Bergen's here from London. Give me the rest of the details.
Speaker 7: This was a surprise.
Speaker 14: It was a surprise, although if you're following Google and
Speaker 14: their cloud market over the past maybe five years, it's
Speaker 14: not their last big acquisition. Mandient in similar space cybersecurity
Speaker 14: slider right under Google Cloud.
Speaker 6: Looks like they're trying to do it again.
Speaker 14: This is something where you know they have been this
Speaker 14: sort of perpetual third place in the market behind aws
Speaker 14: in Microsoft. Microsoft in particular has been really pushing the
Speaker 14: album up on cybersecurity, making that the case that sort
Speaker 14: of that's their advantage Azure. But at the same time
Speaker 14: Microsoft has some pretty noticeable and public flaws and the
Speaker 14: mistakes around cybersecurity that Google, I think is trying to exploit.
Speaker 14: So it is an aberration in the sense that it's
Speaker 14: the biggest deal by a long measure in something where
Speaker 14: Google has stayed away from deals for anti trust reasons lately.
Speaker 5: Some vcs could be making a sizable return and recent
Speaker 5: Lightspeed Ventures Thrive Capital in the latest round. We understand
Speaker 5: of wiz, but is that regulatory risk ki Mark.
Speaker 14: So for sure is that this company's started in twenty twenty,
Speaker 14: so it's remarkable this twenty three billion would be almost
Speaker 14: twice its last valuation, so it's a pretty massive returns.
Speaker 14: I think the argument that Google's going to make. I
Speaker 14: won't speak for the FTC and the TJ on this,
Speaker 14: but the argument that Google's going to make is we
Speaker 14: are not in any way monopoly in the cloud market.
Speaker 14: But the Google will cite that they're in third position.
Speaker 14: That Mandy a deal I believe was about five billion.
Speaker 14: That one cleared. I don't expect Whiz will be approved
Speaker 14: on day two. These things typically take some time if
Speaker 14: it goes through, but it's you know, Microsoft is clearly
Speaker 14: has some issues around around the anti trust, so you
Speaker 14: can't rule that out. But I think Google's case is
Speaker 14: going to be in this market, we are far from
Speaker 14: the market leader and far from a monopoly.
Speaker 5: And as we know, the agreement hasn't been reached and
Speaker 5: talks could still end without one. But for now, interesting
Speaker 5: to talk with the Matt Bergen. We really appreciate it.
Speaker 6: Welcome back to Bloomberg Technology. Ed Lovelow here in San Francisco,
Speaker 6: Caroline hid in New York.
Speaker 5: An interesting one in Tesla more than five percent higher.
Speaker 5: It's got a solar business, a sizable one.
Speaker 15: Ed.
Speaker 5: It is like the name that encapsulates green policy. But
Speaker 5: it is also of course perhaps a Trump trade here
Speaker 5: with Elon Musk going in Previously, we understood the reporting
Speaker 5: happening on the weekend, Ed that indeed we saw being
Speaker 5: backed by Trump is Elon Musk.
Speaker 4: Max Traffckin is here to discuss a little bit more.
Speaker 4: But Ed, can you just dwell on the fact that.
Speaker 5: Almost before occurred this weekend an extraordinary set of circumstances
Speaker 5: in Pennsylvania.
Speaker 4: We had reporting that indeed.
Speaker 5: Elon Musk was going to be supporting a super pac.
Speaker 6: Correct.
Speaker 7: So Musk made this public endorsement following the assassination tempt
Speaker 7: on former President Trump. But late Friday night, and you
Speaker 7: may have missed it, Bloomberg reported, citing sources, that Musk
Speaker 7: had made what we're characterizing as a sizeable donation to
Speaker 7: a low profile organization called the America Pack, which is
Speaker 7: actually due to to do disclose its funding today July fifteenth.
Speaker 7: So depending on the timing of when Musk made that donation,
Speaker 7: we will get some more information about it. But let's
Speaker 7: bring in bloombergs Max Chafkin, because I find this really interesting,
Speaker 7: you know, the history of Musk's relationship with former President Trump.
Speaker 7: Maybe it doesn't matter now he's endorsed Trump publicly through
Speaker 7: the platform X.
Speaker 6: Yeah, absolutely.
Speaker 16: I mean Elon Musk in twenty sixteen did kind of
Speaker 16: start to drift towards Trump. Mean, he was initially on
Speaker 16: a couple of these executive councils and then broke with
Speaker 16: the former president over the Paris Climate Accord. But what
Speaker 16: we've seen over the last five or so years is
Speaker 16: a thawing of those relations. Even as they've insulted each other,
Speaker 16: you know, often publicly, there has been a cooling and
Speaker 16: definitely an ideological convergence.
Speaker 6: When you look at sort of what.
Speaker 16: Elon Musk is saying on his you know, ex page
Speaker 16: and what the former president is saying on the campaign trail,
Speaker 16: there are a lot of commonalities. And on top of that,
Speaker 16: of course, Elon Musk has what I'd say is a
Speaker 16: pretty bad relationship with the Biden administration. Right you have
Speaker 16: multiple federal agencies investigating various aspects of his business. Elon
Speaker 16: Musk has had all sorts of extremely negative things to
Speaker 16: say about the current president. So you can see a
Speaker 16: lot of reasons why they would be able to find
Speaker 16: common ground. And of course, until recently President Trump's former
Speaker 16: President Trump's finances have started to look a lot better,
Speaker 16: but until recently he really needed money. So they both
Speaker 16: kind of need each other.
Speaker 5: And I think that's what we're seeing when you go
Speaker 5: to the Elil Musk needing each other, needing Trump or
Speaker 5: indeed anyone who's in the White House. Remind us of
Speaker 5: the government contracts that Elol Musk basically sits a top of.
Speaker 16: Yeah, so Elon Musk is I mean, of course, he
Speaker 16: is known as an innovator, but he's also been a
Speaker 16: very successful government contractor. You know, many of his businesses,
Speaker 16: most of much of his business depends on relationships with
Speaker 16: the government, either in terms of direct contracts with SpaceX
Speaker 16: or Tesla of course depends on these text credits and
Speaker 16: has for the entirety of its existence. So you can
Speaker 16: sort of see why he has an interest. And of
Speaker 16: course he's got a lot more planned right. SpaceX is
Speaker 16: hoping to go to Mars, wants to be involved with that.
Speaker 16: And if you look at the GOP platform, which we're
Speaker 16: going to see at the convention, it does bring up
Speaker 16: commercial space Mars, it brings up AI, the fears of
Speaker 16: sort of the wokeness in AI or it implies that,
Speaker 16: which is another pet elon Musk issue. On the other hand,
Speaker 16: President Forum President Trump has said very negative things about
Speaker 16: the EV industries, so there is potential tension there as well.
Speaker 7: Max I wrote in my hyperdrive Newslader last week about
Speaker 7: the idea of what happens to public funding or IRA
Speaker 7: funds in the event of ivor White House. And no
Speaker 7: one I've spoken to would say if Trump wins the
Speaker 7: presidency that would just go away. But I just wanted
Speaker 7: to remind our audience of the New York Times reporting
Speaker 7: from earlier this year that Trump met with oil executives
Speaker 7: and basically said, if you help fund my campaign, I
Speaker 7: will be, let's say, less supportive of evs.
Speaker 6: So then we bring in Musk.
Speaker 7: It doesn't really add up Trump's sort of historic attitude
Speaker 7: towards electric vehicles and Musk and Tesla is the market incumbent,
Speaker 7: the company that paved the way for electrification.
Speaker 16: Yeah, it's hard to know how to parse that, And
Speaker 16: of course what Canada's say on the campaign trail is
Speaker 16: necessarily what ends up happening.
Speaker 6: From the sort of Musk point of view. Two points one.
Speaker 16: Is that I think Trump making those comments and then
Speaker 16: those comments leaking could be read as a sort of
Speaker 16: blink read you know, orange light for somebody like Elon
Speaker 16: Musk to donate.
Speaker 6: It will be.
Speaker 16: Interesting to see if President Trump foreign President Trump softens
Speaker 16: his attitude to the EV industry. The second thing is
Speaker 16: that Tesla is the market leader. It doesn't necessarily hurt
Speaker 16: the company if if the Trump, if a hypothetical second
Speaker 16: Trump presidency, you know, kind of cracks down on the
Speaker 16: EV industry or gets rid of a lot of subsidies,
Speaker 16: it might even just sort of lock in Tesla's position.
Speaker 16: Now that's not something you want to hear if your
Speaker 16: interest is in growing the EV industry in a big way.
Speaker 16: But it's not clear that that's even Musk's goal at
Speaker 16: this point.
Speaker 7: Max Tefkin's written so much care about the history of
Speaker 7: mask and politics. We just showed that graphic of some
Speaker 7: of the other names over the weekend that publicly endorsed
Speaker 7: officially endorsed President Trump, and for me, this is a
Speaker 7: big story. Cara, I find it so interesting.
Speaker 5: Notable that people are now willingly taking to social platforms,
Speaker 5: many of them will a prevalent user of etel musk
Speaker 5: Sex as well. To make these sorts of endorsements and statements,
Speaker 5: it has to be reflected, and of course many CEOs
Speaker 5: within technology were coming out and condemning the violence that
Speaker 5: we saw this weekend as well, and using social platforms
Speaker 5: of which to do that. But Max just the last
Speaker 5: take on ultimately, whether we see more money weighing in
Speaker 5: here and any clarity on the extent that we hear
Speaker 5: of DA must support.
Speaker 16: You know, Silicon Valley entrepreneurs and CEOs and investors they
Speaker 16: want to back winner. So I don't think it's totally surprising.
Speaker 16: You know, even before this assassination attempt, Trump had had
Speaker 16: a very good couple of weeks. So I don't think
Speaker 16: it's surprising that we're seeing the corporate money flow in
Speaker 16: because that the way these guys think, right is they
Speaker 16: want a voice in whichever they judge to be the
Speaker 16: likely winner. So I think that's part of what's going on,
Speaker 16: And it would not surprise me if we see more
Speaker 16: money from Silicon Valley, and in fact we could see
Speaker 16: you one must take a potentially active role here, either
Speaker 16: you know, just on his X platform or with you know,
Speaker 16: further donations we'll see, But nothing would supper at this
Speaker 16: point as far as Mask and Trump coming closer together,
Speaker 16: nice chef can.
Speaker 5: The perfect voice and all things in learning, we appreciate it.
Speaker 5: Coming up, we're going to be talking to a CEO
Speaker 5: about a further integration in AI. Tell Tom Sebel, founder
Speaker 5: and CEO of C three AI a partnership with Google Cloud.
Speaker 5: This has been by technology. We want to talk about
Speaker 5: AI partnerships. Another one being announced. Tom Sebel of C
Speaker 5: three AI the CEO there to talk us through. What
Speaker 5: is your partnership with Google Cloud, the launcher new AI
Speaker 5: programs and most notably AI for government programs AI, Generative AI.
Speaker 5: We're talking here, Tom, can you just stick into what
Speaker 5: has driven this partnership with Google Cloud ultimately how it
Speaker 5: enables you to serve with government and consumers that little
Speaker 5: bit more.
Speaker 2: Google Cloud has been a great partner and we've been
Speaker 2: working with them at massive scale in state local government,
Speaker 2: Okay to bring solutions there associated with property appraition that
Speaker 2: will associate with law enforcement, and now in state government
Speaker 2: and federal government. We've come up with a very unique
Speaker 2: solution utilizing generative AI to make all the complexities associated
Speaker 2: with things like the Affordable Care Act okay, and all
Speaker 2: of the services that come out of health and human
Speaker 2: services of medicare Medicaid CMS. What have you immediately.
Speaker 3: Accessible to the public.
Speaker 2: We've solved all the difficult problems associated with data expiltration, cybersecurity, hallucination,
Speaker 2: those are gone, and now we deal with these you know,
Speaker 2: these programs that are biblically in scale, in the complexity,
Speaker 2: and you can ask any question in one hundred and
Speaker 2: thirty three languages and get the answer immediately, the correct
Speaker 2: answer the first time in the language that you inquired.
Speaker 2: So it's really it makes it so that governments can
Speaker 2: provide better services at lower cost into more certified constituents.
Speaker 5: And indeed government has been a real strength of C
Speaker 5: three AI. What's also notable is well the fact that
Speaker 5: you're teaming with Google's cloud.
Speaker 4: Here.
Speaker 5: Many might say that actually Microsoft as you and Amazon AWS, well,
Speaker 5: Amazon will broadly these hyperscalers might be your own competition.
Speaker 4: Do you have to do the deal for infrastructure with Google?
Speaker 2: These are all partners. Microsoft is a great partner. AWS
Speaker 2: is a great partner. We do a ton of work
Speaker 2: in the defense and intelligence community with AWS. But let's remember,
Speaker 2: I know that people like to focus on the defense
Speaker 2: and intelligence community. You know, it's roughly twenty percent of
Speaker 2: the federal budget. You know, most of the budget. Is
Speaker 2: it benefits programs, social security, health, insurance, retirement programs, and
Speaker 2: we can use generative AI to allow government to provide
Speaker 2: you know, much higher service requiality services at lower cost.
Speaker 2: This applies not only in the United States. I mean,
Speaker 2: this applies to the National Health Service of the UK.
Speaker 2: This applies to have a sight.
Speaker 6: Let me jump in here for a second.
Speaker 7: I think that Tom may have some zoom issues, which
Speaker 7: we forget is kind of normal in the day and
Speaker 7: age that we live in. I mean, when we get
Speaker 7: him back and we'll work on that car, I think
Speaker 7: what I want to ask him and understand is like,
Speaker 7: is this a vote of confidence in C three AI
Speaker 7: being a technology provider? In other words, Google Cloud are
Speaker 7: like they're quite good. So, mister Cebo, I think you're
Speaker 7: back with us. Thank you for joining us on bloombow technology. Okay,
Speaker 7: so let me give that question to you. Is this
Speaker 7: a sales channel thing where you guys can go to
Speaker 7: a certain customer demographic or is this Google Cloud saying
Speaker 7: actually C three AI has really got something here from
Speaker 7: a product level that we don't have.
Speaker 2: Well, this is a deep technology partnership. We've been working
Speaker 2: with Google Cloud very closely for years. Surely a deep
Speaker 2: technology partnership. Take advantage of the important work they're doing
Speaker 2: with Generative AI and Gemini and make that, you know,
Speaker 2: more accessible using the C three AI platform, which represents
Speaker 2: I don't know, two or three billion dollars for the
Speaker 2: software engineering. So this is a technology partnership that goes
Speaker 2: back some years, and we are partnering technologically. Yes, we
Speaker 2: are jointly developing, and yes, we are jointly servicing and
Speaker 2: selling and servicing customers all around the world.
Speaker 6: Mister Cebel.
Speaker 7: One story recovered earlier in the program was reporting that
Speaker 7: Alphabet or Google are looking at wiz in the m
Speaker 7: and a context you've just partnered with them. It's interesting
Speaker 7: to consider the antitrust repercussions of that. But have you
Speaker 7: seen the report and what do you make of that?
Speaker 2: Well? I think that you know, I mean, one of
Speaker 2: the existential threats that we have to the world relates
Speaker 2: to cybersecurity, and I think that any one of these
Speaker 2: hyperscalers that are beefing up their their cybersecurity capabilities makes
Speaker 2: the world a safer place, So I think it's a
Speaker 2: good thing.
Speaker 5: Tom c Will can't even get onto your thoughts of
Speaker 5: AI in the world of fake news. It's something that
Speaker 5: I know that you've been thinking a lot about. We
Speaker 5: look forward to having you back on the show. Tom Cewill,
Speaker 5: founder and CEO of C three AI, on that partnership
Speaker 5: with Google and what are you looking at now?
Speaker 7: Some of the other news stories today in Talking Tech.
Speaker 7: First up, AutoNation warns of a big hit to second
Speaker 7: quarter earnings. The US car dealership chain says profits could
Speaker 7: be lower by a dollar fifty as shared this after
Speaker 7: a cyber attack left the auto retail industry crippled for
Speaker 7: weeks earlier this month. AutoNation says it does not expect
Speaker 7: to the attack to have a material impact on its
Speaker 7: financial conditions going forward. Plus, smartphone shipments are on the rise.
Speaker 7: That's according to IDC. Global smartphone shipments rows six point
Speaker 7: five percent in the latest quarter. Apple iPhone shipments stabilized
Speaker 7: with forty five point two million handset ship The rise
Speaker 7: comes as smartphone makers including waway In's Roalm, slash prices
Speaker 7: in China to entice consumers in the biggest mobile market,
Speaker 7: and Finally, spending on Korean cultural products is forecast is
Speaker 7: nearly double to one hundred and forty three billion dollars
Speaker 7: by twenty thirty. That's according to new research release by
Speaker 7: TikTok and analytics company Kantar. The sry popularity of the
Speaker 7: k culture products sought an amplificator by social media, which
Speaker 7: has become gathering place for K pop fans who are online.
Speaker 4: Caroy staying in Asia.
Speaker 5: Panasonic CEO Yuki Kasumi spoke to UMG Ryan in Tokyo
Speaker 5: about the need for company managers to feel more of
Speaker 5: a sense of crisis given a low profitability. Kasumi also
Speaker 5: discussed the outlook for Panasonics EE battery business.
Speaker 4: Just take a listen my key.
Speaker 6: You can't do me.
Speaker 15: You are in terms of the sense of crisis, we
Speaker 15: have not fulfilled our commitments and improved our earnings. As
Speaker 15: a result, the group as a whole has not achieved
Speaker 15: a level of profits that meets expectations of investors. This
Speaker 15: has led to a slump in the stock price. Has
Speaker 15: also led to the price to book ratio falling below one.
Speaker 15: I would like to emphasize that all of our management
Speaker 15: team must recognize that this is a critical situation and
Speaker 15: we must manage our businesses accordingly.
Speaker 17: The Evy battery business has been a focus for you,
Speaker 17: but that's been really affected by external demand.
Speaker 4: Right.
Speaker 17: When are you expecting to see a turnaround? And do
Speaker 17: you see any positive signals coming from your strategic partner, Tessa.
Speaker 15: When we start supplying batteries to for example, Mazda and Superu,
Speaker 15: our plant in Japan will be in full operation as
Speaker 15: well as in the US. We will continue to expand
Speaker 15: our business in the US, and we will follow the
Speaker 15: demand of US automakers and invest according to the growth
Speaker 15: of that demand. So in that sense, we will make
Speaker 15: our investments in such a way that the plants will
Speaker 15: not be forced to stop operating.
Speaker 17: Ayonna, what can you tell us then about the US
Speaker 17: demand outlook, especially because you've been doing pretty well in
Speaker 17: your business there. But it's also because of the Inflation
Speaker 17: Reduction Act, Right, And I wonder what are your calculations
Speaker 17: of what happens after the presidential elections if the incentives
Speaker 17: are taken away?
Speaker 15: Well, I have heard that the IRA will not disappear
Speaker 15: immediately if Trump becomes president because of the way the
Speaker 15: US legal system works. This means that it will take
Speaker 15: a few more years. The spread of EVS is expected
Speaker 15: to slow down not only because of the IRA, but
Speaker 15: also because the charging infrastructure is not yet sufficient, and
Speaker 15: I think there are other reasons as well. One reason
Speaker 15: is that evs are expensive even with the IRA, and
Speaker 15: as these issues are resolved, the spread of evs is
Speaker 15: expected to increase in the long term. We will invest
Speaker 15: accordingly and will manage our business in such a way
Speaker 15: that the speed of EV A DOT will not directly
Speaker 15: affect our business condition.
Speaker 17: Are you expecting to see more price competition though in
Speaker 17: the EV battery market, especially from the likes of giants
Speaker 17: like China Coatl for example. Will you need to readjust
Speaker 17: your cost structure.
Speaker 15: There are different types of batteries that can be used
Speaker 15: in cars that prioritize price and sacrifice some performance, and
Speaker 15: those are thoroughly pursued performance and safety. Although there is
Speaker 15: price competition, we will continue to supply equipment and vehicle
Speaker 15: makers that recognize the quality of our batteries.
Speaker 7: That was Bloomberg's Sherry Arms speaking to Panasonic CEO Yuki
Speaker 7: Kasumi in Tokyo Bazu in on Apple The stock hit
Speaker 7: fresh record highs today after an upgrade to buy at
Speaker 7: Loop Capital on the iPhone's AI potential. Morgan Stanley's also
Speaker 7: did the iPhone maker so its top pick list, with
Speaker 7: AI also being seen as a catalyst.
Speaker 5: Caroc Yeah, and I think we need to stick with AI.
Speaker 5: But also revenue being generated internationally. Look in India, where
Speaker 5: Bloomberg is reporting that Apple's revenue has searched thirty three
Speaker 5: percent in the twelve months through March.
Speaker 4: According to a Bloomberg.
Speaker 5: Source, sales during the period were eight billion dollars, up
Speaker 5: from six billion a year ago. Stuff into it, An
Speaker 5: rag Rana of Bloomberg Intelligence, a lot of buoyancy around
Speaker 5: this name today, Ana Ragan, what do you make of
Speaker 5: the Indian sales?
Speaker 11: Yeah, you know, Caroline, I'm in your camp.
Speaker 18: I think the sales pushed from India and China are
Speaker 18: far more important than my view in the you.
Speaker 11: Know, both in the short run in the long run,
Speaker 11: than than AI.
Speaker 18: But you know, very very happy to see that India
Speaker 18: is a very big market for Apple.
Speaker 11: I mean, the end market is over six hundred million.
Speaker 18: Smartphones and Apple has you know, less than five percent
Speaker 18: market shared. So over the long term, I think India
Speaker 18: is going to be a very exciting story for Apple,
Speaker 18: but it's going to take some time because currently China
Speaker 18: is eight times bigger than India.
Speaker 11: In terms of units smartphones or iPhones.
Speaker 18: So China still is the main story at this point
Speaker 18: over the next two to three years.
Speaker 11: But I think India is very exciting for the longer
Speaker 11: future of Apple.
Speaker 6: So it might be like early days.
Speaker 7: But one interesting point of the reporting from Bloomberg was
Speaker 7: that of that eight billion dollar figure, more than half
Speaker 7: was iPhone sales rather than other devices or services.
Speaker 6: How do you have to play.
Speaker 7: The Indian market differently, like in terms of asps or
Speaker 7: your patients for a growing or emerging middle class.
Speaker 18: Yeah, so you know, Apple can truly gain a lot
Speaker 18: of market share in India by you know, let's say
Speaker 18: listening the price of their lower end model.
Speaker 11: But they don't really, you know, play that game.
Speaker 18: They are all about, you know, the margins, and you know,
Speaker 18: they don't play the market share game, so we don't
Speaker 18: see them launching a cheaper phone or anything. I think
Speaker 18: Indian market is going to be gradual. I mean gradually,
Speaker 18: And I say when I compared in China, China is
Speaker 18: Apple market shared in the Chinese market is twenty percent
Speaker 18: and in India it's less than five.
Speaker 11: So you over time, as the Indian consumer becomes.
Speaker 18: More affluent, when purchasing Baba becomes you better than what
Speaker 18: it is right now. We think Apple is one area
Speaker 18: where they'll gravitate to because of the luxury nature of
Speaker 18: the product, because of the brand that's associated with the
Speaker 18: quality it's associated with, and then the prestige.
Speaker 5: And Agrana breaking down the international growth. It is a
Speaker 5: new record high for Apple today. We thank you meanwhile
Speaker 5: that does it for this addition of Bluemog technology. And
Speaker 5: it has been quite the show to be digesting.
Speaker 7: Yeah, and it's going to be a really big week
Speaker 7: in America. You know, our colleagues will continue to broadcast
Speaker 7: from a Walkery and R and C. And here there
Speaker 7: are so many technology stories to tell recap on the podcast.
Speaker 7: Many of you do listen to the podcasts every day.
Speaker 7: You find it on Apple, Spotify, iHeart and of course
Speaker 7: on the Bloomberg platforms as well in New York City
Speaker 7: and San Francisco.
Speaker 6: This is Bloomberg Technology