WEBVTT - Instant Reaction: Alphabet Beats Sales Estimates

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news. The headlines third quarter

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<v Speaker 1>revenue x tax seventy point fifty five billion. That's a beat.

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<v Speaker 1>Seventy two point eighty eight was the estimate. Third quarter

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<v Speaker 1>Google Cloud revenue also beat over eleven billion dollars. The

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<v Speaker 1>street estimate was about ten point eight ten.

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<v Speaker 2>All right, let's I think we should bring in Man Deep.

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<v Speaker 1>So I think we should definitely bring He's.

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<v Speaker 2>Been watching these numbers very closely. He joins us here

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<v Speaker 2>in the Bloomberg Interactive Brokers studio. A beat pretty much

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<v Speaker 2>across the board, Man Deep, you cover this company and

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<v Speaker 2>many others. We're going to get to some of the

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<v Speaker 2>others in just a second. For Bloomberg Intelligence. What's really

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<v Speaker 2>sticks out to you?

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<v Speaker 3>I mean, the Google Cloud beat is quite impressive because

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<v Speaker 3>the thirty five percent growth rate is a nice acceleration.

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<v Speaker 3>I mean, we are talking about thirty percent being the bogie.

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<v Speaker 3>They really hit it out of the park when it

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<v Speaker 3>comes to the Google Cloud.

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<v Speaker 2>So what does that tell you about their client.

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<v Speaker 3>That the clients are deploying their AI workloads on Google Cloud. Remember,

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<v Speaker 3>Google Cloud is the third when it comes to the

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<v Speaker 3>cloud ranking.

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<v Speaker 2>You've got Aws, Azure.

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<v Speaker 3>Azure and Google Cloud has an und rate of forty

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<v Speaker 3>four billion. Now with this print, Azure is about eighty

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<v Speaker 3>billion and AWS is one hundred and five billion. So

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<v Speaker 3>I think what you will see is Google Cloud growing

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<v Speaker 3>much faster than the other two. Most likely Microsoft will

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<v Speaker 3>be around thirty percent. AWS is more twenty percent. So

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<v Speaker 3>clearly that thirty five percent growth rate is very impressive,

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<v Speaker 3>and the cloud profitability actually was much better than expected,

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<v Speaker 3>which is why you see the operating margin bead here.

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<v Speaker 1>How low was the bar going into this report for Alphabet.

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<v Speaker 3>It was I think low in the sense that the

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<v Speaker 3>overall top line road of thirteen percent was quite low,

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<v Speaker 3>and they beat on. You know, the certain numbers were

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<v Speaker 3>in line. The YouTube ad numbers were in line. The

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<v Speaker 3>YouTube subscriptions continues to be the standout. They keep delivering

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<v Speaker 3>quarter after quarter, and now YouTube plus cloud is one

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<v Speaker 3>hundred billion dollar rundread business. They guide it to that

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<v Speaker 3>and they are showing it in the in the sprint.

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<v Speaker 2>And YouTube alone is a fifty billion dollar business over

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<v Speaker 2>the last four quarters, according to the release from the company.

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<v Speaker 3>I would say if you add the subscriptions, yeah, to

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<v Speaker 3>the ads, it's closer to sixty simply because they bundle

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<v Speaker 3>YouTube subscriptions in the other segment and they've got some

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<v Speaker 3>other revenue in there as well. So that's why that

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<v Speaker 3>subscription number continues to be very impressive, the YouTube premium

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<v Speaker 3>and the YouTube TV. Yeah, and most likely it is

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<v Speaker 3>margin increased.

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<v Speaker 2>A quick reminder, Google bought YouTube back in two thousand

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<v Speaker 2>and six for one point sixty five billion dollars.

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<v Speaker 1>Which is pretty amazing. Listen, we watch a lot of YouTube,

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<v Speaker 1>two different programs.

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<v Speaker 2>We're on YouTube right now.

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<v Speaker 1>We are on YouTube.

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<v Speaker 2>You want everybody she's not watching you tube.

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<v Speaker 1>I'm not watching it. You know, it's interesting. We did

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<v Speaker 1>some reporting kicked off our broadcast couple of hours ago

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<v Speaker 1>about the overhang, the anti trust action scrutiny over where

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<v Speaker 1>their alphabet's dominant market share and Internet search is at

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<v Speaker 1>a risk as other players in AI come in. How

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<v Speaker 1>do you kind of factor those overhanging elements in.

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<v Speaker 3>Yeah, Look, there is no doubt if you're a regulator

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<v Speaker 3>right now and looking at the search market, there's more

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<v Speaker 3>competition this chat GPT, there are other large anguage players

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<v Speaker 3>and Tropic even Meta is talking about getting into search.

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<v Speaker 3>So there is definitely perplexity being another one there is

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<v Speaker 3>more competition for sure. Now, the thing that's impressed me

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<v Speaker 3>this quarter was they continue to execute on search. So

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<v Speaker 3>even though the search volumes are going down, they still

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<v Speaker 3>had an inline forty nine point one.

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<v Speaker 1>Is very amazing.

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<v Speaker 2>Why are search volumes going down?

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<v Speaker 3>Because if chat GPT is taking some of your traffic

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<v Speaker 3>for informational queries, that Google search volume, I would say,

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<v Speaker 3>is going down. But the ROI on their ad spend

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<v Speaker 3>is so high that they can make it up on

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<v Speaker 3>the ad pricing site. So even involves are going down,

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<v Speaker 3>ad pricing continues to be stronger.

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<v Speaker 1>Why because they're the dominant player.

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<v Speaker 3>They are the dominant player, and they have the best

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<v Speaker 3>kind of mode when it comes to the ads stack

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<v Speaker 3>around keyword searches. There's no better a platform for you know,

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<v Speaker 3>navigational searches or transactional searches. If you're an e commerce player,

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<v Speaker 3>you have to advertise YouTube. There's no way out of it.

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<v Speaker 1>So what's the question that you would want to know

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<v Speaker 1>from them on the earnings call? I mean, the stacks

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<v Speaker 1>know up four point two percent in the aftermarket, so

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<v Speaker 1>the momentum just building.

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<v Speaker 3>They give you so little in terms of guidance that

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<v Speaker 3>I almost want to, you know, plead the management to

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<v Speaker 3>give us more details around their CAPEX plans like every

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<v Speaker 3>other company gives us so much more.

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<v Speaker 1>Well, this is the thing that going into this week

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<v Speaker 1>right with all of these guys reporting, and what it

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<v Speaker 1>would tell us about the AI spend. What did you

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<v Speaker 1>what so far have you heard about or are you

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<v Speaker 1>feeling like you're going I mean.

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<v Speaker 3>If the cloud number was a blowout, which it looks

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<v Speaker 3>like in this print, then clearly you know the spend

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<v Speaker 3>on AI is translated into cloud revenue, and so to

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<v Speaker 3>my mind, I think that AI Kapex investment is showing

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<v Speaker 3>up in the cloud revenue. And that's why I want

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<v Speaker 3>to know the Capex guide. Are they overspending because at

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<v Speaker 3>this pace, you know, with the fifty billion dollar capex,

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<v Speaker 3>they're way lower than Microsoft at around eighty billion. So

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<v Speaker 3>that's why that Capex guide is very important.

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<v Speaker 2>Is it apples to apples when it comes to the

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<v Speaker 2>way these companies are investing. Can we can we really say, okay,

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<v Speaker 2>the Microsoft AI spend or Microsoft capex we can compare

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<v Speaker 2>it directly to Alphabet.

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<v Speaker 3>You can, and Alphabet has got a different set of

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<v Speaker 3>businesses along with AI and cloud. They've got weimo that's

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<v Speaker 3>a big investment. I mean that that's a big call

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<v Speaker 3>option on the company overall. That revenue line could be huge,

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<v Speaker 3>and they are investing on the Vemo side. But look,

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<v Speaker 3>when it comes to Capex, it's all about training of

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<v Speaker 3>large angwid models. Can you maintain the lead when it

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<v Speaker 3>comes to you know, Microsoft OpenAI partnership and where stacks

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<v Speaker 3>up against them?

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<v Speaker 2>Where are we in the race? You said can If

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<v Speaker 2>they can maintain the lead, it has me where are

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<v Speaker 2>we in the race?

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<v Speaker 3>I mean, some would argue the open ai model is

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<v Speaker 3>still better for some of the large angrid model.

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<v Speaker 2>Use and open Ai is using Microsoft Azer.

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<v Speaker 3>They are using Microsoft Azor. So from that perspective, Google

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<v Speaker 3>is playing catch up. But they have been releasing a

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<v Speaker 3>lot more products lately than they were before. And that's

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<v Speaker 3>where I think owning the chips. Remember Google has their

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<v Speaker 3>own chips when it comes to training these models. They're

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<v Speaker 3>not even reliant on Nvidia for a large portion of training.

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<v Speaker 3>They do that in house, and that could the reason

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<v Speaker 3>why their Capex spend could be much lower than Microsoft.

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<v Speaker 1>Can we ask you? We've got Reddit? While we've got you.

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<v Speaker 1>Reddit is surging in the aftermarket. It's up about seventeen percent.

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<v Speaker 1>Also out with their earnings, c's signal strong holiday quarter

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<v Speaker 1>to come fourth quarter revenue three hundred and eighty five

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<v Speaker 1>to four hundred million. The street estimate was three fifty

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<v Speaker 1>six point two. So the outlook is upbeat. What do

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<v Speaker 1>we need to know here?

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<v Speaker 3>I mean, this just ipeoed at the perfect time. And

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<v Speaker 3>look when it comes to Reddit, all that timing. They

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<v Speaker 3>are one of the beneficiaries of llms, you know, implementing search,

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<v Speaker 3>because where do you drive that traffic when you show

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<v Speaker 3>a result in an LLLM. A lot of that traffic

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<v Speaker 3>goes to Reddit. And that's why a lot of the

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<v Speaker 3>Google traffic is now going to Reddit, A lot of

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<v Speaker 3>the chat che.

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<v Speaker 1>I guess say, when I search in different things, like

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<v Speaker 1>a lot of things goes.

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<v Speaker 2>Back go back to it. I also like, I spend

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<v Speaker 2>more time on Reddit than any other single you know,

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<v Speaker 2>quote unquote social media site like it's and I was

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<v Speaker 2>such a late adopter.

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<v Speaker 3>To Yeah, yeah, right, I mean, think of what these

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<v Speaker 3>lllms are trained on. They're trained on. Reddit data is

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<v Speaker 3>one of the corpus that is common across all the lllms,

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<v Speaker 3>and that's why when you search for something, it takes

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<v Speaker 3>you back to one of the Reddit posts, which is.

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<v Speaker 1>Kind of what they said right when they were ipoing,

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<v Speaker 1>right that this was going to be what was so

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<v Speaker 1>valuable about it, And it's playing out that way.

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<v Speaker 3>It is they ipeoed at the perfect time. I mean,

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<v Speaker 3>that acceleration is just amazing.

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<v Speaker 1>Can we ask you about Snap too? Snap is up

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<v Speaker 1>about ten eleven percent here in the aftermarket, So another

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<v Speaker 1>one that's surging. Let's go to the.

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<v Speaker 2>Outlook, thirty six percent so far this year.

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<v Speaker 1>Yeah, okay, so perspective. Sorry about that. I was getting

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<v Speaker 1>a little exciting fourth quarter revenue one in one point

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<v Speaker 1>five to one point five to one to one point

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<v Speaker 1>five six billion. The estimate on the street is one

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<v Speaker 1>point five six billion, so it sounds like that's a

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<v Speaker 1>little bit of a range. So they projecting slower holiday

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<v Speaker 1>advertising sales. Why are they up well?

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<v Speaker 3>In the case of Snap, like Tim said, you know,

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<v Speaker 3>they are up twenty percent one quarter, then down twenty

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<v Speaker 3>and in this case, I think overall what you're seeing

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<v Speaker 3>is the lower interest rates now I mean we have obviously, Yeah,

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<v Speaker 3>it's it helps the add companies.

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<v Speaker 1>There are buying back I should say, up to half

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<v Speaker 1>a billion.

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<v Speaker 3>Yeah, I don't know what to make of it, because

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<v Speaker 3>for a company of Snap size, doing a buyback right

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<v Speaker 3>now is not the best use of their cash. But

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<v Speaker 3>maybe the investors like that.

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<v Speaker 2>What should they be doing with their cash?

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<v Speaker 3>They should be deploying generative AI. Every platform right now

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<v Speaker 3>should be looking to add more feess that helps you

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<v Speaker 3>know their engagement. And generative AI is what every social

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<v Speaker 3>media platform is doing. Look at Meta, They're using it

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<v Speaker 3>at scale.

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<v Speaker 1>What an interesting kind of drop of earnings and we're

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<v Speaker 1>focusing on a lot of these kind of I feel

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<v Speaker 1>like high tech interesting. Google Alphabet up still three point

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<v Speaker 1>four percent in the aftermarket. Does it tell you anything

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<v Speaker 1>potentially about what's to come from Meta? From Amazon, from Microsoft?

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<v Speaker 1>Is there anything that we can infer here or now?

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<v Speaker 3>Yeah? I think Meta. For Meta, the bar is slightly

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<v Speaker 3>higher twenty percent growth rates, so I think they will

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<v Speaker 3>beat and raised, but clearly the bar is higher. And

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<v Speaker 3>for Microsoft, the Cloud number will blow out. I mean,

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<v Speaker 3>if Google Cloud did so well, I wouldn't be surprised

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<v Speaker 3>if Microsoft's growth is around that thirty four to thirty

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<v Speaker 3>five percent as well.

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<v Speaker 2>All right, Reddit shares up seventeen and a half percent

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<v Speaker 2>right now, I know I know, I know. I mean,

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<v Speaker 2>look we're talking, you know, and hundreds of millions of dollars,

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<v Speaker 2>not billions of dollars. Here, last question, what dos What

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<v Speaker 2>does all of this mean? Man Deep? For what we

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<v Speaker 2>get tomorrow and Thursday when we hear Amazon and Apple?

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<v Speaker 3>I mean for Amazon and Apple, I think.

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<v Speaker 2>They're meta platforms too.

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<v Speaker 3>Yeah, Look, meta I think should do well. I mean,

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<v Speaker 3>ads continue to be strong, and they should probably beat

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<v Speaker 3>and raise and their large angrid model LAMA is a

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<v Speaker 3>big strategic advantage. So in the case of Apple or Amazon,

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<v Speaker 3>they're very different. I think with Amazon, the AWS business

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<v Speaker 3>is growing slower than Microsoft and Google, so that may

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<v Speaker 3>weigh on them. And for Apple it's about China. I mean,

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<v Speaker 3>if they can counter that China risk, I think they

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<v Speaker 3>are a well position.

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<v Speaker 1>All right, We're gonna leave it on that note, Man

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<v Speaker 1>Deep saying the best Bloomberg intelligence breaking down those alphabet earnings.

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<v Speaker 1>Do you want to mention too a couple of others

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<v Speaker 1>that have crossed. AMD is down more than five percent

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<v Speaker 1>here in the aftermarket. They're forecast falling short, suggesting a

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<v Speaker 1>slower pace of AI growth advanced micro devices, giving a

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<v Speaker 1>lackluster revenue forecast for the current period, so there is

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<v Speaker 1>some concerns that it's aises are growing more slowly than anticipated.

0:11:02.720 --> 0:11:04.640
<v Speaker 1>And then Chippotle also at with results.

0:11:04.960 --> 0:11:08.880
<v Speaker 2>All right, shares of Chipotle ticker CMG in the after

0:11:08.960 --> 0:11:11.360
<v Speaker 2>hours right now, I'm just waiting for the.

0:11:11.280 --> 0:11:14.880
<v Speaker 1>Turn down about seven percent liter the after market. Their

0:11:14.960 --> 0:11:18.000
<v Speaker 1>sales falling short of investor expectations as well.

0:11:18.320 --> 0:11:21.240
<v Speaker 2>Yeah, for sales, look at this. The measure of locations

0:11:21.240 --> 0:11:23.760
<v Speaker 2>open for at least thirteen months rose six percent, was

0:11:23.800 --> 0:11:26.480
<v Speaker 2>below the average analyst estimate of six point four percent.

0:11:27.520 --> 0:11:30.120
<v Speaker 2>The stocks advanced so far thirty two percent this year,

0:11:30.200 --> 0:11:32.320
<v Speaker 2>so it's done better than the S and P five hundred.

0:11:32.840 --> 0:11:35.280
<v Speaker 2>The company did maintain its full year view that same

0:11:35.320 --> 0:11:37.319
<v Speaker 2>store sales will rise in the mid to high single

0:11:37.360 --> 0:11:37.960
<v Speaker 2>digit range.

0:11:38.000 --> 0:11:40.360
<v Speaker 1>All right, let's go back to though alphabet obviously the

0:11:40.360 --> 0:11:42.320
<v Speaker 1>big one and the one that we've been really focusing

0:11:42.360 --> 0:11:45.360
<v Speaker 1>on again, up about four percent here in the after market.

0:11:45.400 --> 0:11:48.440
<v Speaker 1>Caroline Hyde is here with us in studio, co host

0:11:48.440 --> 0:11:51.920
<v Speaker 1>of Bloomberg Technology on Bloomberg TV eleven am Wall Street Time.

0:11:52.000 --> 0:11:52.520
<v Speaker 3>Every day.

0:11:52.840 --> 0:11:54.679
<v Speaker 1>You're welcome, You're welcome. You guys are going to be

0:11:54.720 --> 0:11:55.560
<v Speaker 1>talking a lot about this.

0:11:56.040 --> 0:11:58.920
<v Speaker 4>What do you make oh, the cloud. Cloud revenue up

0:11:58.960 --> 0:12:00.760
<v Speaker 4>thirty five percent. I had you call it out when

0:12:00.800 --> 0:12:03.760
<v Speaker 4>they broke after the closing bell. And really that is

0:12:04.240 --> 0:12:07.880
<v Speaker 4>where the metal roots the road, really, doesn't it, Because

0:12:07.920 --> 0:12:10.280
<v Speaker 4>this is where the investment, the capex of over thirteen

0:12:10.320 --> 0:12:13.400
<v Speaker 4>billion dollars is vindicated. Because they're able to grow revenue

0:12:13.440 --> 0:12:16.440
<v Speaker 4>to such a significant extent. Why are they winning new clients?

0:12:16.440 --> 0:12:18.319
<v Speaker 4>Why are they getting the startups that are ex Google

0:12:18.400 --> 0:12:20.199
<v Speaker 4>is coming to them for their compute power, for their

0:12:20.240 --> 0:12:23.640
<v Speaker 4>services and their software, because they've got AI prowess that's

0:12:23.679 --> 0:12:26.360
<v Speaker 4>able to win yet more customers, more money, and more revenue.

0:12:26.480 --> 0:12:30.240
<v Speaker 2>Better AI prowess than Microsoft, who's in second place when

0:12:30.240 --> 0:12:33.720
<v Speaker 2>it comes to the cloud, or AWS who has the

0:12:33.800 --> 0:12:34.920
<v Speaker 2>crown for first place.

0:12:35.200 --> 0:12:37.439
<v Speaker 4>Many would say that the need for computers so vast

0:12:37.600 --> 0:12:40.240
<v Speaker 4>that you go wherever you can take it. But ultimately,

0:12:40.280 --> 0:12:42.680
<v Speaker 4>I think it's about whether they've got this suppliability and

0:12:42.720 --> 0:12:44.440
<v Speaker 4>whether they are able to cater to it. I think

0:12:44.600 --> 0:12:47.480
<v Speaker 4>people aren't. People do feel that even though from a

0:12:47.559 --> 0:12:51.240
<v Speaker 4>narrative perspective, in the consumer's mindset, maybe we suddenly thought

0:12:51.320 --> 0:12:54.560
<v Speaker 4>that open AI had run away with artificial intelligence generative

0:12:54.600 --> 0:12:57.200
<v Speaker 4>AI and leading the charge I'm sorry. DeepMind has been

0:12:57.200 --> 0:13:01.120
<v Speaker 4>there since twenty ten with Google as an an extraordinary

0:13:01.200 --> 0:13:04.720
<v Speaker 4>lab that has sophisticated AI prowess, and I think therefore

0:13:04.760 --> 0:13:07.040
<v Speaker 4>they're able to start showing that even if the narrative

0:13:07.120 --> 0:13:09.440
<v Speaker 4>moved on them, the actual reality is they're locking in

0:13:09.720 --> 0:13:13.080
<v Speaker 4>customers and they're able to generate their own revenue from this,

0:13:13.400 --> 0:13:16.120
<v Speaker 4>and that's why they're able to also drive up profitability.

0:13:16.120 --> 0:13:18.120
<v Speaker 4>They're managing to be cost focused at the same time

0:13:18.120 --> 0:13:19.080
<v Speaker 4>as driving up revenue.

0:13:19.120 --> 0:13:21.880
<v Speaker 1>You know, we talk about you know that they're advertising business, right,

0:13:21.920 --> 0:13:24.200
<v Speaker 1>it's a massive one. It's a big one, but there's

0:13:24.240 --> 0:13:26.880
<v Speaker 1>a maturation aspect of it, right, and so it's important

0:13:26.920 --> 0:13:29.400
<v Speaker 1>to see the cloud business continue to grow or the

0:13:29.440 --> 0:13:31.520
<v Speaker 1>YouTube business continue to grow. I mean, these are important

0:13:31.559 --> 0:13:32.559
<v Speaker 1>to see these aspects.

0:13:32.760 --> 0:13:34.640
<v Speaker 4>It is, and actually we manage to live up to

0:13:34.679 --> 0:13:36.880
<v Speaker 4>expectations when it came to the juggernaut that is the

0:13:36.920 --> 0:13:42.200
<v Speaker 4>ad business YouTube considerable addition there. And look, this is

0:13:42.200 --> 0:13:44.880
<v Speaker 4>where people have been worried about generative AI encroaching on

0:13:44.920 --> 0:13:47.160
<v Speaker 4>that part of the business model too. Would suddenly I

0:13:47.280 --> 0:13:50.360
<v Speaker 4>not go to Google, Would I instead go to chatchypt?

0:13:50.559 --> 0:13:53.800
<v Speaker 4>Would I be using perplexity people aren't, and my way,

0:13:53.920 --> 0:13:56.800
<v Speaker 4>I love Google AI overviews. I think it's really easy

0:13:56.800 --> 0:13:59.280
<v Speaker 4>and it keeps me using what I'm used to using

0:13:59.520 --> 0:14:00.480
<v Speaker 4>right exactly.

0:14:00.559 --> 0:14:03.440
<v Speaker 2>This is so remarkable to me. YouTube's total ads and

0:14:03.480 --> 0:14:07.640
<v Speaker 2>subscription revenues surpass fifty billion dollars over the past four

0:14:07.720 --> 0:14:10.600
<v Speaker 2>quarters for the first time. I was marveling thinking back

0:14:10.640 --> 0:14:12.880
<v Speaker 2>to two thousand and six when YouTube was, yeah, an

0:14:12.920 --> 0:14:15.640
<v Speaker 2>independent company. Google bought it for what one point six

0:14:15.720 --> 0:14:17.199
<v Speaker 2>billion dollars or something.

0:14:17.200 --> 0:14:20.160
<v Speaker 4>And now they can move from freemium to premium and

0:14:20.200 --> 0:14:23.480
<v Speaker 4>suddenly we're all still completely using addicted it. They've got

0:14:23.480 --> 0:14:25.800
<v Speaker 4>live sports, and no wonder that we're returning to YouTube

0:14:25.800 --> 0:14:28.400
<v Speaker 4>time and time again. I mean, they own market share

0:14:28.400 --> 0:14:30.960
<v Speaker 4>when it comes to our eyeballs, and they can start

0:14:31.040 --> 0:14:33.200
<v Speaker 4>charging us for it. So they're able to contribute more

0:14:33.200 --> 0:14:35.400
<v Speaker 4>than eight billion dollars in terms of overall revenue for

0:14:35.440 --> 0:14:39.240
<v Speaker 4>the business. And it's more about us paying for it

0:14:39.280 --> 0:14:41.600
<v Speaker 4>as consumers than it is about advertising. At the moment.

0:14:41.600 --> 0:14:43.600
<v Speaker 4>People will worry that might run a little very light,

0:14:43.720 --> 0:14:44.920
<v Speaker 4>but they're able to get us to pay.

0:14:45.000 --> 0:14:47.880
<v Speaker 1>Caroline, I think about you and ed and your coverage,

0:14:48.840 --> 0:14:51.200
<v Speaker 1>you know, going into tomorrow, what's kind of top of

0:14:51.240 --> 0:14:53.920
<v Speaker 1>mind for you when it comes to Alphabet and what

0:14:54.080 --> 0:14:55.520
<v Speaker 1>it maybe says to us about some of the other

0:14:55.560 --> 0:14:58.200
<v Speaker 1>big megacaps to report, which it's a massive week.

0:14:58.360 --> 0:15:00.960
<v Speaker 4>What does it signal for Avatar housing resilience for the

0:15:01.080 --> 0:15:03.240
<v Speaker 4>likes of Meta, for the likes of other players, But

0:15:03.280 --> 0:15:05.160
<v Speaker 4>what does it mean in terms of Nvidia? We don't

0:15:05.200 --> 0:15:06.960
<v Speaker 4>we have to wait until November.

0:15:06.600 --> 0:15:07.840
<v Speaker 1>To get in video amazing.

0:15:08.240 --> 0:15:10.240
<v Speaker 4>All of the hyperscales are going to be coming this week,

0:15:10.280 --> 0:15:12.120
<v Speaker 4>and we want to know that that thirteen billion dollars

0:15:12.160 --> 0:15:14.320
<v Speaker 4>is still there. What willston our pitch I'd talk about

0:15:14.480 --> 0:15:17.400
<v Speaker 4>in terms of future capex spend, but also he's got

0:15:17.400 --> 0:15:21.560
<v Speaker 4>to take questions on anti anti competitive, anti trust issues.

0:15:21.720 --> 0:15:24.240
<v Speaker 4>That's the overhang on the stock. We can see that

0:15:24.320 --> 0:15:27.000
<v Speaker 4>the numbers are there, but what about the future business

0:15:27.000 --> 0:15:29.920
<v Speaker 4>model and how he has to basically pivot and change

0:15:30.280 --> 0:15:33.000
<v Speaker 4>to be able to take the pressure off himself from

0:15:33.040 --> 0:15:35.320
<v Speaker 4>the DOJ here in the United States, the FTC and

0:15:35.360 --> 0:15:36.160
<v Speaker 4>over in Europe too.

0:15:36.240 --> 0:15:38.680
<v Speaker 1>Yeah, it's kind of how we started off a couple

0:15:38.680 --> 0:15:40.600
<v Speaker 1>of hours ago. Like the overhang of this one.

0:15:40.640 --> 0:15:42.800
<v Speaker 2>I'm looking at chairs of Meta Platforms. They were hired

0:15:42.840 --> 0:15:45.520
<v Speaker 2>today in the trade, but also hired by eight tenths

0:15:45.520 --> 0:15:48.080
<v Speaker 2>of one percent in the after hours that company reporting

0:15:48.120 --> 0:15:49.320
<v Speaker 2>tomorrow aftermarket.

0:15:49.360 --> 0:15:51.440
<v Speaker 1>All Right, grit steffis always thank you, Thank you, Joe

0:15:51.600 --> 0:15:54.440
<v Speaker 1>Day for you really appreciate it. Caroline Hyde, of course,

0:15:54.520 --> 0:15:58.080
<v Speaker 1>co host of Blueberg Technology on Bloomberg TV with Ed Ludlows.

0:15:58.080 --> 0:16:00.400
<v Speaker 1>So catch them at eleven am Wall Street Time everyday,

0:16:00.440 --> 0:16:01.160
<v Speaker 1>Monday through Friday.