WEBVTT - Bitcoin Soars and Tesla Shorts Take a Hit 0:00:01.720 --> 0:00:07.000 From Marhart where Innovation, Money and power Collie in Silicon Valley, NBN. 0:00:07.320 --> 0:00:10.680 This is Bloomberg Technology with Caroline Hyde and. 0:00:10.760 --> 0:00:11.560 Ed loved Love. 0:00:25.720 --> 0:00:27.840 Live from New York and San Francisco. This is Bloomberg 0:00:27.920 --> 0:00:32.000 Technology coming up. Bitcoin rallies past eighty four thousand to 0:00:32.040 --> 0:00:34.720 reach a new record high, boosted by the election outcome. 0:00:34.840 --> 0:00:36.279 Where next for crypto. 0:00:36.760 --> 0:00:40.120 Plus Tesla shorts proved to be a losing bett Hedge 0:00:40.120 --> 0:00:43.879 funds shorting must company lose billions of dollars. 0:00:43.680 --> 0:00:45.800 And we talk about the future of defense tech and 0:00:45.880 --> 0:00:50.280 American dynamism and Andrews and Horowitz partner Catherine Boyle. But first, 0:00:50.760 --> 0:00:53.000 let's just check in on bitcoin. It is the story 0:00:53.000 --> 0:00:56.160 of the day. It leaps yet further another five percent 0:00:56.240 --> 0:00:59.000 higher on the day. We're at eclipsing eighty four thousand, 0:00:59.160 --> 0:01:01.720 never been seen in terms of numbers, and it's the 0:01:01.760 --> 0:01:04.320 same reasoning behind it. Let's get to that with blubg 0:01:04.360 --> 0:01:07.800 Shnani Bassack, who can talk us through basically us being 0:01:07.840 --> 0:01:11.000 the capital of the crypto planet. But what do we 0:01:11.040 --> 0:01:13.200 need to see in the short term to keep vindicating 0:01:13.240 --> 0:01:14.840 an eighty four thousand level for bitcoin? 0:01:15.319 --> 0:01:18.360 One thing is just watching the flows because they have 0:01:18.480 --> 0:01:21.840 been dramatic, and you have seen stunning flows not just 0:01:21.920 --> 0:01:25.440 into Bitcoin but almost every stock related to bitcoin as well. 0:01:25.640 --> 0:01:27.520 If you think about it over a seven day period, 0:01:27.600 --> 0:01:30.760 you have coinbase up almost seventy five percent in a 0:01:30.800 --> 0:01:34.240 seven day timeframe, and you have micro Strategy up more 0:01:34.360 --> 0:01:37.759 now today than it was the day that the Trump 0:01:37.840 --> 0:01:40.839 victory was announced. So that's just how much you're seeing 0:01:40.880 --> 0:01:43.840 the excitement around these stocks. And what's interesting, too, Caroline, 0:01:44.080 --> 0:01:47.039 is you haven't even seen some critical moves by the 0:01:47.080 --> 0:01:51.320 Trump the future Trump administration, rather, for example, who would 0:01:51.320 --> 0:01:54.000 be the SEC chair? What tone would they take when 0:01:54.000 --> 0:01:56.880 it comes to crypto? Will that make Bitcoin go higher? 0:01:56.920 --> 0:01:59.880 From here, we're looking at Salana, dogecoin as well over 0:02:00.440 --> 0:02:03.000 one week, and you're seeing the gains across the crypto 0:02:03.040 --> 0:02:04.120 atmosphere just stunning. 0:02:04.960 --> 0:02:07.320 This is an industry that put one hundred million dollars 0:02:07.360 --> 0:02:10.960 into backing its preferred candidates, and in President elect Trump, 0:02:11.120 --> 0:02:13.760 they got their preferred candidate. And you're so right about, well, 0:02:13.800 --> 0:02:18.200 what happens next? The market thinks that bitcoin keeps going right, 0:02:18.240 --> 0:02:21.120 it thinks bitcoin goes to one hundred thousand US dollars 0:02:21.120 --> 0:02:23.720 for token, It does well. 0:02:23.800 --> 0:02:26.520 Let me give you one man's example for what we 0:02:26.560 --> 0:02:29.920 heard this morning. We talked to a metified CEO, Frank Speiser. 0:02:30.040 --> 0:02:32.840 He gave us essentially a target of about one hundred 0:02:32.880 --> 0:02:34.800 thousand dollars for the end of the year and one 0:02:34.880 --> 0:02:37.720 hundred and fifty into next year. Towards the end of 0:02:37.760 --> 0:02:41.320 next year, so a significant move higher. But the one 0:02:41.400 --> 0:02:44.760 hundred thousand dollars time frame he gave us was also 0:02:44.840 --> 0:02:48.760 what he had given us before. So the additional upside 0:02:48.880 --> 0:02:51.480 remains a question at least what it looks like for 0:02:51.520 --> 0:02:53.799 the next year or so. To the point that you've 0:02:53.880 --> 0:02:56.880 been making flows have driven the story here, but what 0:02:57.000 --> 0:03:00.000 about fundamentals and is there anything here? 0:03:00.280 --> 0:03:01.360 You just take the beginning of the. 0:03:01.400 --> 0:03:05.080 Year, for example, when you saw the new bitcoin ETFs 0:03:05.160 --> 0:03:07.960 approved by the SEC. You saw a huge run up 0:03:08.160 --> 0:03:11.000 into that moment, but a leveling off for a long time. 0:03:11.200 --> 0:03:13.120 Ed you and I have sat here talking about it. 0:03:13.440 --> 0:03:14.360 One question I. 0:03:14.280 --> 0:03:17.399 Have is the assets outside of Bitcoin, the places where 0:03:17.400 --> 0:03:20.520 the SEC had cracked down on different forms of tokens 0:03:20.520 --> 0:03:21.919 that are trading on exchanges. 0:03:22.280 --> 0:03:23.600 Do you see more of a flow. 0:03:23.400 --> 0:03:26.760 Into that and does that take away from Bitcoin at all? 0:03:26.960 --> 0:03:29.240 Something to keep an eye on. As the story goes on. 0:03:29.960 --> 0:03:32.320 Keep an eye on bitcoin eighty four thousand US dollars 0:03:32.320 --> 0:03:34.920 per token, risk on attitude in markets if you look 0:03:34.920 --> 0:03:37.680 at it, Bloomberg shan Ali Bassek, thank you so much. 0:03:37.840 --> 0:03:41.880 You look away from bitcoin and the equity markets. Technology 0:03:42.200 --> 0:03:45.680 more risk off, particularly the chip sector with the socks 0:03:45.720 --> 0:03:49.800 down significantly. Jordan Klein and lists of Assoo America's joins 0:03:49.880 --> 0:03:53.360 US now and let's start there. It's an interesting sentiment 0:03:53.400 --> 0:03:58.480 in the market this morning, Bitcoin going gangbusters, semiconductors softer. 0:03:58.920 --> 0:04:04.040 Why Well, I don't know if there's any one specific 0:04:04.120 --> 0:04:08.800 data point today that's putting the semiconductor sector under pressure. 0:04:08.880 --> 0:04:11.120 I mean, this is a sector that's going to be 0:04:11.160 --> 0:04:14.240 pretty volatile. I think until Trump takes office and you 0:04:14.400 --> 0:04:18.920 can get more clarity around his positioning around tariffs, how 0:04:19.000 --> 0:04:22.719 aggressively be what will the impact be on global trade? 0:04:23.200 --> 0:04:26.600 And this group has had a nice move. I mean it's. 0:04:26.200 --> 0:04:30.159 Underperformed broader tech and definitely software since the election. But 0:04:30.320 --> 0:04:33.480 remember it's one of the top performers in the equity 0:04:33.480 --> 0:04:36.359 market year to date, with Nvidia leading the way. So 0:04:36.440 --> 0:04:38.279 I just think you're going to see ebbs and flows, 0:04:38.360 --> 0:04:41.359 but clearly there's a lot of momentum in SEMIS, and 0:04:41.400 --> 0:04:44.719 when it sees a sector like crypto and fintech take off, 0:04:45.200 --> 0:04:46.839 there's going to be some people who want to play 0:04:46.880 --> 0:04:47.280 into that. 0:04:48.240 --> 0:04:51.560 Can I go micro for a moment? And super Microcomputer 0:04:52.320 --> 0:04:56.200 we completely basically ignored because it came out with its 0:04:56.400 --> 0:04:58.680 update for the market on the same day as the 0:04:58.720 --> 0:05:01.839 election results. But it needs focusing on because it's down 0:05:01.880 --> 0:05:04.360 another eleven percent. It is a raised an awful lot 0:05:04.360 --> 0:05:07.680 of market capitalization because well, why basically not only about 0:05:07.680 --> 0:05:11.880 disappointing sales forecasts, but ultimately about accounting probes, about a 0:05:11.960 --> 0:05:16.000 DJ investigation, about a delayed ten K financial disclosure, all 0:05:16.040 --> 0:05:18.240 of the above. How much do you focus in on 0:05:18.279 --> 0:05:20.719 these individual names and as to whether they can vindicate 0:05:20.760 --> 0:05:21.640 the AI bubbles. 0:05:22.200 --> 0:05:25.360 Well, we cover SMCI, as do a lot of people 0:05:25.400 --> 0:05:28.039 who follow it, you know, as a big you know, 0:05:28.160 --> 0:05:32.440 supplier of the AI servers and these Blackwell rack systems 0:05:33.200 --> 0:05:36.400 that are such in such high demands, so they're part 0:05:36.400 --> 0:05:40.840 of the ecosystem for AI. And this is a huge 0:05:40.920 --> 0:05:44.040 question mark. It's a big dark cloud, particularly over that 0:05:44.160 --> 0:05:48.760 company and the stock obviously, and people are looking to 0:05:48.800 --> 0:05:51.880 figure out, like, what could this mean for customers who 0:05:51.920 --> 0:05:55.160 are waiting for these Blackwell rack systems, and what could 0:05:55.160 --> 0:05:59.279 it mean for other competitors who might benefit if you know, 0:05:59.800 --> 0:06:03.200 order move from super Micro into players like Dell or 0:06:03.240 --> 0:06:06.839 Hewlett Packard or Hanhai. I don't necessarily think it changes 0:06:06.880 --> 0:06:11.240 the whole dynamic of AI investment and demand exceeding supply. 0:06:11.320 --> 0:06:14.320 I think that's going to remain intact into next year. 0:06:14.800 --> 0:06:17.240 But I think it just shows you the risk associated 0:06:17.279 --> 0:06:19.080 with some of these names. You know, what goes up 0:06:19.200 --> 0:06:21.360 can come down, and you never know when you're going 0:06:21.440 --> 0:06:23.800 to be hit with some of these headlines kind of 0:06:23.800 --> 0:06:25.839 out of the blue, to be honest, Jordan. 0:06:25.960 --> 0:06:30.120 Common to super micro and video the industry at large 0:06:30.880 --> 0:06:34.240 is China, and when it comes to President elect Trump, 0:06:34.320 --> 0:06:38.080 we have a firmer sort of understanding of a tariff policy. 0:06:38.800 --> 0:06:41.880 But when you think about the end market that is China, 0:06:42.000 --> 0:06:44.880 do you have a clear sense of whether President Elect 0:06:44.880 --> 0:06:49.000 Trump will or will not allow America's biggest technology companies 0:06:49.360 --> 0:06:51.560 to do more business in China going forward? 0:06:52.240 --> 0:06:55.359 Now, I think that's part of the uncertainties is I 0:06:55.400 --> 0:06:59.000 don't think he's going to restrict you know, across the board, 0:06:59.200 --> 0:07:02.440 US companies dealing in China, but I think he definitely 0:07:02.520 --> 0:07:06.119 wants to gain more leverage over you know, the trade 0:07:06.160 --> 0:07:08.839 and balance, and he wants to bring as much investment 0:07:09.120 --> 0:07:13.880 to the United States as possible, particularly companies you know 0:07:13.920 --> 0:07:19.560 that that go overseas for their production or their purchasing, 0:07:19.760 --> 0:07:22.120 and that's why you've seen things like the chip decks 0:07:22.200 --> 0:07:26.720 stimulate US investment. So again, I think he's going to 0:07:26.760 --> 0:07:31.119 do anything he can to incentivize companies, whether they're US 0:07:31.200 --> 0:07:35.200 based or even overseas, to look to the United States first, 0:07:36.680 --> 0:07:39.200 you know, as opposed to China. And I already think 0:07:39.240 --> 0:07:43.000 that was going on right even before Trump was elected. 0:07:43.040 --> 0:07:45.880 I think this was part of the Biden administration's focus 0:07:45.960 --> 0:07:49.480 with the chips ACKed money. But I think that only accelerates, 0:07:49.600 --> 0:07:53.560 and then the question becomes, what is the actual implication 0:07:53.800 --> 0:07:57.680 if he puts these large tariffs on It's it's going 0:07:57.760 --> 0:07:59.280 to be something we have to wait and see. 0:08:00.040 --> 0:08:02.600 I'm a creature of habit. Every day I wake up 0:08:02.680 --> 0:08:05.640 and I read the same thing client's Quick Tech Bites 0:08:05.960 --> 0:08:09.160 authored by you, And in today's edition, you're talking a 0:08:09.160 --> 0:08:12.000 lot about cyberstocks. What's your focus there? 0:08:12.560 --> 0:08:14.960 Well, this is an area I would watch closely if 0:08:15.000 --> 0:08:17.880 I was an investor looking to make money into the 0:08:17.920 --> 0:08:21.520 coming year. I mean, security stocks are always topical, just 0:08:21.560 --> 0:08:24.960 because there's a lot of risks for companies globally from 0:08:25.000 --> 0:08:28.360 attacks and breaches and so forth. But we did a 0:08:28.480 --> 0:08:33.560 survey of over one hundred US based IT managers and 0:08:33.679 --> 0:08:36.600 ask them, you know, their propensity to spend and invest 0:08:36.720 --> 0:08:41.360 in the security sector and how AI might actually impact 0:08:41.400 --> 0:08:43.520 their spending, and the results. 0:08:43.160 --> 0:08:44.240 Were quite favorable. 0:08:44.720 --> 0:08:46.920 It's a long report, but the summary is is that 0:08:47.280 --> 0:08:50.360 companies are looking to spend more in security, not less. 0:08:50.600 --> 0:08:53.480 I think AI is going to drive more investment. And 0:08:53.559 --> 0:08:56.000 some of the companies that you know were talked about 0:08:56.040 --> 0:08:59.920 that look to be the clear beneficiaries not only include Microsoft, 0:09:00.040 --> 0:09:04.240 but also CrowdStrike, Palo Alto, and a company called cyber Arc. 0:09:04.320 --> 0:09:07.719 So I think you want to overweight this group. You're 0:09:07.760 --> 0:09:09.560 going to get some earnings this week which could make 0:09:09.600 --> 0:09:11.360 it volatile, but a year from now, I think a 0:09:11.360 --> 0:09:12.720 lot of these stocks are higher. 0:09:13.120 --> 0:09:16.160 What else are you seeing your phone and ring off 0:09:16.160 --> 0:09:18.600 the hook about what stock aren't we talking about that 0:09:18.640 --> 0:09:20.400 your clients are well, I'll. 0:09:20.200 --> 0:09:22.040 Tell you one group that I think is going to 0:09:22.040 --> 0:09:24.960 remain and focus. It's done well, but I think generally 0:09:25.040 --> 0:09:28.840 the more average investor is still unaware of the opportunity 0:09:28.920 --> 0:09:32.640 is optical. So a lot of the cloud data centers 0:09:33.480 --> 0:09:35.600 to be able to handle all the data and the 0:09:35.679 --> 0:09:39.760 higher speeds from Nvidia's Blackwell, they need to basically upgrade 0:09:39.800 --> 0:09:43.280 all the connection points inside the data center and from 0:09:43.360 --> 0:09:47.400 data center to data center, and optical is the fastest. 0:09:47.000 --> 0:09:48.520 Most efficient way to do that. 0:09:49.160 --> 0:09:51.440 So you've seen some companies if you pull up the 0:09:51.520 --> 0:09:59.679 charts on Coherent, Cohrlumentum Lite, other companies called Asteri Labs, 0:09:59.760 --> 0:10:03.240 and uh, you know these are companies, and you even 0:10:03.240 --> 0:10:05.480 look at Marvel and Broadcom, which a lot of people 0:10:05.520 --> 0:10:08.040 own and know, but they're all going to benefit from 0:10:08.040 --> 0:10:11.680 this shift. And Capex spend in the data center to 0:10:11.800 --> 0:10:16.360 broaden out into connecting all these high speed GPUs together 0:10:16.760 --> 0:10:19.920 so that they can basically, you know, produce the output 0:10:20.000 --> 0:10:22.800 that these cloud companies are seeking with this, with these 0:10:22.840 --> 0:10:24.240 AI enabled applications. 0:10:24.320 --> 0:10:25.240 That's an area that's. 0:10:25.120 --> 0:10:27.880 Going to remain and focus and I continue to expect 0:10:27.920 --> 0:10:29.680 more money to move into those stocks. 0:10:29.880 --> 0:10:32.000 Okay, hearing down on the day, but up thirteen percent 0:10:32.080 --> 0:10:35.160 on the month. We appreciate it. Jord and Client analyst 0:10:35.160 --> 0:10:42.960 and a Zooho Americas. 0:10:45.160 --> 0:10:48.400 Since Donald Trump's election win, the hedge funds clinging on 0:10:48.480 --> 0:10:52.439 too bets against Tesla have lost billions of dollars feeling 0:10:52.520 --> 0:10:56.320 the fallout of the special relationship between the President elect 0:10:56.520 --> 0:10:59.800 and Elon Musk. According to Bloomberg calculations, hedge funds that 0:10:59.800 --> 0:11:03.760 had short positions against Tesla between election day and Friday's 0:11:03.760 --> 0:11:06.760 close took an on paper hit of at least five 0:11:07.080 --> 0:11:10.640 point two billion dollars. Let's bring in Bloomberg's David Welsh 0:11:10.640 --> 0:11:13.760 in Detroit. I mean, this has been the calculus for 0:11:13.800 --> 0:11:17.080 some time, but that time period and a five point 0:11:17.160 --> 0:11:19.680 two billion dollar loss is quite something, David. 0:11:21.040 --> 0:11:23.640 It is. Look, people have lost money trying to short 0:11:23.679 --> 0:11:26.040 Tesla and bet against Elon Musk for a long time. 0:11:26.080 --> 0:11:29.200 But in this case, I think the bed was that 0:11:29.480 --> 0:11:33.240 his whole robotaxi plan turning Tesla into an AI company 0:11:33.640 --> 0:11:36.520 either wouldn't happen or wouldn't happen on time, so there 0:11:36.520 --> 0:11:38.960 would be a lot of bad or delayed news on 0:11:39.000 --> 0:11:41.280 Tesla stock and go down, and the shorts would do 0:11:41.360 --> 0:11:43.960 well with it, when in fact, now you've got this 0:11:44.080 --> 0:11:47.720 tight relationship with Donald Trump that means you'll see ev 0:11:47.880 --> 0:11:51.480 policies probably that are crafted to help Tesla, and more importantly, 0:11:51.480 --> 0:11:54.520 you'll probably see some sort of permissive federal framework for 0:11:54.559 --> 0:11:58.439 autonomous vehicles that will also help Tesla's plans for robotaxis 0:11:58.920 --> 0:12:01.440 and invest like that. They're willing to bet on that, 0:12:01.800 --> 0:12:05.480 and the shorts they got hit, hit and hit hard. 0:12:06.200 --> 0:12:08.720 Is anyone still clinging on I know that Bloomberg spoke 0:12:08.800 --> 0:12:13.120 to play Lacanda, ceof h fund manager Clean Energy Transition, 0:12:13.240 --> 0:12:15.040 who had a little bit of skin in the game 0:12:15.080 --> 0:12:18.199 when betting against Tesla, But what's the sort of percentage 0:12:18.200 --> 0:12:19.160 float that shortened? 0:12:19.160 --> 0:12:22.320 Now, Look, I think it's pretty small. I figure what 0:12:22.320 --> 0:12:24.760 it was in the story, But I think a lot 0:12:24.800 --> 0:12:29.160 of people have had to buy to basically cover their 0:12:29.160 --> 0:12:31.960 short positions. I think there's some still in there who 0:12:32.040 --> 0:12:36.319 are thinking that Trump will gut some of these IRA 0:12:36.520 --> 0:12:40.520 credits and things that help EV sell. And if Trump 0:12:40.520 --> 0:12:43.959 had a lawsuit against the state of California before, and 0:12:44.240 --> 0:12:47.440 if that happens again, if it's successful and you get 0:12:47.520 --> 0:12:50.160 rid of some of these clean air credits that other 0:12:50.200 --> 0:12:51.880 companies have to buy from Tesla, which is a very 0:12:51.960 --> 0:12:55.160 profitable part of Tesla's business, if that shrinks because of this, 0:12:55.600 --> 0:12:59.000 then it could work against the company a Trump presidency. 0:12:59.080 --> 0:13:01.880 But again you've got UoN Musk is sitting next to 0:13:02.520 --> 0:13:05.520 Donald Trump talking to him about policies for this thing. 0:13:05.520 --> 0:13:07.520 So it's hard to for these kinds of things, it's 0:13:07.520 --> 0:13:11.360 hard to imagine he's going to suggest that Donald Trump 0:13:11.480 --> 0:13:13.960 do anything that's going to hurt Queen Air credits, that's 0:13:13.960 --> 0:13:16.160 going to hurt Ira credits, and other things that will 0:13:16.240 --> 0:13:17.040 help his company. 0:13:17.640 --> 0:13:19.360 As on November, the sick the story says only seven 0:13:19.360 --> 0:13:22.040 percent of hedge funds were net short Tesla, way down 0:13:22.080 --> 0:13:24.960 from seventeen percent, but only eight percent to actually net 0:13:25.000 --> 0:13:27.880 long the stock, probably reflecting how far it's already run up. 0:13:28.000 --> 0:13:31.480 David Welch, we really appreciate it, Thank you so much. Next, 0:13:31.480 --> 0:13:34.400 Switch Gears, let's talk about China and China Singles Day 0:13:34.760 --> 0:13:38.360 kicks off officially to day with many retailers slashing prices 0:13:38.360 --> 0:13:40.800 offering promotions for the big shopping day. But look, for 0:13:40.880 --> 0:13:44.680 many this has been a week's long affair. That's his. China, 0:13:44.720 --> 0:13:48.200 of course, grapples with weak economic data and flaming domestic demand. 0:13:48.200 --> 0:13:50.160 We want to go out to China. Jacob Cook is 0:13:50.160 --> 0:13:53.440 with us WPIC Marketing and Technology CEO, and it has 0:13:53.520 --> 0:13:56.600 been weeks long in the making. What of today, Jacob, 0:13:56.600 --> 0:13:58.520 how much spending is done on eleven eleven? 0:13:58.880 --> 0:14:01.880 Well, probably about twenty five to thirty percent has actually 0:14:01.920 --> 0:14:04.240 done on the day Now. The festival has been getting 0:14:04.280 --> 0:14:06.920 longer and longer every year. We started back in October 0:14:06.920 --> 0:14:10.320 this year. But we're all pretty optimistic. We just closed 0:14:10.320 --> 0:14:12.439 out about ten minutes ago. Here we're now the twelfth 0:14:12.480 --> 0:14:15.160 in China. But overall we're actually predicting a little bit 0:14:15.160 --> 0:14:17.200 stronger growth we had year over year this year than 0:14:17.280 --> 0:14:19.600 last year, So it's looking pretty optimistic so far. 0:14:19.880 --> 0:14:20.760 And what are they buying? 0:14:21.080 --> 0:14:23.560 Well, a lot different things now actually, you know, there's 0:14:23.600 --> 0:14:27.240 a lot about the hobbies and outdoor consumption. You know, 0:14:27.320 --> 0:14:32.000 pat had a really good shopping festival as well, exercise, 0:14:32.080 --> 0:14:37.360 outdoor vitamins, personal care, cosmetics, these types of things. Definitely, 0:14:37.400 --> 0:14:39.360 what we've kind of summarized this trend is to be 0:14:39.480 --> 0:14:41.880 more around the Lulu lemon and a little bit less 0:14:41.880 --> 0:14:44.160 than Louis Baton, And that's kind of just a general 0:14:44.200 --> 0:14:46.800 emergence of that new consumer that's come out of China. 0:14:46.960 --> 0:14:50.880 For global audience on Blombow Technology, a lot of people 0:14:50.960 --> 0:14:54.120 watching this won't have experience, particularly of Ali Barber, but 0:14:54.160 --> 0:14:59.880 also JD dot COM's consumer facing businesses. What's the experience 0:15:00.200 --> 0:15:02.240 like in China? Is it kind of something akin to 0:15:02.800 --> 0:15:05.600 an Amazon Prime Day window in the United States? How 0:15:05.640 --> 0:15:07.840 do people rush to do their shopping? 0:15:08.240 --> 0:15:09.360 Well, I think there's two things. 0:15:09.400 --> 0:15:11.520 One, there's probably people that have had their eye on 0:15:11.600 --> 0:15:15.080 certain items for the year, maybe it's a new set 0:15:15.120 --> 0:15:18.640 of golf clubs or supporting equipment. And then there's also 0:15:18.640 --> 0:15:20.720 the people that stock up. You know, pet food really 0:15:20.720 --> 0:15:22.640 has a lot to do. And the pad category with 0:15:22.680 --> 0:15:25.760 people stocking up for months and months in advance, You're 0:15:25.800 --> 0:15:28.960 going to see basically every ad on elevators and TVs, 0:15:29.040 --> 0:15:31.680 et cetera. Promoting the Shopping festival for about a month 0:15:32.160 --> 0:15:34.960 and combining this with the six to eighteen Shopping Festival 0:15:34.960 --> 0:15:36.840 in June. A lot of brands are expecting to do 0:15:36.840 --> 0:15:39.520 about fifty percent of their online sales during these two 0:15:39.600 --> 0:15:42.560 periods combined, so it's obviously very substantial. 0:15:43.080 --> 0:15:48.000 Jacob, you help global brands make inroads into China, but 0:15:48.080 --> 0:15:51.280 also Japan, South Korea other Asian markets. What are they 0:15:51.320 --> 0:15:54.560 telling you about nervousness around continuing to focus in on 0:15:54.640 --> 0:15:56.960 China at this moment, given the economic concerns, given a 0:15:57.000 --> 0:15:58.840 new administration that's going to come in the US. 0:15:59.280 --> 0:16:02.520 Yeah, certainly are brands has been asking for diversification throughout 0:16:02.560 --> 0:16:06.160 the region, and we operate, as you said, all throughout Asia, 0:16:06.240 --> 0:16:10.760 so that's Korea, Southeast Asia. We are taking a lot 0:16:10.800 --> 0:16:12.400 of learnings from here. So if you look at a 0:16:12.400 --> 0:16:15.160 lot of the dominant platforms, whether it's Copang in Korea 0:16:15.240 --> 0:16:17.560 or Lazada Shoppy in Southeast Asia, a lot of them 0:16:17.560 --> 0:16:20.640 are either owned by Chinese, heavily invested by Chinese, or 0:16:21.200 --> 0:16:23.560 they have some major operations that have come out of China. 0:16:23.640 --> 0:16:26.720 So as we're diversifying, you know, China's still being about 0:16:26.760 --> 0:16:29.720 two thirds of all e commerce GMB when you add 0:16:29.800 --> 0:16:32.240 up that region. But we do see a lot of 0:16:32.280 --> 0:16:34.680 the learnings coming from China being able to be applied, 0:16:34.760 --> 0:16:37.360 especially in the live streaming, the influencer marketing, and these 0:16:37.400 --> 0:16:39.640 types of things that are becoming more and more popular, 0:16:39.960 --> 0:16:42.240 especially when we see the rise of TikTok sales throughout 0:16:42.240 --> 0:16:43.120 Asia too as well. 0:16:43.640 --> 0:16:47.080 Jacob Kirk of WPIC Marketing and Technologies, thank you very much. 0:16:47.320 --> 0:16:50.760 Coming up AI sales startup eleven x gets an investment 0:16:50.800 --> 0:16:52.680 boost from Andres and Horror. 0:16:52.720 --> 0:16:53.680 It's more on that next. 0:16:53.880 --> 0:16:56.640 Let me go back to Tesla. So Tesla is trading 0:16:56.880 --> 0:16:59.960 more than ten percent session high, at its highest level 0:17:00.080 --> 0:17:02.600 since April fifth of twenty twenty two. It is up 0:17:02.600 --> 0:17:06.040 for a fifth straight day post the election, matching the 0:17:06.119 --> 0:17:08.680 runou games it had in September. A lot of momentum there, 0:17:08.920 --> 0:17:30.160 not for the shorts. This is Bloomberg. Artificial intelligence powered 0:17:30.240 --> 0:17:33.280 sales start up eleven x has raised fifty million dollars 0:17:33.320 --> 0:17:35.880 in a new funding round led by Andres and Horowitz, 0:17:35.880 --> 0:17:39.680 boosting its total funding to seventy six million with evaluation 0:17:40.000 --> 0:17:42.840 of around three hundred and twenty million. For more, eleven 0:17:42.920 --> 0:17:46.920 x CEO Hasansuka joins us in San Francisco. An interesting 0:17:47.000 --> 0:17:50.320 story because this is a company and startup started in 0:17:50.359 --> 0:17:53.919 London and you've just moved to the Bay Area, San Francisco. 0:17:54.320 --> 0:17:57.119 You've now got fifty million dollars more. What's the next 0:17:57.119 --> 0:17:58.239 phase of eleven x? 0:17:58.560 --> 0:18:01.639 Absolutely, First of all, it's great to see you, Ed. 0:18:02.280 --> 0:18:06.840 You're exactly right. We recently moved eleven x from London 0:18:06.880 --> 0:18:10.120 to San Francisco. Moved quite a big portion of our 0:18:10.200 --> 0:18:14.200 team here to accelerate the development of the company, and 0:18:14.280 --> 0:18:17.880 there's a tremendous amount of exciting milestones we're pushing towards 0:18:18.359 --> 0:18:19.520 that I'm happy to take you through. 0:18:19.600 --> 0:18:22.720 That's on the basics. What is an artificial intelligence powered 0:18:22.800 --> 0:18:23.600 sales startup? 0:18:23.800 --> 0:18:26.679 Absolutely so. Look at its core. Eleven X is an 0:18:26.720 --> 0:18:30.159 automation company that builds digital workers. You can think of 0:18:30.359 --> 0:18:35.480 digital workers as AI employees. They have names and faces 0:18:35.480 --> 0:18:38.320 and job categories they're trained on, and companies can hire 0:18:38.359 --> 0:18:41.120 them to execute tasks. And really it's about the work 0:18:41.119 --> 0:18:45.760 outcomes the software licenses or seats. Our digital workers focus 0:18:45.840 --> 0:18:48.920 on revenue teams or go to market teams. More broadly, 0:18:49.240 --> 0:18:53.320 we have a two different products, but ultimately, really the 0:18:53.320 --> 0:18:57.440 core model is digital workers instead of traditional saaspace software. 0:18:58.160 --> 0:19:01.920 It's a competitive space as a who do you want 0:19:01.920 --> 0:19:02.480 to take on? 0:19:02.600 --> 0:19:03.240 How do you. 0:19:03.200 --> 0:19:05.040 Partner with the other big players in this space? 0:19:06.119 --> 0:19:09.960 Absolutely so. The way we think about it, traditional software 0:19:10.480 --> 0:19:14.560 was built to make employees more productive or more efficient 0:19:14.840 --> 0:19:18.919 or more collaborative. But with AI agents, the scope for 0:19:19.080 --> 0:19:21.679 what you can automate and how you can automate is different. 0:19:21.720 --> 0:19:26.200 So you can take entire processes, workflows, streams, of work 0:19:26.200 --> 0:19:29.760 and have agents execute them. And we believe this will 0:19:29.840 --> 0:19:33.000 create a huge shift in how people think about software 0:19:33.200 --> 0:19:35.000 the way we think about it internally, just like how 0:19:35.000 --> 0:19:40.399 about twenty five years ago Salesforce really innovated on the 0:19:40.400 --> 0:19:44.240 cloud based software model we think with agents, and there's 0:19:44.280 --> 0:19:47.639 the beginning of a big shift in how customers and 0:19:47.760 --> 0:19:50.800 enterprises around the world think of the value of utilizing 0:19:50.920 --> 0:19:53.200 agents at work. And that's how we think of the 0:19:53.280 --> 0:19:54.040 opportunity here. 0:19:54.160 --> 0:19:57.840 But Salesforce is all in on agents itself, and so 0:19:57.920 --> 0:20:00.199 how do you muscle in and ensure that you you 0:20:00.240 --> 0:20:02.960 take and run with the market share we see the 0:20:03.000 --> 0:20:04.520 companies that you've already got as clients. 0:20:05.920 --> 0:20:10.520 Absolutely, so customers are smart and they realized that companies 0:20:10.560 --> 0:20:15.080 that are AI native companies with agentic architectures and workflows 0:20:15.119 --> 0:20:18.639 at their core, are best suited to truly capture the 0:20:19.600 --> 0:20:23.600 benefits of the technology that the agents enable, and really 0:20:23.640 --> 0:20:26.640 the way to think about it, just like how historically 0:20:27.000 --> 0:20:29.399 you know when the move to cloud happened and it 0:20:29.800 --> 0:20:33.000 enabled a pletfor of opportunities in companies that are native 0:20:33.000 --> 0:20:37.040 to that cycle to how eleven x is really operating 0:20:37.119 --> 0:20:39.480 with agents at the core. So ultimately the way we 0:20:39.520 --> 0:20:44.360 build technology is leading to much bigger impact for our 0:20:44.400 --> 0:20:46.840 customers than what you would get in co pilots or 0:20:46.880 --> 0:20:49.080 in more incremental software editions. 0:20:49.080 --> 0:20:50.560 Hassana, I want to go back to your move from 0:20:50.560 --> 0:20:53.240 the United Kingdom to here on the West Coast. Why 0:20:53.560 --> 0:20:56.000 what was the sort of motivating factor to do that. 0:20:56.320 --> 0:20:58.439 We believe that there is no better place in the 0:20:58.440 --> 0:21:04.280 world to scale a company than San Francisco. Everything from 0:21:04.320 --> 0:21:07.439 so many of our customers are here, the depth of talent, 0:21:08.000 --> 0:21:12.200 where our investors are, and ultimately just an environment where 0:21:12.240 --> 0:21:14.600 we can scale to the huge market opportunity that we 0:21:14.600 --> 0:21:16.919 see ahead of us. Being the core reason behind or 0:21:16.960 --> 0:21:17.520 moved to. 0:21:17.359 --> 0:21:21.600 To ss Ile an x Ai CEO A Sansuka come back, 0:21:21.640 --> 0:21:22.400 we appreciate it. 0:21:30.560 --> 0:21:32.200 My reaction on kind of the more business side, the 0:21:32.240 --> 0:21:36.040 defense side is it's great to have someone inbound who 0:21:36.359 --> 0:21:39.760 is deeply, I guess deeply aligned with the idea that 0:21:39.760 --> 0:21:42.080