WEBVTT - Lyft Plunges and Twitter Under Regulatory Scrutiny 0:00:13.760 --> 0:00:16.000 I'm Caroline Hyder Bloomberg's world. I got us in New 0:00:16.079 --> 0:00:18.840 York and I med Ludlow in San Francisco. This is 0:00:18.840 --> 0:00:23.400 Bloomberg Technology. Artificial intelligence still driving markets, carro over earnings 0:00:23.640 --> 0:00:26.000 front and center. Yeah, let's get straight to it. As 0:00:26.040 --> 0:00:28.840 the plunge is clear, with Lift after hours, the ride 0:00:28.840 --> 0:00:32.520 sharing company falling after evidence it's losing share to Uber, 0:00:32.720 --> 0:00:36.199 a weak profit in sales, outlook and social media in 0:00:36.200 --> 0:00:39.760 the spotlight on Capitol Hill, but former Twitter executives are 0:00:39.760 --> 0:00:43.720 telling lawmakers to hold off on regulating online content. Will 0:00:43.720 --> 0:00:46.720 bring you the y plus the latest details on Disney 0:00:46.760 --> 0:00:50.760 as activist investor Nelson Peltz stands down on his proxy fight. 0:00:51.159 --> 0:00:53.720 But is the battle over all that so much more 0:00:53.720 --> 0:00:56.160 coming up? We dig in first and foremost to those 0:00:56.200 --> 0:00:59.400 markets that once again swoon the first two day lows 0:00:59.440 --> 0:01:01.640 we've seen since December, the worst two days, sal off 0:01:01.640 --> 0:01:03.480 about two points of the course of two days, and 0:01:03.480 --> 0:01:05.920 then AzaC of by another percentage point on the day. 0:01:06.040 --> 0:01:08.880 We're worried as again on the macro, on the federal reserve, 0:01:08.920 --> 0:01:11.119 on interest rates going higher. That's why we see well 0:01:11.200 --> 0:01:14.440 overall concerned anxiety as evidence in the vix. The volatility 0:01:14.520 --> 0:01:16.560 index picks up to a twenty handle. The ten year 0:01:16.600 --> 0:01:19.840 yields of boring costs they rise. No wander stocks full. 0:01:19.880 --> 0:01:21.679 Let's switch it on because I want to show also 0:01:21.760 --> 0:01:23.880 this worry about the canary in the cold mine. That 0:01:24.040 --> 0:01:27.640 is well, the retail investor, they're getting bullish, the first 0:01:27.640 --> 0:01:30.880 time we've seen that since April. Many say, oh, we're 0:01:30.880 --> 0:01:33.800 now late to the party. Had Yeah, it's interesting. So 0:01:33.840 --> 0:01:37.479 many stories for individual stocks as well. Alphabet down another 0:01:37.520 --> 0:01:40.880 four point four percent this Thursday or two day drop, 0:01:41.000 --> 0:01:43.320 the biggest two day drops since March, as we continue 0:01:43.360 --> 0:01:46.320 to have worries about their barred AI search. Disney is 0:01:46.319 --> 0:01:48.160 so interesting. We're gonna get into it later in the show. 0:01:48.320 --> 0:01:51.400 But it was up significantly, ending up lower one point 0:01:51.480 --> 0:01:54.559 three percent. We'll get into Tiger's success story so far 0:01:54.840 --> 0:01:57.680 at the entertainment company. Global Foundries is an't to deal 0:01:57.720 --> 0:02:01.200 with GM to supply semi conductors your Homemaker, boosting that 0:02:01.240 --> 0:02:03.840 stock up three and a half percent, and continued momentum 0:02:04.040 --> 0:02:06.240 in Tesla. But right now it is all about earnings. 0:02:06.280 --> 0:02:09.200 Let's get straight to PayPal actually giving a pretty tepid 0:02:09.240 --> 0:02:13.120 forecast in terms of dollar value of bookings or transactions 0:02:13.120 --> 0:02:16.480 through their platform. But crucially CEO Dan Shaman, he is 0:02:16.520 --> 0:02:19.240 going to step down and retire at year end. That 0:02:19.320 --> 0:02:21.840 as we see sales growth slowing and Lift, oh my 0:02:21.960 --> 0:02:25.959 goodness down after hours. Really, what the market seeson on 0:02:26.360 --> 0:02:29.520 is the fiscal first quarter forecast for ebit dar adjusted 0:02:29.520 --> 0:02:32.960 basis five million to fifteen million. The street was looking 0:02:32.960 --> 0:02:35.560 for a forecast of around eighty four million. So that 0:02:35.680 --> 0:02:38.280 is a significant miss on expectations. Let's get more and 0:02:38.320 --> 0:02:41.280 bringing row Hit called Carnie, an analyst at rough m 0:02:41.480 --> 0:02:43.640 K M row Hit, you have a whole rating on 0:02:43.720 --> 0:02:48.359 Lift twenty dollar price target. What's your reaction to the numbers? Um? 0:02:48.560 --> 0:02:51.079 This is this feels like a big recent quarter, one 0:02:51.080 --> 0:02:54.880 more recent quarter from coming from left. There is more 0:02:54.919 --> 0:02:58.680 evidence that they're probably losing market share to uber Um. 0:02:58.760 --> 0:03:02.920 They're landing on the recovery from West coast exposure, and 0:03:03.000 --> 0:03:05.600 on top of it, there are kind of execution issues 0:03:05.639 --> 0:03:10.800 that they have their own insidence kind of way of 0:03:10.800 --> 0:03:14.000 doing things, which which is probably placerbating how things are 0:03:14.040 --> 0:03:17.760 being reported. Here. Hey, right here, Dara Kostrasha, here the 0:03:17.840 --> 0:03:21.040 uber sere It's hold Bloomberg twenty four hours ago that 0:03:21.160 --> 0:03:24.320 he thinks Uber is taking market share from Left. Do 0:03:24.360 --> 0:03:27.960 you see the numbers as evidence of that? Absolutely over 0:03:28.000 --> 0:03:31.240 the last three quarters when we look at the mobility trends, 0:03:31.360 --> 0:03:34.960 but Uber is showing on a sequential growth, although the 0:03:35.440 --> 0:03:39.040 disclosures across both companies are highly inconsistent. So it's not 0:03:39.120 --> 0:03:42.320 apples to apples, it's probably apples to pineapples. But having 0:03:42.360 --> 0:03:44.840 said that, I think just the growth rate that these 0:03:44.840 --> 0:03:47.600 companies are putting up are diverging in a way that 0:03:48.360 --> 0:03:51.520 they weren't a while back. So I feel Uber is 0:03:51.640 --> 0:03:55.480 definitely gaining market share and probably that share gain is 0:03:55.520 --> 0:03:57.920 accelerating as we speak. So what do you want to 0:03:57.920 --> 0:04:02.320 hear from Left leadership right now? As it I think 0:04:02.800 --> 0:04:05.480 the most important thing here is what is the path 0:04:05.560 --> 0:04:09.720 to sustainable cash flow generation UM? The company did put 0:04:09.720 --> 0:04:14.280 out UM target with regards to how high of a 0:04:14.320 --> 0:04:17.480 cash flow generation that they can have. I feel given 0:04:17.520 --> 0:04:20.920 the given the guidance that they have of software revenues 0:04:21.240 --> 0:04:24.920 and much software bit da, I feel they just need 0:04:24.960 --> 0:04:28.120 to provide some confidence to the investors that look, this 0:04:28.200 --> 0:04:30.800 is what these are the steps we can take to 0:04:31.200 --> 0:04:34.480 get to a point that we can generate incremental cash 0:04:34.680 --> 0:04:38.560 and then we can be UM investing in investing for growth. 0:04:38.600 --> 0:04:42.560 I feel that confidence is completely lost after looking at 0:04:42.560 --> 0:04:45.560 their numbers today. There is definitely some noise and confusion, 0:04:45.680 --> 0:04:48.240 But I feel that's what we need to hear when 0:04:48.240 --> 0:04:51.080 that confidence is lost. Do you have to change the ratings? 0:04:51.120 --> 0:04:52.920 You have to change the whole positions. You have to 0:04:53.000 --> 0:04:55.320 change the price target that is now well off that 0:04:55.360 --> 0:04:59.560 twenty large you currently have at the momentum. Again, what 0:04:59.600 --> 0:05:03.200 I would say is everybody on the street will revisit 0:05:03.880 --> 0:05:07.159 their financial models after earnings, so we are in the 0:05:07.160 --> 0:05:10.760 process of doing that. And ANU here from more from us. 0:05:11.960 --> 0:05:15.080 Right here, we asked our audience on Twitter, does Lift 0:05:15.240 --> 0:05:17.960 need to go outside of his existing lane move into 0:05:18.040 --> 0:05:22.240 other areas to stay relevant? These are the conclusions of 0:05:22.320 --> 0:05:25.039 respondents saying, no, stay in your lane. I ask you 0:05:25.080 --> 0:05:27.719 the same question to Lift need to move into delivery 0:05:29.240 --> 0:05:31.520 UM That is going to be a very very expensive 0:05:31.839 --> 0:05:35.440 value proposition right now. I think staying in their own lane, 0:05:35.960 --> 0:05:39.960 UM focusing on mobility and focusing on profitability. I think 0:05:40.000 --> 0:05:43.320 that's that's what is UH something that they need to 0:05:44.000 --> 0:05:49.520 focus on even more. UM that's expanding into lateral markets 0:05:49.640 --> 0:05:51.200 is just going to be more expensive. That is just 0:05:51.240 --> 0:05:54.440 going to push the cash flow generation point much more 0:05:54.560 --> 0:05:57.440 further down the road, and that's going to be hurtful 0:05:57.480 --> 0:06:01.120 to the stock even more. Right here, industry colleagues Tom 0:06:01.160 --> 0:06:03.520 Why at d A. Davidson told us twenty four hours 0:06:03.520 --> 0:06:07.120 ago that the advantage Lift has is its brand. It's 0:06:07.320 --> 0:06:10.400 it's resonance with gen Z. Can it leverage that to 0:06:10.560 --> 0:06:14.520 fight back against you that So far we are finding 0:06:14.640 --> 0:06:18.200 very limited evidence of the fact that they are able 0:06:18.240 --> 0:06:22.120 to leverage that brand. Yes, there is definitely a certain 0:06:22.640 --> 0:06:26.760 cohort of the population that prefers left over Uber, but 0:06:26.839 --> 0:06:30.120 I think at the end of the day, right sharing 0:06:30.279 --> 0:06:34.160 has has very limited amount of loyalty. To some extent, 0:06:35.320 --> 0:06:39.400 both companies are trying to build loyalty around their subscription plans. 0:06:39.400 --> 0:06:43.479 But this is a very very price sensitive product. So 0:06:43.520 --> 0:06:49.560 I feel, regardless of affinity with a certain cohort off consumers, 0:06:49.880 --> 0:06:53.960 that affinity may not linger if the company has to 0:06:54.200 --> 0:06:58.479 change their value proposition increased prices. And at the same time, 0:06:58.800 --> 0:07:01.520 Uber is improved in the marketplace at a much more 0:07:01.640 --> 0:07:05.839 rapid clip, so they have market care to hold onto. Yeah, 0:07:05.920 --> 0:07:09.640 I mean many, I mean include myself. I love using 0:07:09.760 --> 0:07:12.920 the lift bikes, but they need some investment here in 0:07:12.960 --> 0:07:15.360 New York. There's been a lot of handwringing about it. 0:07:15.880 --> 0:07:18.400 I'm interested. Therefore, as we point ourselves forwards, do you 0:07:18.440 --> 0:07:21.280 feel frustrated with management that they didn't guide you to 0:07:21.360 --> 0:07:23.840 this sort of a slow down earlier? When you see 0:07:23.880 --> 0:07:27.920 such a share price hit UM, it's it's hard to 0:07:29.000 --> 0:07:32.480 hard to have that level of visibility nowadays. Again, there 0:07:32.520 --> 0:07:35.840 are a lot of macro factors. There are micro factors 0:07:35.920 --> 0:07:39.200 industry trends that make it even harder for management teams 0:07:39.200 --> 0:07:44.320 to UM to have that level of visibility under normal circumstances. 0:07:44.360 --> 0:07:46.880 This there is there is nothing called as normal from 0:07:46.880 --> 0:07:51.320 a UM from a visibility standpoint nowadays, there are kind 0:07:51.320 --> 0:07:55.720 of driver trends, there is gas prices that are reopening, 0:07:55.760 --> 0:07:59.600 travel trends. Just the externalities just complicate their lives. But 0:08:00.000 --> 0:08:03.400 having said that, a little bit of consistency of our 0:08:03.440 --> 0:08:08.360 predictability in UM in fundamentals is something that any investors appreciates. 0:08:09.080 --> 0:08:12.160 It may be lawer, but still that's consistency is what 0:08:12.520 --> 0:08:15.240 we're looking for. Well, we love your consistency on the 0:08:15.240 --> 0:08:18.080 show and coming on giving your viewpoint ahead of reworking 0:08:18.120 --> 0:08:19.840 some of those models will let you get back to it. 0:08:20.040 --> 0:08:22.240 Our head kill Kany, We thank him a roth M 0:08:22.320 --> 0:08:34.440 k M. China's spy balloons onboard or antennae and solar panels, 0:08:34.520 --> 0:08:38.920 so the US says it could collect US electronic communications. 0:08:39.360 --> 0:08:43.240 In short, this is no ordinary weather research balloon, as 0:08:43.320 --> 0:08:46.640 China is trying to claim. Overall. The US also thinks 0:08:46.679 --> 0:08:49.760 it's managed to identify which company makes these spy balloons 0:08:49.840 --> 0:08:53.360 and says they have direct relationships with the Chinese military. 0:08:53.800 --> 0:08:56.600 The Binn administration could therefore be forced to take yet 0:08:56.720 --> 0:09:01.480 further harsher steps of US technology export to China. They 0:09:01.480 --> 0:09:03.439 don't want the sort of thing getting in the hands 0:09:03.480 --> 0:09:06.199 of the Chinese military and security agencies to be used 0:09:06.240 --> 0:09:08.920 against them. And in fact, the whole saga has completely 0:09:08.920 --> 0:09:11.840 consumed Washington and indeed the rest of the United States. 0:09:12.040 --> 0:09:15.640 We've just seen a resolution passed by Congress condemning the 0:09:15.640 --> 0:09:18.000 actions of China and saying that it was in brazen 0:09:18.120 --> 0:09:21.839 violation of the US sovereignty. They want more information from 0:09:21.880 --> 0:09:27.800 the White House and if really tensions weren't enough between 0:09:27.840 --> 0:09:30.800 China and the US already, particularly from a business perspective, 0:09:30.880 --> 0:09:33.319 right right, Yeah, I think what's so astonishing about the 0:09:33.360 --> 0:09:36.439 reporting is the US making the case this is part 0:09:36.440 --> 0:09:39.120 of a program of espionage and led espionage. We cover 0:09:39.240 --> 0:09:41.480 tech on the show. We haven't quite gone there yet 0:09:41.480 --> 0:09:44.120 on the tech used for spying. And it's an astonishing 0:09:44.120 --> 0:09:47.880 picture they've painted about what's not just one isolated incident. Yeah, 0:09:47.920 --> 0:09:50.600 and that's whether or not this was made in China 0:09:50.679 --> 0:09:54.400 technology or whether it was Western made. And they're in 0:09:54.679 --> 0:09:56.480 lies some of the tension that's just going to be 0:09:56.640 --> 0:09:59.360 I'm sure talked around around again over in Capitol Hill 0:09:59.440 --> 0:10:02.480 and right here, all right, exactly so, and I want 0:10:02.480 --> 0:10:04.720 to stay with Washington actually for a second. The idea 0:10:04.760 --> 0:10:08.440 of oversight, the idea of lawmaking, because former Twitter officials 0:10:08.760 --> 0:10:12.120 testified on Wednesday and basically told lawmakers that they should 0:10:12.160 --> 0:10:16.400 hold off on regulating online content until they better understand 0:10:16.640 --> 0:10:20.360 how social media companies work, telling lawmakers you don't quite 0:10:20.360 --> 0:10:22.200 get it yet, let's bring in Kurt Wagner for more. 0:10:22.200 --> 0:10:24.680 I mean, is that the idea they're saying, actually, you, 0:10:25.080 --> 0:10:28.920 the oversight bodies, should actually have a deeper understanding of 0:10:28.920 --> 0:10:32.320 how we actually work before you go jumping into regulating. Yeah, 0:10:32.360 --> 0:10:35.440 and remember we have been having this conversation for years now, right, 0:10:35.480 --> 0:10:38.280 We've been talking about it with Facebook, with YouTube, with Twitter. 0:10:38.920 --> 0:10:43.040 There is a big misunderstanding, I would say, among lawmakers 0:10:43.080 --> 0:10:45.920 as to, uh, you know what section through two thirty 0:10:46.440 --> 0:10:49.720 does for companies and in some cases sort of the 0:10:49.760 --> 0:10:52.480 difference between that and the First Amendment, right and what 0:10:52.559 --> 0:10:55.080 companies are required by law to do and not. And 0:10:55.160 --> 0:10:58.200 so I think there's this feeling that everyone Democrats and 0:10:58.240 --> 0:11:01.200 Republicans are kind of rushing for order to change this. 0:11:01.360 --> 0:11:02.920 They think it's not working how it is, and they 0:11:02.920 --> 0:11:04.800 all want to change it, but that they don't necessarily 0:11:04.840 --> 0:11:06.480 have a grasp on how it should be changed. Let's 0:11:06.480 --> 0:11:08.520 look at it from the company's perspective. You've been very 0:11:08.559 --> 0:11:10.800 busy for a year or so covering Twitter, but you 0:11:10.840 --> 0:11:14.400 do cover social media broadly. How important is Section to 0:11:14.600 --> 0:11:18.120 thirty from the company's perspective, It's incredibly important. It's it's 0:11:18.160 --> 0:11:21.440 probably the most important kind of legal protection that they have, 0:11:21.640 --> 0:11:24.160 right because in general, what this means is that they 0:11:24.200 --> 0:11:27.800 can't be legally liable when some of their users post things. Right, 0:11:27.840 --> 0:11:30.559 so long as they're taking down things like child pornography 0:11:30.720 --> 0:11:33.600 or terrorists content or other things, you know, they're not 0:11:33.640 --> 0:11:36.800 going to be legally held when you know you d 0:11:37.280 --> 0:11:39.280 or Nie Kurt comes and says something that might get 0:11:39.280 --> 0:11:41.840 them into trouble, and so um. You know, they've said 0:11:41.840 --> 0:11:44.920 that if these are protections are repealed, it will actually 0:11:44.960 --> 0:11:46.560 be worse because they'll have to take down a lot 0:11:46.600 --> 0:11:51.120 more stuff to protect their own back many that much 0:11:51.120 --> 0:11:53.319 of that is sort of looking at fact checking, their 0:11:53.360 --> 0:11:56.000 own fact checkers and how you protect that. Interesting me 0:11:56.080 --> 0:11:59.160 over in Europe, Twitter has also caught the eye of 0:11:59.200 --> 0:12:01.640 the regulators because they're worried that there's just not enough 0:12:01.679 --> 0:12:05.280 power in place, enough commitment to empowering fact checkers. They're 0:12:05.280 --> 0:12:09.000 they're worried about disinformation in particular. Right, Yeah, well, Carolina, 0:12:09.040 --> 0:12:11.200 what's interesting as we're seeing this not just in the EU, 0:12:11.280 --> 0:12:13.640 but kind of in general, that regulators are really taking 0:12:13.679 --> 0:12:15.760 a tough look at Twitter because they've just lost so 0:12:15.800 --> 0:12:18.679 many people. There's a lot of skepticism that they can 0:12:18.720 --> 0:12:20.440 continue to do the kinds of things they need to 0:12:20.440 --> 0:12:23.320 do from a privacy or in this case, fact checking standpoint. 0:12:23.360 --> 0:12:25.160 As you mentioned the EU, you know, a bunch of 0:12:25.160 --> 0:12:27.839 tech companies are supposed to hand over sort of their 0:12:27.880 --> 0:12:32.360 plans for misinformation. Twitter's was inadequate, and so you know, 0:12:32.440 --> 0:12:35.000 again there's there's a concern that because Ellen came in 0:12:35.040 --> 0:12:37.800 and just fired so many people with institutional knowledge of 0:12:37.800 --> 0:12:40.800 the company, that they just are having enough troubles keeping 0:12:40.800 --> 0:12:43.200 the site up. They're not necessarily able to do the 0:12:43.240 --> 0:12:45.840 other things that the regulators expect them to do. And 0:12:45.880 --> 0:12:48.120 I just want to take a bit of a pivot cut. 0:12:48.280 --> 0:12:52.240 And it's an emotive subject Turkey at the moment, the 0:12:52.320 --> 0:12:55.760 need for social media, the need for sharing of information. 0:12:55.840 --> 0:12:57.960 But Twitter itself was down at one point. Can you 0:12:57.960 --> 0:13:01.000 talk us through anything you know on that front. Yeah, 0:13:01.040 --> 0:13:03.000 I mean there's still a lot that is unknown. But 0:13:03.040 --> 0:13:05.160 the timing was, of course terrible. Right. We saw that 0:13:05.240 --> 0:13:08.600 Twitter was down earlier this week, right when a lot 0:13:08.640 --> 0:13:12.160 of the safety groups were trying to organize on Twitter, 0:13:12.240 --> 0:13:15.760 when it was being used for important and critical information sharing. 0:13:15.840 --> 0:13:17.960 You know, we saw Elon Musk, you know who's now 0:13:18.040 --> 0:13:20.320 running Twitter, of course say that. Um, you know, they 0:13:20.360 --> 0:13:22.120 got word from the government that that was going to 0:13:22.160 --> 0:13:25.400 be reinstated, and I believe it has been. But again, 0:13:25.600 --> 0:13:28.640 the timing was terrible. Um, it's always bad when something 0:13:28.679 --> 0:13:30.720 like that happens, but in the wake of a natural 0:13:30.760 --> 0:13:33.400 disaster like that. Um it just really you know, put 0:13:33.440 --> 0:13:37.079 Twitter once again in the lime light. There, well said 0:13:37.240 --> 0:13:39.920 cut Wag. Now, we thank you so much for the 0:13:40.000 --> 0:13:42.320 latest in terms of the business. What is facing let's 0:13:42.320 --> 0:13:45.400 talk about well, the pressure from a regulatory perspective and 0:13:45.440 --> 0:13:48.520 perhaps the lack of investors now able to push for 0:13:48.559 --> 0:13:52.480 that too. A junior capital is no, well, it's a 0:13:52.480 --> 0:13:55.240 real expert in this field. In fact, the managing partner 0:13:55.280 --> 0:13:58.240 and former Twitter activists investor joined us. Now Natasha Lamb 0:13:58.520 --> 0:14:01.600 for more on this. And you know you are of 0:14:01.640 --> 0:14:05.160 course deeply knowledgeable on when it was a publicly traded 0:14:05.200 --> 0:14:08.640 company and the pressure you could exert it no longer is. 0:14:09.080 --> 0:14:12.280 And how difficult does that therefore mean in terms of 0:14:12.320 --> 0:14:15.880 making change and making sure that the right regulation and 0:14:15.920 --> 0:14:21.239 the right compliance is in place. Oh, I think unfortunately 0:14:21.240 --> 0:14:24.480 we've just frozen on, Natasha. But let's talk about this, said, 0:14:24.480 --> 0:14:27.240 because I think where our junior capital had found it was. 0:14:27.440 --> 0:14:29.480 I think she's back, Natasha. We can go to you. 0:14:30.000 --> 0:14:32.640 The fact that you no longer can exert pressure from 0:14:32.680 --> 0:14:37.080 a publicly traded an investor perspective, But what pressure can 0:14:37.080 --> 0:14:40.600 regulators now wield on something like Twitter? I mean I 0:14:40.600 --> 0:14:44.320 think that's that's the crux of it that you know, 0:14:44.440 --> 0:14:47.840 decide the fact that investors for the last six years 0:14:47.880 --> 0:14:51.920 have been asking companies to clean up their act have 0:14:52.080 --> 0:14:56.480 had some success in getting transparency. UM, it's clear that 0:14:56.520 --> 0:14:59.320 the companies are not doing enough. Twitter is not doing enough. 0:14:59.760 --> 0:15:02.600 It's now private, and it brings up a host of 0:15:02.720 --> 0:15:06.240 concerns as to whom Twitter is accountable to, other than 0:15:06.320 --> 0:15:09.440 Elon musk UM. So now with Twitter no longer a 0:15:09.480 --> 0:15:14.440 public company, no longer having that level of accountability to investors, 0:15:14.600 --> 0:15:17.320 it's going to have to be accountable to regulators because 0:15:17.720 --> 0:15:21.240 you know, time just keeps going by and nothing, uh, 0:15:21.320 --> 0:15:25.360 nothing's happened. There is not UM a level of standard 0:15:25.520 --> 0:15:28.960 here that is preventing some of the harm that's being done. 0:15:29.040 --> 0:15:31.640 And recently you've seen action on a number of fronts. 0:15:31.920 --> 0:15:35.960 We saw President Biden call for bipartisan regulation of social 0:15:36.000 --> 0:15:38.520 media companies. Just like last night at the sort of 0:15:38.760 --> 0:15:42.240 Union UM, this month's expected Twitter will have to think 0:15:42.720 --> 0:15:47.280 the strictest content rules UM in the European Union because 0:15:47.320 --> 0:15:51.520 of the number of large active users that it has UM. 0:15:51.600 --> 0:15:56.400 And we're seeing cases go before the Supreme Court UM, 0:15:56.520 --> 0:15:59.760 who's hearing cases this month on weather. Social media companies 0:16:00.000 --> 0:16:03.360 it or being one of them, are responsible for propagating 0:16:03.600 --> 0:16:06.720 growist content and attached on delights to have you on 0:16:06.760 --> 0:16:09.280 the program. You've been coming on for a very long time, 0:16:09.320 --> 0:16:12.880 and respectfully, I feel a sense of deja vu. UM. 0:16:13.080 --> 0:16:15.800 My question is, you know, when are these things that 0:16:15.840 --> 0:16:19.600 you're going you're calling for going to happen. I'm not 0:16:19.640 --> 0:16:23.160 sure what's changed now from say two or four years ago. 0:16:24.720 --> 0:16:28.000 I mean, I think it's a really fair question. And 0:16:28.120 --> 0:16:31.560 you know, obviously investors were not able to exert enough 0:16:31.600 --> 0:16:34.200 pressure for the companies to clean up their act on 0:16:34.240 --> 0:16:37.720 their own UM, and so regulations seems to be kind 0:16:37.720 --> 0:16:43.000 of the last ditch effort UM. And you know, I 0:16:43.000 --> 0:16:45.440 if you look at you know, section to thirty, which 0:16:45.560 --> 0:16:50.160 the previous gentleman was speaking about, UM to protect these 0:16:50.160 --> 0:16:54.200 companies against legal liability. But it's clear the policy needs 0:16:54.240 --> 0:16:59.000 to evolve because of the level of harm that's being done. 0:16:59.320 --> 0:17:02.720 Look at a lects, look at genocide that's happened, UM, 0:17:02.840 --> 0:17:07.280 public health crime, the government insurrection, UM. These they are 0:17:07.320 --> 0:17:11.720 all issues that ride to a level that government regulation 0:17:11.840 --> 0:17:14.520 is needed. And we know how difficult it is in 0:17:14.600 --> 0:17:19.320 this country to get bipartisan support. Um, but really that's 0:17:19.400 --> 0:17:23.879 what's needed, Natasha, dig in there, because this is so nuanced. 0:17:23.920 --> 0:17:28.000 This argument you want it to evolve is the regulation. 0:17:28.040 --> 0:17:31.760 Do you have confidence that the regulators get the need 0:17:31.840 --> 0:17:35.800 to protect certain elements, perhaps that companies might argue for 0:17:35.880 --> 0:17:39.320 their own self moderation so that to thirty can evolve 0:17:39.440 --> 0:17:42.200 in the right ways. Do you think Yeah? I mean, 0:17:42.240 --> 0:17:46.760 I think it's a fair point. Policymakers are policymakers, and um, 0:17:46.800 --> 0:17:50.600 you know they're they're not tech experts, and this space 0:17:50.720 --> 0:17:54.520 has evolved so much over the last decade that regulators 0:17:54.520 --> 0:17:57.359 are looking to catch up that that I think is 0:17:57.359 --> 0:18:02.240 why it's Oh, dear, we've just had another technical glitch. 0:18:02.600 --> 0:18:07.119 Are you still there, Natasha? I think we might have 0:18:07.160 --> 0:18:09.439 lost her carrow, which is a shame, because you know, 0:18:10.280 --> 0:18:15.639 her point is something has to happen, and she's signing 0:18:15.640 --> 0:18:18.959 the recent references of President Biden addressing this last night. 0:18:19.040 --> 0:18:20.119 The point I was trying to make to her is 0:18:20.280 --> 0:18:23.840 we've heard President Biden say that before in previous speeches. 0:18:23.880 --> 0:18:27.119 It's sort of not new territory. What I would have 0:18:27.160 --> 0:18:29.840 asked her is just because Twitter is now private, and 0:18:29.920 --> 0:18:32.280 just because it's owned by Elon Musk. Does that add 0:18:32.280 --> 0:18:35.080 more impetus or more energy from lawmakers to do something 0:18:35.160 --> 0:18:37.800 or regulate to do something. It's hard to say yeah. 0:18:37.840 --> 0:18:41.160 And in many ways Europe is worried by the fact 0:18:41.160 --> 0:18:43.800 that this is now a privately held company. They've been 0:18:43.840 --> 0:18:46.320 flagging ever since he took the company private, that they 0:18:46.359 --> 0:18:48.720 want to see the right commitments put in place to 0:18:48.760 --> 0:18:51.320 tackle things and disinformation. I hate to set as a 0:18:51.359 --> 0:18:54.040 brit but time and time again it feels like Europe 0:18:54.080 --> 0:18:56.720 needs the charge. And actually, you know, the Britain doesn't 0:18:56.720 --> 0:18:58.840 have much to do with some of the European regulation 0:18:58.880 --> 0:19:02.399 that's now coming into place. But ultimately Europe does seem 0:19:02.440 --> 0:19:04.840 to be able to get the right regulation in place 0:19:04.840 --> 0:19:07.000 in many ways, or at least drive it forward, and 0:19:07.040 --> 0:19:09.920 it often leaves the US playing catch up in some way. Well, 0:19:09.920 --> 0:19:12.520 what is it that the said Ellen Musk in Twitter 0:19:12.520 --> 0:19:14.760 will fly by our rules? Which I thought was a 0:19:14.840 --> 0:19:17.920 very quick and witty poke, and we know that Elon 0:19:18.000 --> 0:19:20.520 Muster has been talking to Europe. It's one will continue 0:19:20.560 --> 0:19:24.040 to track now coming up. Unfortunately, more job cuts underway, 0:19:24.040 --> 0:19:27.320 with Delivery slashing nine percent of its staff. Will get 0:19:27.320 --> 0:19:29.840 more of the details in Talking Tech. That's next Curac 0:19:30.080 --> 0:19:32.120 And let's a quick look at another after ours, Mover, 0:19:32.200 --> 0:19:34.600 because there have been plenty after this, earnings coming thick 0:19:34.640 --> 0:19:36.920 and fast. Actually Experience managing to bounce off of its loans. 0:19:36.960 --> 0:19:39.520 We're currently off by only two percent now had some 0:19:39.680 --> 0:19:41.760 more than sem percent at one point. All of this 0:19:42.000 --> 0:19:45.399 regarding the online travel agency, Yes they missed estimates in 0:19:45.480 --> 0:19:47.399 terms of the holiday sales, but all that to do 0:19:47.440 --> 0:19:50.720 with weather. So some analysts out there saying, look, actually 0:19:51.000 --> 0:19:53.879 this was a miss, but there were temporary reasons behind 0:19:53.880 --> 0:19:57.280 it related to some poor weather, and demand remains robust. 0:19:58.080 --> 0:20:00.600 Well to come in terms of the earnings front, visa 0:20:00.640 --> 0:20:25.879 bloom time Now for Talking Tech. First up, Apple hiring 0:20:25.920 --> 0:20:30.040 its first Chief People Officer and removing HR responsibilities from 0:20:30.040 --> 0:20:33.200 its head of retail, overhauling the way the company hires 0:20:33.200 --> 0:20:35.960 and supports employees. In a memo to employees, Tim Cook 0:20:35.960 --> 0:20:39.479 announced Carol Surface will assume the role and said quote 0:20:39.600 --> 0:20:43.359 she brings an incredible depth of experience. Microsoft will begin 0:20:43.480 --> 0:20:46.560 color coding employees expense reports as part of a new 0:20:46.600 --> 0:20:49.680 agreement with American Express. This comes as the tech giant 0:20:49.680 --> 0:20:53.520 already announced its slashing thousands of jobs The company will 0:20:53.560 --> 0:20:58.160 integrate the technology into its internal expense system later this year, 0:20:58.200 --> 0:21:01.199 with employees uploading photo is of receipts, which will be 0:21:01.240 --> 0:21:05.160 coded as green if automatic approval is recommended, yellow if 0:21:05.200 --> 0:21:07.720 it needs another look, or red Caroline if it should 0:21:07.760 --> 0:21:12.760 be denied. And Delivery a latest company, unfortunately to announce 0:21:12.840 --> 0:21:16.359 job cuts. The food delivery business will slash three fifty jobs, 0:21:16.359 --> 0:21:19.080 focusing of course on profits and a way to deal 0:21:19.160 --> 0:21:22.360 with what is difficult consumer environments right now. CEO Will 0:21:22.359 --> 0:21:24.760 Shoe said the cuts will effect roles at all levels, 0:21:24.800 --> 0:21:29.440 although some employees will be really deployed. Caroline certainly company 0:21:29.480 --> 0:21:32.520 that has been used a lot in London over the years, 0:21:32.720 --> 0:21:43.159 and I know we are going to take a really 0:21:43.240 --> 0:21:47.240 hard look at the cost for everything that we make, 0:21:48.040 --> 0:21:53.160 both across television and film, because things in a very 0:21:53.200 --> 0:21:57.440 competitive world have just simply gotten more expensive. And that's 0:21:57.480 --> 0:22:02.480 something that is already under right here, I'll come back 0:22:02.520 --> 0:22:04.959 to Bloomberg Technology. I'm Caroline had in New York and 0:22:05.240 --> 0:22:08.600 well Disney CEO Bob Biger. They're speaking on the company's 0:22:08.640 --> 0:22:11.440 earnings call that was about twenty four hours ago. Ed 0:22:11.800 --> 0:22:14.520 what a lot has changed in those twenty four hours, 0:22:14.520 --> 0:22:17.800 it feels like, yeah, it's all about restructuring. And you know, 0:22:17.880 --> 0:22:21.840 the bigger news probably that Peltz has pulled back this 0:22:21.960 --> 0:22:25.840 activist investors stepping away from ambition to take a board seat, 0:22:25.880 --> 0:22:28.520 push for change at Disney, because change is what we've got. 0:22:28.520 --> 0:22:30.920 The statements short and sweet. The proxy fight is over. 0:22:31.280 --> 0:22:34.120 This is a win for all shareholders. And the question 0:22:34.160 --> 0:22:36.480 we've been asking for twenty four hours or so is 0:22:36.520 --> 0:22:39.600 what placated Pelts. I've got this terminal chart that kind 0:22:39.600 --> 0:22:42.000 of tells the story and the challenge for Eiger. They're 0:22:42.000 --> 0:22:45.280 targeting five point five billion dollars of cost savings. Right, 0:22:45.480 --> 0:22:48.120 you look at the white line, which is the top line, 0:22:48.200 --> 0:22:51.919 essentially revenues at record levels but sales slowing. Then you 0:22:52.000 --> 0:22:54.360