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Speaker 1: Bloomberg Audio Studios, podcasts, radio news. Bloomberg Tech is alive

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Speaker 1: from coast to coast with Caroline Hide in New York

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Speaker 1: and v Love in San Francisco.

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Speaker 2: This is Bloomberg Tech.

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Speaker 3: I'm Matt Miller in New York filling in for Carolin

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Speaker 3: and Ed Whu are on assignment today. Coming up in

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Speaker 3: Nvidia invests two billion dollars in Marvel to collaborate on

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Speaker 3: silicon photonics technology. We had the details of that deal,

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Speaker 3: plus the debt binge fueling. The AI boom continues with

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Speaker 3: core Weave raising eight and a half billion dollars more

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Speaker 3: from banks and investors to expand its neo cloud capacity,

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Speaker 3: and wearable health tech company Whoop gets a ten point

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Speaker 3: one billion dollar valuation after its latest raise. We'll sit

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Speaker 3: down with the CEO, but first take it look at

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Speaker 3: what's going on in markets, because we have a rally

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Speaker 3: on our hands today, the S and P five hundred

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Speaker 3: gaining one and a half percent, the NASDAK gaining one

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Speaker 3: and a quarter percent. Right now, it is worth pointing

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Speaker 3: out that even adding two hundred and ninety points only

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Speaker 3: brings us back to twenty three two hundred and forty

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Speaker 3: five so we're rising up but still do a relatively

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Speaker 3: low level, and Brent crude trading at over one hundred

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Speaker 3: and seven dollars a barrel right now one oh seven

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Speaker 3: seventy one. Nimex is trading at one hundred and three

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Speaker 3: dollars a barrew, so even WTI well over that one

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Speaker 3: hundred dollars level, as the President tells aids at least

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Speaker 3: according to the Wall Street Journal, that he is thinking

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Speaker 3: about leaving Iran without.

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Speaker 2: Reopening the Strait of horror moves.

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Speaker 3: Let's bring in Bloomberg Balance of power cost Kaylee Limes

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Speaker 3: for the latest on the war in the Middle East.

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Speaker 2: Kaylee, what do we know?

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Speaker 4: Well, Matt, it does seem to be a narrative that

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Speaker 4: is changing each and every day. At this time yesterday,

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Speaker 4: we were talking about President Trump who was openly threatening

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Speaker 4: publicly on true social to potentially attack a running an

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Speaker 4: energy infrastructure, even water infrastructurally desalination plans. If Iron did

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Speaker 4: not reach a deal with the United States to reopen

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Speaker 4: the straight of wour moves, then you have fresh reporting

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Speaker 4: in the Wall Street Journal that he is privately told

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Speaker 4: aids around him, according to people familiar with the matter,

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Speaker 4: that he would be willing to wrap up the primary

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Speaker 4: military and naval operations right now, like destroying the Iranian

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Speaker 4: navy and other military targets, without actually securing the reopening

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Speaker 4: of the strait, leaving that either to diplomacy or potentially

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Speaker 4: for other countries to step in to try to secure.

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Speaker 4: And that would be in keeping with what we're hearing

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Speaker 4: from the President on True Social this morning, specifically when

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Speaker 4: it pertains to jet fuel, he talks about other countries,

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Speaker 4: including the United Kingdom, who need jet fuel and aren't

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Speaker 4: getting it right now out of the Middle East, that

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Speaker 4: he would suggest either number one, you buy that from

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Speaker 4: the United States, he argues that we have plenty of

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Speaker 4: jet fuel, or you go into the strait yourself to

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Speaker 4: try to secure it. He actually said, and this is

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Speaker 4: a quote, go get your own oil. So it does

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Speaker 4: seem to be building on this narrative of the President

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Speaker 4: which we have been hearing for weeks now, pushing other

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Speaker 4: countries to step in more acutely in the Middle East,

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Speaker 4: either to secure the straight Mews or otherwise support US

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Speaker 4: operations that do still remain ongoing. When it comes to Iran,

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Speaker 4: of course, we've had thousands of more American military personnel

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Speaker 4: service members arriving in the theater. Over just the last

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Speaker 4: several days, we heard once again from the Defense Secretary

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Speaker 4: Pete Hegsep and the Joint chiefs of Staff Chare dan

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Speaker 4: Kine about ongoing military operations. Some eleven thousand targets still struck,

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Speaker 4: and Pete Hegseth did echo the President and saying more

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Speaker 4: could be targeted if indeed no deal.

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Speaker 3: Is reach Matt all right, Keyley, thanks very much, look

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Speaker 3: forward to your program. Keaylle lines co Anker's Balance of

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Speaker 3: Power at one o'clock on Bloomberg Television. Let's turn now

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Speaker 3: to the big news in chip makers today, within Vidia

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Speaker 3: announcing a two billion dollar investment in Marvel Technology. It's

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Speaker 3: part of a strategic partnership that will connect Marvel within

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Speaker 3: Vidia's AI ecosystem, essentially opening up the tent to bring

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Speaker 3: in more players. Let's get to Bloomberg's Global Executive Tech

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Speaker 3: editor Peter Elstrom.

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Speaker 2: So, Peter, what do we know about this deal? H?

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Speaker 5: So, we've seen Nvidia cut a number of these deals

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Speaker 5: in the past where they're going out and they're working

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Speaker 5: with other technology companies to try to speed up and

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Speaker 5: improve the AI infrastructure. That they're building out around the world.

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Speaker 5: They're of course selling their chips to the AI developers,

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Speaker 5: and in this case they're partnering with Marvell, investing two

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Speaker 5: billion dollars, as you say, not a small amount to

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Speaker 5: be able to get more access to their technology, especially

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Speaker 5: the photonics technology that they need to be able to

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Speaker 5: connect chips. And Vidia course has the best AI accelerators

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Speaker 5: on the market, but increasingly they want to be able

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Speaker 5: to connect those chips so it's not just one GPU,

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Speaker 5: but dozens of them or even scores of them, hundreds

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Speaker 5: of them to be able to work together to power

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Speaker 5: these data centers more efficiently. Marvell has excellent technology for

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Speaker 5: that kind of networking. They want to be able to

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Speaker 5: use the photonics technology that they've been accumulating and developing

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Speaker 5: over the years to speed up that process and also

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Speaker 5: to make it more energy efficient. As we've seen, data

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Speaker 5: centers consume a tremendous amount of power, and if you

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Speaker 5: can reduce that requirement even a little bit, you're going

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Speaker 5: to save yourself some money and some costs.

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Speaker 2: In terms of in Vidia's power.

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Speaker 3: We really saw it put to work with a property

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Speaker 3: developer that got what three point eight billion dollars in funding,

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Speaker 3: even though nobody has really worked.

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Speaker 2: With them before. What's the story there.

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Speaker 5: Yeah, this is a fascinating deal, and you see the

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Speaker 5: creative financing that is popping up around a lot of

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Speaker 5: these AI development infrastructures. You're talking about Track Capital. It

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Speaker 5: was started by an entrepreneur, Grant Van Ruyan, who's done

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Speaker 5: data centers before. Certainly they've done them, but in this

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Speaker 5: particular case, you're exactly right.

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Speaker 2: They Tracked has a deal.

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Speaker 5: Within Nvidia where they promise they're going to buy data

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Speaker 5: center capacity in the future. There's no revenue from this

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Speaker 5: company at this point, but Track has set this up

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Speaker 5: as a subsidiary, so it's not guaranteeing the three point

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Speaker 5: eight billion dollars in debt that you're referring to, but

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Speaker 5: it's truly a bet that they're going to be able

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Speaker 5: to construct a data center, get power connected to that

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Speaker 5: data center, and begin to sell AI services in the future.

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Speaker 2: We'll see if it works, but there's.

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Speaker 5: A lot of this kind of speculative financing going on

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Speaker 5: to try to support what's a very fast build out

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Speaker 5: of these data centers. So it'll be a fascinating deal

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Speaker 5: to watch.

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Speaker 3: You just having Nvidia on your client list, the name

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Speaker 3: there is enough to get you pretty good credit.

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Speaker 2: Peter Elstrom, thanks very much for that.

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Speaker 3: Let's talk talk about one of the other chip makers

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Speaker 3: that we're watching today, and that is super Micro, the

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Speaker 3: company facing growing investor concern after a string of self

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Speaker 3: inflicted setbacks. Most recently, its co founder was indicted on

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Speaker 3: charges of circumventing US export restrictions to China. For more

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Speaker 3: on the stock, Bloomberg Tech equities reporter Ryan Vlastelica joins

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Speaker 3: us and Ryan, it just looks like investors are leaving

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Speaker 3: this company again in droves.

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Speaker 6: Yeah.

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Speaker 7: Absolutely, thank you for having me so absolutely. Having the

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Speaker 7: indictment of the co founder, that's obviously a pretty big

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Speaker 7: hurdle for any kind of investor. But this comes after

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Speaker 7: some other major red flags at the company, notably some

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Speaker 7: accounting issues over a couple of years. This has something

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Speaker 7: that people are extremely cautious about, even though the company

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Speaker 7: is very well positioned in what is seen as a

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Speaker 7: major growth market, which is AI servers. So we've seen

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Speaker 7: the stock really fall participacy over the past couple of

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Speaker 7: years as people sort of assess what does this company's

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Speaker 7: risk profile look like? What kind of governance issues are

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Speaker 7: coming into play here. All of that at the moment

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Speaker 7: is really overshadowing a more positive fundamental growth story in

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Speaker 7: terms of the market it's operating in.

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Speaker 3: In terms of it's not a chip maker, obviously super micro.

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Speaker 3: What is the main product for this? Is it server racks? Yeah, exactly,

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Speaker 3: so AI servers. Another company, Dell is also involved here

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Speaker 3: HeLa packard enterprise. Not many companies operate in this, but

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Speaker 3: it is a key part of AI related infrastructure, which

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Speaker 3: is why the company for a really long time was

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Speaker 3: doing quite well. It was seeing pretty dramatic growth. It

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Speaker 3: is one of Nvidia's major customers, and we saw the

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Speaker 3: stock sort of react to that. I think at one

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Speaker 3: point it was the biggest ever component of a small

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Speaker 3: cap index before it was finally moved to the SMP

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Speaker 3: five hundred, just as a reflection of how quickly the

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Speaker 3: company was growing and how much the stop was rising.

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Speaker 3: Now all of this is really coming under question right now.

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Speaker 3: So while there's still a lot of optimism about the

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Speaker 3: long term story of AI infrastructure, here you have a

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Speaker 3: company that has a lot of really unique challenges and

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Speaker 3: risks associated with it, especially relative to more familiar companies

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Speaker 3: like Dell or Hpe.

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Speaker 2: All right, Ryan, great to get your coverage.

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Speaker 3: Ryan blast Elica covers tech companies for US out of

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Speaker 3: the middle of America. Coming up, Core Weave shares are

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Speaker 3: rising this morning as the Neo Cloud company raises an

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Speaker 3: eight and a half billion dollar loan to help fuel

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Speaker 3: its complete build out. We'll have details on the Neo

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Speaker 3: cloud operator. Next, this is Bloomberg Tech. Just take a

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Speaker 3: look at Snap. Why don't we Shares are jumping on

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Speaker 3: the news that activists investor Capital Management has built a

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Speaker 3: position in the company, Sources saying Ernick is pushing for

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Speaker 3: changes to improve financial and operating performance. Bloomberg's Leanna Baker

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Speaker 3: joins us now. She runs the deals team for us

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Speaker 3: here at Bloomberg. So what do we know about this

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Speaker 3: investor and what it wants out of Snap?

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Speaker 8: Sure, so we've seen a Rennick before. They're an up

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Speaker 8: and coming activist. They've gone after companies like News Corp

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Speaker 8: Before owned by the Murdoch, so they're no stranger to companies.

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Speaker 2: That are controlled.

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Speaker 8: But here they're looking at sort of shaking up things

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Speaker 8: at Snap. You know, the stock is down fifty percent

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Speaker 8: year over year. They're asking for a lot of changes

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Speaker 8: from you know, a stock buy back, to more adoption

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Speaker 8: of AI, to big layoffs and just other things that

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Speaker 8: Snap should do to sort of get back on track

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Speaker 8: since going public in twenty seventeen. Its products are wildly successful,

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Speaker 8: but it hasn't really found its footing as a public company.

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Speaker 8: Just the share story doesn't tell that.

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Speaker 3: So yeah, I mean, I'm looking at this is a

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Speaker 3: company that's only worth seven zero point four billion dollars

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Speaker 3: right up against a Meta which is worth one point

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Speaker 3: four trillion. And you cite the year over year performance,

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Speaker 3: but over five years, Snap shares are down ninety one percent.

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Speaker 3: I mean, they've lost essentially all of their value.

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Speaker 8: It's sunning, And here comes an activist investor saying, look,

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Speaker 8: we believe in the business, but here are some changes

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Speaker 8: that we think that Snap can make to sort of

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Speaker 8: have its second act. They're looking for a comeback here,

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Speaker 8: and they believe that, you know, with the right moves,

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Speaker 8: maybe shutting down the SPECS wearable business, that's one thing

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Speaker 8: they're calling for that you know, Snap could turn itself around.

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Speaker 2: That business is still operating.

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Speaker 8: So the company had announced earlier this year they're separating

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Speaker 8: it into a stand zone entity, but we're waiting for

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Speaker 8: the glasses to come out later this year.

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Speaker 3: All right, tough to go up against Meta with that

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Speaker 3: business as well. Thank you so much, Leanna Baker on that.

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Speaker 3: Let's get to the neo cloud story now, because core

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Speaker 3: Weave has raised another eight and a half billion dollars

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Speaker 3: who expand its cloud capacity as the debt bingch the

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Speaker 3: AI boom continues. Shares a core Weave climbing on the news.

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Speaker 3: The loan is backed by a combination of semiconductors and

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Speaker 3: a customer contract to use those chips. Bloomberg reported last

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Speaker 3: month that the deal was with Meta. Let's get more

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Speaker 3: details with our markets reporter Bailey Lipshultz. So, Bailey, what

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Speaker 3: do we know about this stock? And it's incredible, incredible

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Speaker 3: borrowing performance.

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Speaker 9: Yeah, man, this is probably the most debated stock on

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Speaker 9: Wall Street, maybe behind Tesla, and when you look at

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Speaker 9: kind of that debt binch, they have been clearly tapping

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Speaker 9: every avenue or venue that they can, and they really

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Speaker 9: according to the company, this is the largest chip backed

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Speaker 9: product in terms of borrowing. So when you put this

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Speaker 9: into an SPV, you're using again to your point, about

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Speaker 9: eight and a half billion dollars of borrowing power that

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Speaker 9: is going to go into funding and building out the operations,

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Speaker 9: as you mentioned, backed by that Meta contract. So this

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Speaker 9: is a company that if you talk to the bulls,

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Speaker 9: they're being very novel with different ways to fund these

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Speaker 9: build outs and fund these operations. If you talk to

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Speaker 9: some of the skeptics, this is just another move to

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Speaker 9: borrow money and use the name of Meta to help

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Speaker 9: back that up.

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Speaker 3: So I look at, you know, again the market cap here.

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Speaker 3: It's a forty billion dollar company, but they have twenty

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Speaker 3: three billion dollars in debt on the DDIS page, and

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Speaker 3: I assume that's not including something like this because as

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Speaker 3: you said, it's an SPV.

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Speaker 9: Yeah, it's structures are interesting, and when you talk to investors,

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Speaker 9: if you're talking to private debt buyers, they love this because, okay,

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Speaker 9: you're actually backing an individual product that is investment greade

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Speaker 9: according to Moody's that is backed by a contract with Meta.

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Speaker 9: If you talk to equity investors on the public side,

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Speaker 9: to your point, it's a bit more of a complex picture.

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Speaker 9: And that's why we've seen elevated short interest. We've seen

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Speaker 9: wild swillings with the stock going back to when it

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Speaker 9: went public last year during call it the tariff issues.

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Speaker 9: And really, when you look at kind of the under

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Speaker 9: the surface performance of this company, it is betting that

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Speaker 9: they are going to dominate the space of acquiring in

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Speaker 9: video chips, building out those data centers, and helping Lease

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Speaker 9: compute to hyperscalers. It's a bold strategy that so far, again,

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Speaker 9: we're really only in the early innings of that story place.

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Speaker 3: I mean, this is a stock that has doubled in

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Speaker 3: the past twelve months, Bailey, and almost all of that

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Speaker 3: came in the first couple of months after Liberation Day.

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Speaker 3: Since then the stock has been on a steady decline.

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Speaker 3: So the chart doesn't look as impressive as it sounds. No,

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Speaker 3: not as impressive as it sounds.

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Speaker 9: And if you compare its one year performance to its

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Speaker 9: main publicly traded peer, and that's an Ebbus, it's actually

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Speaker 9: underperforming the other neocloud rival. Again, this is a story

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Speaker 9: that from an investing standpoint, has so many different parties participating.

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Speaker 9: So yes, you look at the stock performance, again, that's

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Speaker 9: only the public equity side of this story. So even

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Speaker 9: when you talk to, as I do, investors who operate

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Speaker 9: in both the private and public space, it's a bit

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Speaker 9: more of a complex and again debated story from a

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Speaker 9: public equity perspective, but we continue to see the company

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Speaker 9: finding willing investors to help back its credit and willing

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Speaker 9: consumers in the likes of a Meta to sign some

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Speaker 9: of these contracts because there are trillions of dollars at risk.

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Speaker 3: Coor we've shares up ninety eight point five percent in

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Speaker 3: the past twelve months nebius of three hundred and sixty percent.

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Speaker 3: Bloomberg's Bailey Lipschultz covers the markets for US coming up

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Speaker 3: autonomous boat startup Saronic raises one point seventy five billion

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Speaker 3: dollars as the wave of funding into defense tech continues.

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Speaker 2: More on that Next, this is Bloomberg Tech.

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Speaker 10: A lot of our peers just don't focus on this

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Speaker 10: area because it is too complicated and so and those

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Speaker 10: that we do compete against tend to be more mid

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Speaker 10: market firms, which as a global private equity firm, with

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Speaker 10: our global footprint, with the resources we have, it's easier

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Speaker 10: for us to differentiate when we're looking at court a

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Speaker 10: founder of a business that he should partner with us.

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Speaker 3: That was Ian Fujiyama, head of Aerospace, Defense and Government

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Speaker 3: Services at Carlisle on navigating regulatory landscape. Sources tell Bloomberg

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Speaker 3: Carlisle is reaching out to investors about a potential defense

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Speaker 3: focus fund. To carl representative declined to comment, but we

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Speaker 3: want to get more on this report with Bloomberg's private

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Speaker 3: equity reporter Alis McNeely. She joins me here on set

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Speaker 3: in Studio one at seven thirty one.

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Speaker 2: Lex Alison, Great to have you on the program.

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Speaker 3: This is really about more than defense, right, It's about,

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Speaker 3: at least what we think we know, Carlisle investing in

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Speaker 3: kind of rebuilding the industrial base exactly.

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Speaker 11: It's sort of being pitched as a defense and a

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Speaker 11: reindustrial is a re industrialization fund, and that actually has

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Speaker 11: a lot of connectivity with defense in general.

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Speaker 2: Right.

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Speaker 11: We've seen the US Army they have this big push

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Speaker 11: for one hundred and fifty billion dollars in capital to

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Speaker 11: invest in infrastructure. We saw that they entered into exclusivity

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Speaker 11: to negotiate with cake Care and Carlisle and Data Centers

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Speaker 11: last week. So this has really been an emerging theme

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Speaker 11: of private capital kind of coalescing around defense and industrializing.

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Speaker 2: Private capital getting into it big.

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Speaker 3: But Carlisle specifically has deep roots in defense. What's different

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Speaker 3: about this go round?

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Speaker 11: What is different about this go around is we sort

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Speaker 11: of in the past, defense, as I understand, it has

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Speaker 11: been somewhat boom and bust or wax and wag, and

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Speaker 11: you know, depending on really who's in the government and

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Speaker 11: what kind of push there is to invest in defense.

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Speaker 11: But given sort of the changing environment that we saw

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Speaker 11: really starting with Ukraine a few years ago and now

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Speaker 11: kind of what is happening here, there's a realization among

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Speaker 11: governments around the world that they need to invest in

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Speaker 11: their defense, invest in their military, and do technological upgrades

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Speaker 11: as well as sort of again that infrastructure upgrade.

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Speaker 3: All right, it makes a lot of sense. Looking forward

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Speaker 3: to more reporting on this story. Alison McNeely, thanks for

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Speaker 3: joining us. Let's stick with the defense or reindustrialization theme,

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Speaker 3: because Saronic is making military drone boats. It's closed to

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Speaker 3: one and three quarter billion dollars Series D round, valuing

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Speaker 3: the company at nine and a quarter billion dollars, and

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Speaker 3: we have the CEA for you. Dino Mavrucus joins us

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Speaker 3: and do you know, you know for you also this

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Speaker 3: must be good news the Carlisle story, right, Obviously, your

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Speaker 3: funding round is very has been very successful.

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Speaker 2: What are you going to deploy that capital to do?

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Speaker 2: How will you rebuild the industrial base?

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Speaker 12: Hi, Matt, and thanks for having me on the show.

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Speaker 12: This is very exciting news for Saronic and as you mentioned,

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Speaker 12: very exciting news for the industrial base. Before I jump

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Speaker 12: into what's next for Saronic and what we're going to

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Speaker 12: be doing, it's important to acknowledge that this fundraising really

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Speaker 12: came off the back of is a byproduct of the

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Speaker 12: execution of our team over the last twelve months. Like

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Speaker 12: just twelve months ago, we raised a six hundred million

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Speaker 12: dollar financing round on a four billion dollar valuation that

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Speaker 12: let us open our first shipyard, launch Marauder, which is

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Speaker 12: one hundred and eighty foot autonomous ship, start a three

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Speaker 12: hundred million dollar infrastructure project into scaling product capacity at

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Speaker 12: that shipyard, and also scale the production of our small

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Speaker 12: USV products of Coursera, what you see right behind me

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Speaker 12: well into the thousands. Now, as we look forward, what

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Speaker 12: are we going to do with this new capital. We're

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Speaker 12: going to continue to accelerate the production and the delivery

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Speaker 12: of our vessels to the US and.

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Speaker 2: Allies around the world.

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Speaker 12: We're going to launch new products, new ships, and We're

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Speaker 12: going to continue that investment into the shipbuilding industrial base,

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Speaker 12: invest billions of dollars, create thousands of jobs in the process,

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Speaker 12: and unlock production rates in shipbuilding that we haven't seen

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Speaker 12: in this country since World War Two, and do it

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Speaker 12: in a very software first, technological first approach.

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Speaker 3: And it's also I mean, I wasn't aware until we

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Speaker 3: started reporting on the potential to lift the Jones Act

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Speaker 3: what a.

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Speaker 2: Bad state US shipbuilding is in.

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Speaker 3: I mean, we only have like six or seven Navy

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Speaker 3: shipyard and most of them are here on the East Coast,

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Speaker 3: I think one in California. How are you playing a

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Speaker 3: role in bringing back US shipbuilding, Dino.

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Speaker 2: You're exactly right.

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Speaker 12: The shipbuilding industry is in crisis right now, and you're

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Speaker 12: seeing this as a priority of the administration. I mean,

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Speaker 12: the White House just put out a Maritime Action Plan

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Speaker 12: to rebuild the maritime industrial base, and that's exactly what

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Speaker 12: Saronic is investing in. When you look at the shipbuilding

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Speaker 12: capacity in this country right now, from a commercial perspective,

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Speaker 12: the United States has zero point one percent of global

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Speaker 12: shipbuilding capacity. The Chinese can outbuild the United States two

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Speaker 12: hundred and thirty to one, and then on the military

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Speaker 12: and defense side. You know, traditional naval destroyers, for example,

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Speaker 12: costs billions of dollars, but also say it take six

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Speaker 12: to eight years to produce one of them.

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Speaker 2: So how we're looking.

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Speaker 12: At deploying our on man system them is really around scale.

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Speaker 12: How do we adopt very very fast, in really large

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Speaker 12: quantities at a fraction of the price point that traditional

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Speaker 12: man platforms are able to be delivered to the military today.

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Speaker 2: One of the biggest benefits of these drone boats.

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Speaker 3: I mean, I look at this administration seemingly begging our

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Speaker 3: allies to come help out in the straight of hoour

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Speaker 3: moos with mind sweepers because we have only some wooden

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Speaker 3: hulled boats out there, right and obviously with the crew

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Speaker 3: that you don't want to risk with such a dangerous task.

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Speaker 2: Is this where you can play a critical role?

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Speaker 12: That's exactly right. I mean, when you look at what's

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Speaker 12: happening in the straits of Four Moves and candidly other

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Speaker 12: maritime environments around the world, what you're seeing are increasingly

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Speaker 12: contested and increasingly complex environments. What unmanned systems really bring

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Speaker 12: to the table is scale, persistence and risk reduction. And

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Speaker 12: what I mean by that is, you can really deploy

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Speaker 12: high numbers of these platforms, again at a fraction of

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Speaker 12: the price point of traditional manned platforms. You can operate

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Speaker 12: them continuously in these dangerous environments while keeping sailors out

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Speaker 12: of harm's way. That really give naval commanders optionality to

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Speaker 12: combat some of these threats that they're seeing that aren't

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Speaker 12: countered very easily with manned platforms alone.

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Speaker 2: What is you know?

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Speaker 3: You know, we hear so much about the defense industrial

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Speaker 3: base and how we're not building enough here, We're not

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Speaker 3: building fast enough here or efficiently enough. What is the

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Speaker 3: main bottleneck to producing at scale for you?

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Speaker 12: For us, we really rethink the problem from the ground up.

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Speaker 12: It's really how do you redesign the ship so that

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Speaker 12: it's designed for manufacturability. We've taken a vertically integrated approach

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Speaker 12: so that we can ensure that we get to this

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Speaker 12: scale that this country needs. And again that all starts

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Speaker 12: with the design. Once you have the design in place,

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Speaker 12: than the workforce, the training, everything else needed to build

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Speaker 12: out the capacity, and then the software and the autonomy

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Speaker 12: that's required to power these vessels at the scale that

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Speaker 12: we're building them out. This is true maritime autonomy. That

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Speaker 12: is vertically integrated and delivered as a cohesive capability to

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Speaker 12: the end user. That's what's required, that's what's needed. That's

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Speaker 12: what we're building at Seronic.

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Speaker 3: All right, Diano, great to get you on the program.

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Speaker 2: Thanks for joining us.

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Speaker 3: Dino Mavrucas, they're the CEO of Seronic. Coming up, we're

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Speaker 3: going to speak with will Ahmed, the CEO of Whoop

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Speaker 3: as its valuation hits more than ten billion dollars after

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Speaker 3: its latest funding round.

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Speaker 2: This is Bloomberg Tech. Welcome back to Bloomberg Tech.

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Speaker 3: I'm Matt Miller in for Caroline and Ed here in

438
00:23:04,560 --> 00:23:08,360
Speaker 3: New York City. The war in Iran is felt across Asia,

439
00:23:09,520 --> 00:23:13,320
Speaker 3: maybe even more so than here. Chip stocks there are

440
00:23:13,400 --> 00:23:17,160
Speaker 3: tumbling as investors pull back from the market's biggest winners

441
00:23:17,320 --> 00:23:20,679
Speaker 3: IMD geopolitical tensions. You can see sk Heinex and Samsung

442
00:23:21,280 --> 00:23:25,639
Speaker 3: down eight and six percent, respectively. Meanwhile, sand Disk here

443
00:23:25,640 --> 00:23:28,200
Speaker 3: in the US is up more than five percent in

444
00:23:28,359 --> 00:23:32,639
Speaker 3: today's cash session. Memory stocks have been especially volatile, of course,

445
00:23:33,440 --> 00:23:37,040
Speaker 3: as they are fueled by surging product prices and high demand,

446
00:23:37,680 --> 00:23:40,760
Speaker 3: but Asia is especially susceptible to the closure of the

447
00:23:40,760 --> 00:23:43,840
Speaker 3: Street of horror moves let's switch gears though and talk

448
00:23:43,880 --> 00:23:47,439
Speaker 3: about completely and talk about wearable health tech company Whoop.

449
00:23:47,600 --> 00:23:49,920
Speaker 3: It's announced it raised five hundred and seventy five million

450
00:23:50,000 --> 00:23:52,159
Speaker 3: dollars in a series G funding that values of the

451
00:23:52,160 --> 00:23:54,840
Speaker 3: company at more than ten billion in total. And here

452
00:23:54,880 --> 00:23:57,760
Speaker 3: to discuss the latest round is Will Ahmed, the CEO

453
00:23:58,320 --> 00:24:02,120
Speaker 3: of Whoop. Will great to have you so on. I'm

454
00:24:02,119 --> 00:24:04,440
Speaker 3: a longtime Whoop wearer. I'm on a three hundred ninety

455
00:24:04,480 --> 00:24:08,119
Speaker 3: day streak right now, and it's nice to see your

456
00:24:08,200 --> 00:24:10,919
Speaker 3: valuation up to more than ten billion. That's around the

457
00:24:10,960 --> 00:24:13,960
Speaker 3: same I noticed as Aura, And so I'm wondering what

458
00:24:14,000 --> 00:24:17,159
Speaker 3: you think about what must be your biggest competitor. I mean,

459
00:24:17,240 --> 00:24:22,200
Speaker 3: is there room in this space for two powerful companies

460
00:24:22,359 --> 00:24:25,200
Speaker 3: or is this, you know, a winner take all scenario.

461
00:24:25,520 --> 00:24:27,520
Speaker 13: Well, thanks for having me on, Matt, and thanks for

462
00:24:27,560 --> 00:24:30,720
Speaker 13: being a longtime Whoop member. I appreciate that. You know,

463
00:24:30,760 --> 00:24:33,280
Speaker 13: if I actually just look back over the last decade,

464
00:24:33,320 --> 00:24:35,240
Speaker 13: because I founded Whoop in twenty twelve, so I've been

465
00:24:35,240 --> 00:24:38,480
Speaker 13: building this company for fourteen years, There's been an enormous

466
00:24:38,560 --> 00:24:41,919
Speaker 13: number of players in the space over the years. In

467
00:24:41,960 --> 00:24:45,520
Speaker 13: the early days, you had, you know, big wearable or

468
00:24:45,560 --> 00:24:47,720
Speaker 13: big sports apparel brands. Excuse me, So you had the

469
00:24:47,800 --> 00:24:51,680
Speaker 13: Nike under Armor, Adidas, Puma Crowd. You then had entries

470
00:24:51,720 --> 00:24:55,480
Speaker 13: from the tech market, so you had Microsoft and Google

471
00:24:55,720 --> 00:25:00,080
Speaker 13: and Intel and Amazon Meta and so there's been a

472
00:25:00,080 --> 00:25:03,760
Speaker 13: lot of players, I would say broadly in the wearable space. Today,

473
00:25:03,800 --> 00:25:06,640
Speaker 13: there's actually maybe the fewest number of players that I've

474
00:25:06,680 --> 00:25:09,240
Speaker 13: seen in the last five years, and yet the wearables

475
00:25:09,280 --> 00:25:12,280
Speaker 13: market has grown enormously. You know, when I first started

476
00:25:12,280 --> 00:25:14,639
Speaker 13: the company, I think less than five million wearables were

477
00:25:14,680 --> 00:25:17,040
Speaker 13: sold a year. Now that figure is three hundred to

478
00:25:17,080 --> 00:25:20,200
Speaker 13: four hundred million devices a year and continues to grow.

479
00:25:20,480 --> 00:25:23,959
Speaker 13: So we're very excited about where the company's positioned, and

480
00:25:24,000 --> 00:25:26,199
Speaker 13: we think we're still in the early days despite the

481
00:25:26,240 --> 00:25:27,440
Speaker 13: maturity of the business.

482
00:25:27,640 --> 00:25:30,639
Speaker 3: So, you know, I'm obviously a customer, and so many

483
00:25:31,000 --> 00:25:33,200
Speaker 3: people here around me are customers?

484
00:25:33,440 --> 00:25:36,280
Speaker 2: Do they stay? Do we stay? Are you? Are you

485
00:25:36,359 --> 00:25:38,040
Speaker 2: retaining customers?

486
00:25:38,119 --> 00:25:40,439
Speaker 3: Those that have twelve month subscriptions, are they going to

487
00:25:40,480 --> 00:25:41,080
Speaker 3: twenty four?

488
00:25:41,200 --> 00:25:42,160
Speaker 2: Are they renewing?

489
00:25:42,600 --> 00:25:45,919
Speaker 13: Well, we recently actually launched three membership tiers. So it

490
00:25:46,040 --> 00:25:47,800
Speaker 13: used to be sign up for two hundred and forty

491
00:25:47,840 --> 00:25:49,760
Speaker 13: dollars a year. Now there's a lower plan and a

492
00:25:49,840 --> 00:25:52,240
Speaker 13: higher plan three hundred and sixty dollars a year for

493
00:25:52,280 --> 00:25:55,000
Speaker 13: Whoop Life, and we've actually seen an overwhelming number of

494
00:25:55,000 --> 00:25:57,800
Speaker 13: people migrate from our middle tier to our highest tier,

495
00:25:58,240 --> 00:26:00,639
Speaker 13: and that demonstrates I think that our members are willing

496
00:26:00,680 --> 00:26:05,840
Speaker 13: to pay for enhanced features, premium capabilities, an additional medical

497
00:26:05,920 --> 00:26:08,760
Speaker 13: sensing portfolio that we've rolled out, so now Woop has

498
00:26:09,040 --> 00:26:12,960
Speaker 13: ECG monitoring with aphib detection. We've come out with blood

499
00:26:12,960 --> 00:26:16,119
Speaker 13: pressure insights, which were the first wearable to do. We

500
00:26:16,240 --> 00:26:20,080
Speaker 13: recently launched Advanced Labs, which is blood testing. So overwhelming

501
00:26:20,119 --> 00:26:22,400
Speaker 13: we see our members wanting to invest more in their

502
00:26:22,400 --> 00:26:25,800
Speaker 13: health with Whoop, They're buying additional services, they're moving up

503
00:26:25,800 --> 00:26:28,679
Speaker 13: in their membership tier. And then in addition to that,

504
00:26:28,720 --> 00:26:30,960
Speaker 13: we have some of the best user engagement in all

505
00:26:31,000 --> 00:26:34,480
Speaker 13: of health. Our members are opening the Woop app eight

506
00:26:34,560 --> 00:26:38,320
Speaker 13: times a day, which is pretty extraordinary user engagement. We

507
00:26:38,359 --> 00:26:41,359
Speaker 13: have an eighty three percent down mau ratio, which I

508
00:26:41,400 --> 00:26:44,040
Speaker 13: believe is second only to WhatsApp in terms of how

509
00:26:44,080 --> 00:26:46,719
Speaker 13: often people are using and engaging with the product. So

510
00:26:47,160 --> 00:26:49,120
Speaker 13: it really speaks to I think the value that we've

511
00:26:49,160 --> 00:26:51,640
Speaker 13: been able to create and the fact that our members

512
00:26:51,680 --> 00:26:53,920
Speaker 13: are in fact improving their health.

513
00:26:54,480 --> 00:26:56,800
Speaker 3: I think about all this stuff that you can do,

514
00:26:56,840 --> 00:27:00,159
Speaker 3: and I see the labs myself as well, and the

515
00:27:00,160 --> 00:27:05,439
Speaker 3: blood pressure monitoring you can not predict, but you know

516
00:27:05,600 --> 00:27:08,919
Speaker 3: you can see whether you're in line for a stroker

517
00:27:08,920 --> 00:27:09,480
Speaker 3: a heart attack.

518
00:27:09,600 --> 00:27:11,320
Speaker 2: Is this a fitness company or is.

519
00:27:11,240 --> 00:27:14,040
Speaker 3: It like a clinical diagnostics tool.

520
00:27:14,440 --> 00:27:17,200
Speaker 13: Well, we want to build the most powerful personal health

521
00:27:17,240 --> 00:27:19,479
Speaker 13: platform in the world, and we see that as an

522
00:27:19,520 --> 00:27:23,800
Speaker 13: evolution from fitness and sports, which is our origins, to

523
00:27:23,920 --> 00:27:28,040
Speaker 13: now working very broadly across health and medical capabilities. You know,

524
00:27:28,080 --> 00:27:31,879
Speaker 13: two of our investors in this latest financing were Mayo

525
00:27:31,920 --> 00:27:34,680
Speaker 13: Clinic and Abbot. Mayo Clinic of course being one of

526
00:27:34,720 --> 00:27:38,120
Speaker 13: the best health institutions in the entire world, and we're

527
00:27:38,160 --> 00:27:40,040
Speaker 13: going to be announcing a lot of research with the

528
00:27:40,080 --> 00:27:42,600
Speaker 13: Mayo Clinic, an Abbot of course being one of the

529
00:27:42,640 --> 00:27:45,479
Speaker 13: best medical device makers in the world, and we're going

530
00:27:45,520 --> 00:27:47,439
Speaker 13: to be announcing more with them as well. And so

531
00:27:47,560 --> 00:27:51,720
Speaker 13: I think this overall financing really shows the past and

532
00:27:51,760 --> 00:27:55,000
Speaker 13: the history of WOOP with the athletes coming in Chris Hianno, Ronaldo,

533
00:27:55,200 --> 00:27:59,000
Speaker 13: Ory McElroy now Lebron James, as well as.

534
00:27:58,880 --> 00:27:59,919
Speaker 2: The future of Woop with me.

535
00:28:00,040 --> 00:28:02,080
Speaker 13: Any of these health strategics, you.

536
00:28:02,040 --> 00:28:04,120
Speaker 3: Need to get some squash players, You need to sponsor

537
00:28:04,160 --> 00:28:05,240
Speaker 3: some squash players here.

538
00:28:05,520 --> 00:28:08,399
Speaker 13: Well, we love squash. I've played squash my entire life.

539
00:28:08,480 --> 00:28:11,480
Speaker 13: Ali Farrag, former World number one, is a good friend

540
00:28:11,520 --> 00:28:14,120
Speaker 13: and a Whoop member, So we'll do more in squash.

541
00:28:14,240 --> 00:28:16,919
Speaker 3: You are cash flow positive, I mean you're making money,

542
00:28:18,040 --> 00:28:22,520
Speaker 3: So why raise this additional half a billion dollars plus now?

543
00:28:23,320 --> 00:28:25,200
Speaker 13: Well, we want to accelerate a lot of the work

544
00:28:25,200 --> 00:28:28,240
Speaker 13: that we're doing. We think the opportunity to own health

545
00:28:28,359 --> 00:28:32,320
Speaker 13: monitoring and integrate deeply into the healthcare system is now

546
00:28:32,359 --> 00:28:34,480
Speaker 13: just completely up for grabs and there's only a few

547
00:28:34,480 --> 00:28:37,240
Speaker 13: players in the market, and we really want to attack

548
00:28:37,280 --> 00:28:39,400
Speaker 13: the opportunity. So we're going to be leaning in on

549
00:28:39,480 --> 00:28:42,800
Speaker 13: research and development. We've announced that we're hiring six hundred

550
00:28:42,920 --> 00:28:46,320
Speaker 13: roles this year, really across every single function, so we're

551
00:28:46,320 --> 00:28:49,479
Speaker 13: actually growing our headcount eighty percent, which seems to be

552
00:28:49,560 --> 00:28:53,040
Speaker 13: a counter narrative move right now. And then we're also

553
00:28:53,120 --> 00:28:56,440
Speaker 13: growing internationally, so we've brought in some really great strategic

554
00:28:56,480 --> 00:29:00,200
Speaker 13: investors from around the world, sovereign wealth funds like QIA

555
00:29:00,240 --> 00:29:04,320
Speaker 13: and two point zero and Mubadala and others, and we're

556
00:29:04,360 --> 00:29:06,920
Speaker 13: gonna be investing heavily in growth around the world.

557
00:29:07,080 --> 00:29:09,600
Speaker 2: How can you put AI to work?

558
00:29:09,640 --> 00:29:11,320
Speaker 3: And I know you already have an AI assistant on

559
00:29:11,360 --> 00:29:14,280
Speaker 3: your platform obviously I'm on there many times a day,

560
00:29:14,960 --> 00:29:17,480
Speaker 3: But how much do you think it can be improved?

561
00:29:18,920 --> 00:29:22,480
Speaker 13: Well, I think ultimately Whoop will either make you healthier

562
00:29:22,600 --> 00:29:25,000
Speaker 13: or it will save your life. And those are really

563
00:29:25,040 --> 00:29:27,960
Speaker 13: the two areas of development for WHOOP, and as we

564
00:29:28,040 --> 00:29:31,720
Speaker 13: think about coaching and alerting, those are the two areas

565
00:29:31,760 --> 00:29:34,600
Speaker 13: that we're investing in. And so we do believe that AI,

566
00:29:34,840 --> 00:29:37,600
Speaker 13: sitting on top of all of this data is going

567
00:29:37,640 --> 00:29:39,680
Speaker 13: to be able to deliver value in those categories. I

568
00:29:39,680 --> 00:29:43,360
Speaker 13: think it's inevitable that a huge percentage of humanity will

569
00:29:43,360 --> 00:29:46,040
Speaker 13: be continuously wearing a health monitor and it's going to

570
00:29:46,120 --> 00:29:48,360
Speaker 13: make you healthier or it's going to save your life

571
00:29:48,360 --> 00:29:48,720
Speaker 13: one day.

572
00:29:48,840 --> 00:29:50,560
Speaker 2: Will you go public before that?

573
00:29:50,640 --> 00:29:52,400
Speaker 3: I mean, I think I read Series G right, We're

574
00:29:52,400 --> 00:29:54,760
Speaker 3: getting pretty far along in the alphabet.

575
00:29:54,840 --> 00:29:56,160
Speaker 2: When is the IPO plan.

576
00:29:56,080 --> 00:29:58,400
Speaker 13: For Well, we still see it on a horizon of

577
00:29:58,440 --> 00:30:01,880
Speaker 13: eighteen to twenty four months. You know, Fortunately, whoops operating

578
00:30:01,880 --> 00:30:04,840
Speaker 13: cash flow positive. We've just added five hundred and seventy

579
00:30:04,840 --> 00:30:07,080
Speaker 13: five million to our balance sheet. So we've got a

580
00:30:07,160 --> 00:30:09,760
Speaker 13: very strong balance sheet and it allows us to be

581
00:30:10,200 --> 00:30:13,960
Speaker 13: I think, really thoughtful and control our destiny and roots. IPO.

582
00:30:14,240 --> 00:30:16,120
Speaker 3: All right, Will great having you on set. Thanks so

583
00:30:16,200 --> 00:30:18,360
Speaker 3: much for joining us. Will I'm out there the CEO

584
00:30:18,840 --> 00:30:22,680
Speaker 3: of Whoop coming up. NASA gets ready to send astronauts

585
00:30:22,840 --> 00:30:27,760
Speaker 3: around to the Moon to eventually prepare for a trip

586
00:30:27,800 --> 00:30:30,960
Speaker 3: to that big Rock. Will discuss the milestone for the

587
00:30:30,960 --> 00:30:47,800
Speaker 3: space agency. Next, this is Bloomberg Tech. NASA is sending

588
00:30:47,840 --> 00:30:51,200
Speaker 3: astronauts on a journey around the Moon for the first

589
00:30:51,200 --> 00:30:54,480
Speaker 3: time in over fifty years. The lunar mission will test

590
00:30:54,520 --> 00:30:58,240
Speaker 3: the Artemis two spacecraft, paving the way for an actual

591
00:30:58,320 --> 00:31:04,240
Speaker 3: lunar landing in twenty eight. Bloomberg Originals takes a look.

592
00:31:04,880 --> 00:31:08,440
Speaker 3: I think our generation appreciates having a program that now

593
00:31:08,480 --> 00:31:10,640
Speaker 3: we get a chance to take our own moonshots, what

594
00:31:10,760 --> 00:31:12,760
Speaker 3: we call great things that humans accomplish.

595
00:31:13,200 --> 00:31:17,760
Speaker 14: NASA's Artemis program is the space agency's ambitious mission to

596
00:31:17,840 --> 00:31:19,920
Speaker 14: send humans back to the Moon for the first time

597
00:31:19,960 --> 00:31:22,560
Speaker 14: in more than half a century. The last time NASA

598
00:31:22,600 --> 00:31:24,760
Speaker 14: sent humans to the Moon, they were locked in a

599
00:31:24,800 --> 00:31:28,360
Speaker 14: space race with the Soviet Union. This time, NASA wants

600
00:31:28,400 --> 00:31:30,360
Speaker 14: to go back to the Moon to stay in order

601
00:31:30,400 --> 00:31:33,200
Speaker 14: to learn how to live sustainably off of the lunar surface.

602
00:31:34,000 --> 00:31:35,240
Speaker 2: Four stage agents start.

603
00:31:35,400 --> 00:31:38,480
Speaker 14: Prior to Artemis two, NASA launched the very first major

604
00:31:38,560 --> 00:31:41,600
Speaker 14: mission in the Artemis program, called Artemis one, which sent

605
00:31:41,800 --> 00:31:45,320
Speaker 14: the Orian Krue Capsule around the Moon to demonstrate that

606
00:31:45,360 --> 00:31:47,960
Speaker 14: they could work without a crew on board. Now it's

607
00:31:48,000 --> 00:31:50,000
Speaker 14: time to show that they can actually keep a crew

608
00:31:50,000 --> 00:31:51,840
Speaker 14: alive while traveling to deep space.

609
00:31:52,520 --> 00:31:54,280
Speaker 15: Our goal is get to the Moon and get back

610
00:31:54,360 --> 00:31:56,720
Speaker 15: four days out, four days back. We are going to

611
00:31:56,720 --> 00:31:58,440
Speaker 15: do as much science as we can on the way,

612
00:31:58,520 --> 00:31:59,880
Speaker 15: and on the far side of the Moon, we're going

613
00:31:59,920 --> 00:32:02,320
Speaker 15: to maybe forty five minutes where we're in a loss

614
00:32:02,360 --> 00:32:04,720
Speaker 15: of calm with Earth, and all we can do is

615
00:32:04,800 --> 00:32:06,680
Speaker 15: just train our eyes on that Moon's surface.

616
00:32:08,880 --> 00:32:12,720
Speaker 14: The entire Artemist program has come under significant criticism for

617
00:32:12,960 --> 00:32:15,480
Speaker 14: how much time it's taking to build and how much

618
00:32:15,560 --> 00:32:19,440
Speaker 14: money it's costing the taxpayer. There is an estimate that

619
00:32:19,560 --> 00:32:23,400
Speaker 14: between twenty twelve and twenty twenty five, the Artemis program

620
00:32:23,480 --> 00:32:28,760
Speaker 14: has cost roughly ninety three billion dollars. Despite the criticism,

621
00:32:28,920 --> 00:32:32,560
Speaker 14: it does benefit from strong congressional support. Many of the

622
00:32:32,600 --> 00:32:36,040
Speaker 14: programs that are needed for Artemis are spread across the

623
00:32:36,160 --> 00:32:40,760
Speaker 14: entire United States and provide a lot of jobs for constituents.

624
00:32:41,800 --> 00:32:44,960
Speaker 14: While the Artemist two mission is coming up, Artemis three,

625
00:32:45,160 --> 00:32:48,080
Speaker 14: Artemis four, Artemis five are all a bit of open

626
00:32:48,160 --> 00:32:52,080
Speaker 14: question marks at the moment. There's development that needs to

627
00:32:52,120 --> 00:32:55,400
Speaker 14: happen for hardware, notably with the landers that will actually

628
00:32:55,440 --> 00:32:57,440
Speaker 14: take the humans to the surface.

629
00:32:57,120 --> 00:32:57,600
Speaker 7: Of the Moon.

630
00:32:58,760 --> 00:33:01,840
Speaker 14: NASA is pulling out all stops with its contractors to

631
00:33:02,040 --> 00:33:06,120
Speaker 14: ensure that a landing occurs no later than twenty twenty eight,

632
00:33:06,400 --> 00:33:08,760
Speaker 14: but it remains to be seen if that date will

633
00:33:08,800 --> 00:33:09,800
Speaker 14: actually be possible.

634
00:33:11,080 --> 00:33:13,880
Speaker 3: You can watch the full episode online or on the

635
00:33:13,920 --> 00:33:18,200
Speaker 3: Bloomberg terminal. And whenever I'm wondering about space, I just

636
00:33:18,240 --> 00:33:21,600
Speaker 3: watched this show because Ed Ludlow and Lauren Grush know

637
00:33:21,680 --> 00:33:24,520
Speaker 3: more about going to space and anybody else. Let's talk

638
00:33:24,600 --> 00:33:27,240
Speaker 3: right now, though, about what to expect from this historic

639
00:33:27,360 --> 00:33:31,960
Speaker 3: mission tomorrow, what it means for America's broader space ambitions.

640
00:33:31,960 --> 00:33:34,560
Speaker 2: For that, we're joined by esne Uzo Koro.

641
00:33:34,720 --> 00:33:37,480
Speaker 3: She is a senior fellow at the Harvard Belfer Center,

642
00:33:37,520 --> 00:33:40,800
Speaker 3: but also a former NASA executive and a former Assistant

643
00:33:40,800 --> 00:33:43,760
Speaker 3: Director for Space Policy at the White House under the

644
00:33:43,760 --> 00:33:46,840
Speaker 3: Biden administration. And isay, thanks so much for joining us.

645
00:33:47,400 --> 00:33:51,720
Speaker 3: Why do we have to go up there and fly around?

646
00:33:51,760 --> 00:33:54,200
Speaker 3: I mean, we've already been to the Moon, we've already

647
00:33:54,240 --> 00:33:57,320
Speaker 3: landed on it. Can't we just send another ship up

648
00:33:57,320 --> 00:33:59,400
Speaker 3: there and go back.

649
00:34:01,120 --> 00:34:03,360
Speaker 6: Well, we're a bit rusty when it's been fifty years

650
00:34:03,400 --> 00:34:06,600
Speaker 6: since you've done something. You need to validate some tests

651
00:34:06,680 --> 00:34:10,279
Speaker 6: and test some life support systems, and test some propulsion

652
00:34:10,360 --> 00:34:15,200
Speaker 6: and communications and navigations systems before you land again. So

653
00:34:15,239 --> 00:34:16,840
Speaker 6: that's what the screw will.

654
00:34:16,640 --> 00:34:19,759
Speaker 2: Do half a century on. I mean, you know, when

655
00:34:19,800 --> 00:34:20,600
Speaker 2: we first.

656
00:34:20,280 --> 00:34:23,360
Speaker 3: Did this computer that could do as much as my

657
00:34:23,480 --> 00:34:27,000
Speaker 3: iPhone wouldn't even fit in this studio. I mean, we've

658
00:34:27,040 --> 00:34:31,759
Speaker 3: had such incredible technological advances that it seems to me

659
00:34:31,800 --> 00:34:34,360
Speaker 3: it should be a lot easier this time. But I'm

660
00:34:34,400 --> 00:34:36,000
Speaker 3: getting the sense that that's not the case.

661
00:34:37,800 --> 00:34:38,319
Speaker 2: That's right.

662
00:34:38,440 --> 00:34:41,520
Speaker 6: This is a four billion dollar proof of concept as

663
00:34:41,600 --> 00:34:45,520
Speaker 6: part of a larger mission that doesn't have a fiscal

664
00:34:46,000 --> 00:34:49,120
Speaker 6: architecture that we've seen before. This is the first time

665
00:34:49,160 --> 00:34:54,560
Speaker 6: the Congress will have to sustain a multi administration program

666
00:34:54,880 --> 00:34:59,040
Speaker 6: at this scale for this long it just happens to

667
00:34:59,040 --> 00:35:04,000
Speaker 6: be complicated with with multiple vendors and with the technologies

668
00:35:04,040 --> 00:35:06,800
Speaker 6: that NASA wants to study. As we get more advanced

669
00:35:06,800 --> 00:35:11,280
Speaker 6: technologies and the missions become more complex, there are obviously

670
00:35:11,360 --> 00:35:15,920
Speaker 6: a lot of other cultural and systemic issues that come

671
00:35:16,000 --> 00:35:19,920
Speaker 6: up with the vision. NASA's vision just changed last week.

672
00:35:20,480 --> 00:35:23,440
Speaker 6: Rather than putting up a gateway, which is a bit

673
00:35:23,520 --> 00:35:26,360
Speaker 6: like a space station around the Moon, they will be

674
00:35:26,680 --> 00:35:30,160
Speaker 6: landing on the Moon with multiple robotic missions in a

675
00:35:30,239 --> 00:35:37,240
Speaker 6: lunar base soon. So with changing priorities, that also aids

676
00:35:37,960 --> 00:35:39,200
Speaker 6: add to the complexity.

677
00:35:39,680 --> 00:35:41,919
Speaker 3: I have say, four billion dollars sounds like a drop

678
00:35:41,960 --> 00:35:44,239
Speaker 3: in the bucket from a government that spends like one

679
00:35:44,320 --> 00:35:47,480
Speaker 3: hundred and seventy billion dollars to fund ICE, But I

680
00:35:47,480 --> 00:35:49,040
Speaker 3: guess it depends what your priorities are.

681
00:35:49,080 --> 00:35:50,600
Speaker 2: What do we get in return for that.

682
00:35:50,640 --> 00:35:53,960
Speaker 3: Money, asn't they's what's the benefit coming out of this program?

683
00:35:55,800 --> 00:35:58,560
Speaker 6: There are plethora of experiments I do want to highlight

684
00:35:58,640 --> 00:36:02,600
Speaker 6: one for your audio. There is an avatar organ on

685
00:36:02,640 --> 00:36:07,560
Speaker 6: a chip investigation aboard Artemis two and what it will

686
00:36:07,600 --> 00:36:12,360
Speaker 6: do is it will measure human response to deep space radiation.

687
00:36:13,080 --> 00:36:17,920
Speaker 6: And this is a commercial windfall for the pharmaceutical modeling sector,

688
00:36:18,520 --> 00:36:21,800
Speaker 6: for biotech R and D sector, and for the space

689
00:36:21,840 --> 00:36:25,959
Speaker 6: bioeconomy at large. And you can conduct this restarch about

690
00:36:26,000 --> 00:36:28,080
Speaker 6: having to land on the Moon. So that's one of

691
00:36:28,200 --> 00:36:33,040
Speaker 6: several experiments that the astronauts will conduct, and we will

692
00:36:33,080 --> 00:36:36,520
Speaker 6: see a number of games and a number of sectors,

693
00:36:36,760 --> 00:36:41,359
Speaker 6: including the space sector. You will have a SpaceX and

694
00:36:43,120 --> 00:36:48,080
Speaker 6: Blue Origin also that are preparing to support the Artemis programs.

695
00:36:48,120 --> 00:36:51,520
Speaker 6: So there are number of large stakes here.

696
00:36:52,239 --> 00:36:56,160
Speaker 3: We're also not above a little healthy competition. Last time

697
00:36:56,200 --> 00:36:59,960
Speaker 3: it was the US versus the Soviets. Now the Chinese

698
00:37:00,160 --> 00:37:02,600
Speaker 3: are looking to get to the Moon by the end

699
00:37:02,960 --> 00:37:08,239
Speaker 3: of this decade. How important is that competition? Do we

700
00:37:08,320 --> 00:37:11,000
Speaker 3: also work together and who wins?

701
00:37:13,280 --> 00:37:17,400
Speaker 6: You know, generationally, there seems to be a seismic shift

702
00:37:17,600 --> 00:37:19,480
Speaker 6: in space races.

703
00:37:19,920 --> 00:37:20,319
Speaker 2: You're right.

704
00:37:20,360 --> 00:37:24,440
Speaker 6: Fifty years ago it was about racing to the moon

705
00:37:24,680 --> 00:37:28,160
Speaker 6: and who had better technology. But today with over fifty

706
00:37:28,280 --> 00:37:31,040
Speaker 6: nations that are signatory so the Artemis Accords, what we're

707
00:37:31,080 --> 00:37:35,400
Speaker 6: seeing is that countries want to go together. And the

708
00:37:35,480 --> 00:37:39,040
Speaker 6: question today is and whether America leads China to the moon,

709
00:37:39,080 --> 00:37:42,040
Speaker 6: but whether that alliance really holds up. We have a

710
00:37:42,080 --> 00:37:47,000
Speaker 6: comedian astronaut, Journey Hanson, who's joining three US astronauts on

711
00:37:47,000 --> 00:37:49,880
Speaker 6: this journey, and that's the first for us. And so

712
00:37:50,080 --> 00:37:53,600
Speaker 6: that alliance is proving to be strong and we look

713
00:37:53,680 --> 00:37:56,880
Speaker 6: forward to strong corporation as we go together. Given the

714
00:37:57,000 --> 00:37:59,560
Speaker 6: geostrategic environment for facing today.

715
00:38:00,040 --> 00:38:02,919
Speaker 3: Has a great to get some intel from you. Hope

716
00:38:02,920 --> 00:38:04,359
Speaker 3: we can get you in the studio here next time

717
00:38:04,400 --> 00:38:06,600
Speaker 3: you're in New York as an a uzzo acoro there

718
00:38:06,600 --> 00:38:09,759
Speaker 3: from the Harvard Belfer Center talking to us about the

719
00:38:09,880 --> 00:38:12,520
Speaker 3: Artemis mission. We'll be following that for you every second

720
00:38:12,520 --> 00:38:14,960
Speaker 3: of it tomorrow. Don't miss it right here on Bloomberg

721
00:38:15,040 --> 00:38:18,160
Speaker 3: TV and on your Bloomberg terminal as well. Sticking with space,

722
00:38:18,239 --> 00:38:21,640
Speaker 3: I'm also watching shares of rocket Lab. You can see

723
00:38:21,760 --> 00:38:23,880
Speaker 3: they're up right now about three and a half percent.

724
00:38:24,000 --> 00:38:28,160
Speaker 3: After yesterday rocket Lab got the okay on an acquisition.

725
00:38:28,360 --> 00:38:32,760
Speaker 3: So investors are still looking at these highly volatile stocks

726
00:38:32,800 --> 00:38:35,960
Speaker 3: as an interesting opportunity, at least on updays like today.

727
00:38:36,040 --> 00:38:36,400
Speaker 2: Coming up.

728
00:38:36,440 --> 00:38:40,719
Speaker 3: Electric bike startup also is reached a one billion dollar valuation.

729
00:38:40,760 --> 00:38:42,680
Speaker 3: We'll talk to the co founder and president about the

730
00:38:42,719 --> 00:38:48,640
Speaker 3: latest fundraise and a new partnership with door Dash to

731
00:38:49,000 --> 00:38:51,160
Speaker 3: execute the last mile of delivery.

732
00:38:51,160 --> 00:38:52,120
Speaker 2: This is Bloomberg Tech.

733
00:39:04,840 --> 00:39:08,560
Speaker 3: Also is an electric bike and mobility startup that was

734
00:39:08,600 --> 00:39:11,480
Speaker 3: spun out of the carmaker Rivian. It's now reached a

735
00:39:11,560 --> 00:39:14,920
Speaker 3: one billion dollar valuation. In his latest funding around, the

736
00:39:14,920 --> 00:39:17,719
Speaker 3: company raised two hundred million dollars and announced a strategic

737
00:39:17,760 --> 00:39:22,360
Speaker 3: partnership with the delivery firm door Dash, which is investing.

738
00:39:22,400 --> 00:39:25,319
Speaker 3: Also as president and co founder, Chris you joins us

739
00:39:25,360 --> 00:39:27,640
Speaker 3: now and Chris you know, we were showing video of

740
00:39:29,440 --> 00:39:32,319
Speaker 3: some dude ripping up the trails on an electric bike,

741
00:39:32,360 --> 00:39:34,879
Speaker 3: which is I'm sure possible on your product. But I'm

742
00:39:34,920 --> 00:39:38,200
Speaker 3: getting from the door Dash connection that your business case

743
00:39:38,320 --> 00:39:40,280
Speaker 3: is more about last mile delivery?

744
00:39:40,320 --> 00:39:43,279
Speaker 2: Is that the case? It's it's quite broad. Yeah.

745
00:39:43,320 --> 00:39:46,560
Speaker 15: So we were incubated within Rivian for a couple of years,

746
00:39:46,600 --> 00:39:49,160
Speaker 15: and just a year ago we spun out as Also

747
00:39:49,960 --> 00:39:53,040
Speaker 15: an entire thesis that Argiana had in building also is

748
00:39:53,920 --> 00:39:57,560
Speaker 15: around building the world's first vertically integrated and software defined

749
00:39:57,560 --> 00:40:01,200
Speaker 15: EV platform that's optimized for small four factors and that

750
00:40:01,280 --> 00:40:04,880
Speaker 15: goes for consumer use cases like the fun experience on

751
00:40:05,200 --> 00:40:07,640
Speaker 15: our e Bi TMB, which we launch in October as

752
00:40:07,640 --> 00:40:10,759
Speaker 15: well as importantly for commercial use cases, because we see

753
00:40:10,760 --> 00:40:13,360
Speaker 15: that you know, if you look globally, the vast majority

754
00:40:13,400 --> 00:40:15,560
Speaker 15: of trips that happen for the movement of people and

755
00:40:15,640 --> 00:40:20,400
Speaker 15: goods happen in really dense suburban and urban areas where

756
00:40:20,920 --> 00:40:25,200
Speaker 15: cost per mile and time for deliveries is really important.

757
00:40:25,760 --> 00:40:28,479
Speaker 3: So I mean, first off, just on the bike, because

758
00:40:28,480 --> 00:40:29,360
Speaker 3: it looks so cool.

759
00:40:30,440 --> 00:40:33,000
Speaker 2: Do you have a clutch in the hub? I mean,

760
00:40:34,080 --> 00:40:35,879
Speaker 2: how does that work? And how much does it cost?

761
00:40:37,120 --> 00:40:37,319
Speaker 6: Yeah?

762
00:40:37,320 --> 00:40:41,560
Speaker 15: Our bike has a really fun and novel architecture behind it.

763
00:40:41,600 --> 00:40:44,000
Speaker 15: So we have our propulsion system that's in house. It's

764
00:40:44,040 --> 00:40:46,840
Speaker 15: called dream Ride and it's actually pedal by wire and

765
00:40:46,880 --> 00:40:49,480
Speaker 15: so when you're pedaling into it, you're pedaling into a

766
00:40:49,520 --> 00:40:53,560
Speaker 15: generator that gives a really incredible for S feedback that

767
00:40:53,600 --> 00:40:56,560
Speaker 15: simulates the feeling of a bike. But importantly, through software

768
00:40:56,640 --> 00:41:01,600
Speaker 15: allows for really an infinite set of different experiences, and

769
00:41:01,640 --> 00:41:05,880
Speaker 15: so that architecture is really under what underpins are vertically

770
00:41:05,920 --> 00:41:08,879
Speaker 15: integrated small EV platform that is now going into these

771
00:41:08,920 --> 00:41:09,960
Speaker 15: other form factors.

772
00:41:10,239 --> 00:41:12,840
Speaker 2: So what's the ballpark price for the end consumer?

773
00:41:13,600 --> 00:41:16,399
Speaker 15: Yeah, so TMB starts at thirty five hundred dollars and

774
00:41:16,719 --> 00:41:18,959
Speaker 15: you can outfit it from there. So it's a really

775
00:41:19,000 --> 00:41:21,200
Speaker 15: really highly capable product at that price point.

776
00:41:21,440 --> 00:41:24,600
Speaker 3: And I guess I'm guessing door dash will use these

777
00:41:24,640 --> 00:41:27,800
Speaker 3: as part of your partnership or you'll supply them. Is

778
00:41:27,840 --> 00:41:31,680
Speaker 3: this a pilot program or is it a more meaningful

779
00:41:31,760 --> 00:41:33,360
Speaker 3: path to deploy at scale?

780
00:41:34,200 --> 00:41:37,360
Speaker 15: Yeah, I find back up for a second. We constructed

781
00:41:37,440 --> 00:41:39,640
Speaker 15: also really we think of our first phase of our

782
00:41:39,640 --> 00:41:44,960
Speaker 15: business to address this massive wave of electrification of the

783
00:41:45,160 --> 00:41:47,600
Speaker 15: existing small form factors. So, if you look at how

784
00:41:47,640 --> 00:41:50,439
Speaker 15: trips happen today globally, the vast majority happened in things

785
00:41:50,440 --> 00:41:52,520
Speaker 15: that are smaller than a car, and very few of

786
00:41:52,520 --> 00:41:55,279
Speaker 15: those things are electric today. And so phase one of

787
00:41:55,280 --> 00:41:59,160
Speaker 15: the also is building a purpose built EV platform to

788
00:41:59,239 --> 00:42:02,640
Speaker 15: accelerate the letchification of these modes. Now, as the world

789
00:42:02,640 --> 00:42:07,280
Speaker 15: becomes increasingly autonomous, we believe the factors that drive towards

790
00:42:07,280 --> 00:42:10,960
Speaker 15: small form factors meaning congestion and cost per mile still

791
00:42:11,000 --> 00:42:13,480
Speaker 15: exist and so one of the key things about our

792
00:42:13,520 --> 00:42:17,279
Speaker 15: partnership with DoorDash that we're really really excited about is

793
00:42:17,320 --> 00:42:22,560
Speaker 15: to deploy autonomous delivery at scale utilizing these much much

794
00:42:22,600 --> 00:42:24,719
Speaker 15: more optimized smaller form factors.

795
00:42:24,840 --> 00:42:25,279
Speaker 2: I see.

796
00:42:25,560 --> 00:42:29,720
Speaker 3: So it's beyond the door dash ideas beyond electric bikes

797
00:42:29,719 --> 00:42:34,640
Speaker 3: that human pedals and more about autonomous delivery, what using

798
00:42:34,680 --> 00:42:36,160
Speaker 3: bike lanes and urban settings.

799
00:42:36,960 --> 00:42:40,520
Speaker 15: Yeah, correct, If you look at our e bike architecture

800
00:42:40,600 --> 00:42:43,760
Speaker 15: or our pedal quad architecture, these are highly capable evs

801
00:42:43,840 --> 00:42:47,720
Speaker 15: that have really car like capabilities in some sense, meaning

802
00:42:47,719 --> 00:42:52,080
Speaker 15: car like speeds, payloads, range, and if you look at

803
00:42:52,160 --> 00:42:57,080
Speaker 15: how deliveries happen, happening in relatively dense suburban urban areas,

804
00:42:58,120 --> 00:43:01,839
Speaker 15: increasingly congestion and the total cost of operation of these

805
00:43:01,920 --> 00:43:05,600
Speaker 15: vehicles is quite critical and quite important, and so we

806
00:43:05,680 --> 00:43:10,080
Speaker 15: believe it in working with DoorDash that the optimal answer

807
00:43:10,320 --> 00:43:13,600
Speaker 15: often our vehicles that can traverse the intersection of roadways

808
00:43:13,640 --> 00:43:17,319
Speaker 15: and road adjacent spaces like bike lanes, shoulders and curbsides.

809
00:43:17,719 --> 00:43:20,040
Speaker 3: All right, Chris, we'll be following along with interest. Thanks

810
00:43:20,080 --> 00:43:22,160
Speaker 3: so much for joining us. Chris, you there is the

811
00:43:22,200 --> 00:43:26,000
Speaker 3: president of also after raising funding at a billion dollar

812
00:43:26,080 --> 00:43:29,200
Speaker 3: valuation and doing a deal with door Dash as well.

813
00:43:29,200 --> 00:43:32,759
Speaker 3: That does it for this edition of Bloomberg Tech. Don't

814
00:43:32,800 --> 00:43:35,440
Speaker 3: forget to check out our podcast. You can find that

815
00:43:35,520 --> 00:43:39,480
Speaker 3: on the Bloomberg terminal as well as online on Apple, Spotify,

816
00:43:39,960 --> 00:43:44,360
Speaker 3: and iHeart. We're looking at a pretty major rally underway today,

817
00:43:44,560 --> 00:43:48,759
Speaker 3: especially for the tech stocks, with the Nasdaq gaining one

818
00:43:48,760 --> 00:43:51,600
Speaker 3: and a half percent right now at twenty three two

819
00:43:51,680 --> 00:43:54,799
Speaker 3: hundred and ninety six, the mag seven coming back from

820
00:43:55,000 --> 00:43:56,719
Speaker 3: what has been a loss so far this year in

821
00:43:56,760 --> 00:43:59,320
Speaker 3: the Socks Index up two and a half percent as well.

822
00:43:59,719 --> 00:44:01,320
Speaker 2: This is Bloomberg

823
00:44:07,160 --> 00:44:07,200
Speaker 3: M