Speaker 1: We're from Marhart where Innovation, Money and power Collie in
Speaker 1: Silicon Vallet NBN. This is Bloomberg Technology with Caroline Hyde
Speaker 1: and Ed Lodlove.
Speaker 2: Live from San Francisco. This is Bloomberg Technology. Open AI
Speaker 2: mols are restructuring and giving Sam Altman a seven percent
Speaker 2: equity stake in the company. Micron shares see their biggest
Speaker 2: one day gain since twenty eleven on the back of earnings.
Speaker 3: And we look at Meta's.
Speaker 2: Augmented reality strategy with an exclusive interview with the company's CTO.
Speaker 2: And this is what financial markets look like in the
Speaker 2: context of technology after a really bright start and as
Speaker 2: that one hundred is now completely flat.
Speaker 3: There had been.
Speaker 2: Enthusiasm for technology shares because of strong economic data, so
Speaker 2: the idea that central banks around the world will start
Speaker 2: cutting rates and also a kind of reinforced pledge from
Speaker 2: China for a stimulus package. It's in the semiconductor space
Speaker 2: where there's all the action. You look at Micron. This
Speaker 2: is an earning story where it's forecast for the current
Speaker 2: period is about strength in AI. We are talking high
Speaker 2: bandwidth memory and that strength in Micron, which we will
Speaker 2: discuss in more detail soon, is boosting the Philadelphia Semiconductor
Speaker 2: Index or the socks.
Speaker 3: Let's get to our top story.
Speaker 2: Open Ai is discussing giving CEO Sam Autman a seven
Speaker 2: percent equity stake in the company and restructuring to become a.
Speaker 3: For profit business. This all according to sources.
Speaker 2: This is a major shift that would mark the first
Speaker 2: time Altman is granted ownership in the AI startup, and
Speaker 2: there is a lot more going on behind the scenes.
Speaker 2: Bloom most Rachel Metz joins me. Now, you and I
Speaker 2: reported on this together with Sharen Gafari.
Speaker 3: And Dina Bass.
Speaker 2: Let's start with this idea of open ai adjusting its
Speaker 2: business model.
Speaker 3: What of sources told us.
Speaker 4: They've told us that the company is considering shifting from
Speaker 4: this nonprofit status that it's had for a number of years.
Speaker 4: It has right now and non it is a nonprofit,
Speaker 4: but it also has a very complicated organizational structure, and
Speaker 4: that it may shift its main business to being a
Speaker 4: for profit public benefit core. And also that they are
Speaker 4: considering whether Sam Altman might have a significant stake in it,
Speaker 4: as you mentioned, seven percent, which could translate to a
Speaker 4: huge financial windfall for him, right, Rachel.
Speaker 2: Unsurprisingly, like loads of people have asked me I'm sure
Speaker 2: they've asked you our audience on Bloomberg Technology, like do
Speaker 2: the math. How much does that mean in terms of wealth?
Speaker 2: For Sam Altman, I think it's too early to do
Speaker 2: the math, right. We'll get to it when the round
Speaker 2: is closing those things. Now, this is news. Sam Altman
Speaker 2: has actually been speaking today into in Italy at Tech
Speaker 2: Week Italy, and this is what he said. He was
Speaker 2: basically asked if Mira Murrati, who is the chief techn
Speaker 2: knowledgy officer who announce her resignation twenty four hours ago,
Speaker 2: is leaving because of this restructuring initiative. He said, no,
Speaker 2: I think this is just about people being ready for
Speaker 2: new chapters of their lives and.
Speaker 3: A new generation of leadership.
Speaker 2: Again, you and I have spoken to sources who have
Speaker 2: been telling us about what's going on.
Speaker 3: My understanding is that.
Speaker 2: Marati is still technically there negotiating an exit, and staff
Speaker 2: are a little bit worried.
Speaker 4: Yeah, I mean, I think there's a couple of things happening.
Speaker 4: One is that the company has seen a huge amount
Speaker 4: of organizational leadership shifting since Sam was briefly ousted and
Speaker 4: then came back a CEO late last year. So a
Speaker 4: lot of things have happened in a fairly short period
Speaker 4: of time, especially at the top.
Speaker 1: They have a whole new board.
Speaker 4: Basically, they have a lot of changes at the sea
Speaker 4: level at the company. People go in, people coming, and
Speaker 4: also founders have left. At this point, there's two founders
Speaker 4: still there, Sam Martman being one of them, and a third,
Speaker 4: Greg Brockman, is on leave at least until.
Speaker 1: The end of the year.
Speaker 4: So employees are seeing a lot of changes. But one
Speaker 4: thing that we do know about Murati's exit that CM
Speaker 4: actually said publicly yesterday was that she it sounded like
Speaker 4: it was a surprise to him. He said in a
Speaker 4: post on AX yesterday that Mirror told him she was leaving.
Speaker 4: He said this morning. This was yesterday, the day that
Speaker 4: this happened, So it sounds like it might have been
Speaker 4: a surprise to everyone, including him.
Speaker 2: Okay, Bloomberg's Rachel Metz we continue to report on that story.
Speaker 3: Check out the full report.
Speaker 2: On Bloomberg News and Bloomberg Technology. We have some breaking
Speaker 2: news at the top of this hour. Super micro Computer
Speaker 2: is being probed by the Justice Department following a critical
Speaker 2: report by an activist short selling firm. This is all
Speaker 2: according to a report in the Wall Street Journal, whose
Speaker 2: cite anonymous sources. Bloomberg's Ian King is here with us
Speaker 2: in San Francisco. The stock now down fourteen percent. It
Speaker 2: had been halted. We're reacting to the journal report, But
Speaker 2: what do we know from their reporting?
Speaker 5: Yeah, I mean what they're saying again, it's back to
Speaker 5: this issue that the company has kind of admitted that
Speaker 5: they've sort of been late to file their annual report
Speaker 5: because of counting exactly accounting issues, and that's what is supposedly,
Speaker 5: according to the journals reporting, at the heart of this investigation,
Speaker 5: and that goes back to something that they've also been
Speaker 5: through previously a few years ago, where they had accounting issues.
Speaker 2: I've written to super Micro. They've not yet responded, but
Speaker 2: of course, between us, we will try and get the story.
Speaker 2: The big story today in markets and in semiconductors, Bloomberg's
Speaker 2: Ian King is Micron. This is a really big move,
Speaker 2: and it's a move based on the market's understanding that
Speaker 2: Micron is a winner in the data center build out
Speaker 2: that's happening. Just explain what Micron told us.
Speaker 5: Yeah, I mean, they confirmed everybody's best hopes and said, look, hey,
Speaker 5: the market for this type of memory that goes into
Speaker 5: these AI servers going to be twenty five billion next year.
Speaker 5: That's a great opportunity for us. We're going to do
Speaker 5: well in there. But the flips that and you'll remember
Speaker 5: we spoke about this yesterday was people were worried about
Speaker 5: what's going on in smartphones, people worried about what's going
Speaker 5: on in PC's, and Micron said, hey, no, we think
Speaker 5: it's going to be better than we had previously thought.
Speaker 5: Don't worry about it. So there's a kind of a
Speaker 5: double lift there.
Speaker 2: This has been a fast start to the show, a
Speaker 2: lot of breaking news. Let's take a pause and go
Speaker 2: back to basics. If I walked into a data center
Speaker 2: and I went up to a server rack, and I
Speaker 2: pulled out one of the trays i'd probably find right
Speaker 2: now at the center of it in Nvidia GPU. But
Speaker 2: what I'm trying to help our audience understand is that
Speaker 2: around the outside there would be half a dozen high
Speaker 2: bandwidth memory chips. And right now it seems like those
Speaker 2: high bandwidth memory chips are coming from Micron.
Speaker 5: Yeah, I mean, obviously you're very focused on this topic.
Speaker 5: Saying I'm a nerd, I will you said it now
Speaker 5: the absolutely big models, big data.
Speaker 6: Right.
Speaker 5: If the better they get, better that you give them
Speaker 5: more data. How do you get data fast? You put
Speaker 5: it in memory that's adjacent to those microprocesses. The more memory,
Speaker 5: the higher speed that memory we can talk to them,
Speaker 5: the better they get. Obviously, if you are the company
Speaker 5: that is leading the way in getting that memory development
Speaker 5: out there and getting that memory to these companies, you're
Speaker 5: doing well.
Speaker 2: Bloombergs and King across the breaking news on super micro
Speaker 2: and on Micron, there's actually a lot more happening in
Speaker 2: financial markets. This impacting the technology sector. I want to
Speaker 2: go out to New York and Bloomberg's Isabelle Lee, and
Speaker 2: it was really interesting at the open. I was oky
Speaker 2: at the NASDAK one hundred and like really big gain
Speaker 2: economic data, digesting the path forward for central banks. And
Speaker 2: then we kind of had a whimper with semiconductors still strong.
Speaker 3: What's the story behind that?
Speaker 7: Isabelle Wimber is definitely the right word, because, for instance,
Speaker 7: you see Micron at popped twenty percent, that's the largest
Speaker 7: one day against since twenty eleven. But now it's down
Speaker 7: or it's up still thirteen percent, but it's paired back
Speaker 7: some of those games, even the NASDAC and even the SMP,
Speaker 7: but it's still the name of the game. It's still
Speaker 7: tech because for instance, we have Nvidia, Taiwan Semiconductor and
Speaker 7: AMD all testing. There are two hundred day moving averages.
Speaker 7: So this is a bullish sentiment signal. Have the semiconductor
Speaker 7: ETF of VANK that's is twenty three billion semi coonductor ETF.
Speaker 7: It's hitting its highs in August and we're on track
Speaker 7: for its third straight week of inflows, meaning investors are
Speaker 7: piling money into that. So text still remains to be
Speaker 7: the big scene throughout these whole market rally, but it
Speaker 7: is losing some of its lester because we have the
Speaker 7: equal weighted SMP five hundred catching up. Month to day
Speaker 7: it's up around one point four and sm P five
Speaker 7: hundred and nastak is up around two percent, so you
Speaker 7: see some of those gains there. Even in video it's
Speaker 7: up around Isabelle and this month. But you're today that's one.
Speaker 2: Fifty Pelle New York man Eric Adams is speaking.
Speaker 3: You can shut you want with us, and it.
Speaker 8: Is first of all, I wanna thank you for being
Speaker 8: here this morning, and I wanna thank uh the supporters
Speaker 8: of all ethnic groups that I hear, particularly the men
Speaker 8: and women of the clergy that's here that have joined
Speaker 8: me here today.
Speaker 9: And we are not surprised. We expected this.
Speaker 8: This is not surprising to us at all, the actions
Speaker 8: that have unfolded over the last ten months. Yeah, it's
Speaker 8: the big leaks, the commentary, the demonize it. This did
Speaker 8: not surprise us that we reached this day. And I
Speaker 8: asked New Yorkers to wait to hear our defense before
Speaker 8: making any judgments. In about thirty minutes, you're going to
Speaker 8: hear his story of the case that In about thirty minutes,
Speaker 8: you're going to hear his story of the case that
Speaker 8: is in front of us. The story would come from
Speaker 8: the federal prosecutors, and I ask to wait and hear
Speaker 8: our side to this narrative. From here, my attorneys will
Speaker 8: take care of the case, so I can't take care
Speaker 8: of the city. My day to day will not change.
Speaker 8: I will continue to do the job for eight point
Speaker 8: three million New Yorkers that I was elected to do,
Speaker 8: and the three one hundred thousand plus employees of our
Speaker 8: city government will continue to do their jobs because this
Speaker 8: is what we do as New Yorkers. It's an insult
Speaker 8: to the hardrooking, pity people of the city that anyone
Speaker 8: would say that they won't do their jobs while this
Speaker 8: case proceeds in the background. They are dedicated public servant
Speaker 8: and I have been one of them for many years,
Speaker 8: and they're going to continue to do their job moving
Speaker 8: the city forward every day. All right, man, it's an
Speaker 8: unfortunate day, and it's a painful day. But inside of
Speaker 8: all of that, it's today where we will finally reveal
Speaker 8: why for ten months I have gone through this and
Speaker 8: I look forward to defending myself and defending the people
Speaker 8: of this city, as I've done throughout my entire professional career.
Speaker 8: I want to now turn it over to the person
Speaker 8: who started me on this journey, Covid Daughtry.
Speaker 9: Thank you, mister Mayor.
Speaker 10: You are Mayor.
Speaker 2: There was New York City Mayor Eric Adams speaking after
Speaker 2: being indicted on bribery and fraud charges. What he had
Speaker 2: to say that while the legal process and the cases ongoing,
Speaker 2: his day to day will not change. He talked about
Speaker 2: how in the spirit of being in New Yorker, the
Speaker 2: function of government, the function of administration of the city
Speaker 2: will continue.
Speaker 3: He will serve as mayor of.
Speaker 2: New York City, but also stated that he looks forward
Speaker 2: to defending himself against the charges being brought against him,
Speaker 2: the allegations of the indictment that are being brought against him.
Speaker 3: He is speaking at an event.
Speaker 2: Let's Get Out Now, to Bloomberg's David Gurra, who is
Speaker 2: out in New York and has been following not just
Speaker 2: the legal action but the response of the mayor.
Speaker 11: David, Yeah, I was struck by the tone from the
Speaker 11: mayor there, kind of mirroring what we heard from him
Speaker 11: last night when he released a short video statement from
Speaker 11: Gracie Mansion where he lives here in New York City,
Speaker 11: kind of decrying those charges first and foremost, but also
Speaker 11: vowing to fight them and really emphasizing it the fact
Speaker 11: that he thinks he's going to be able to do this,
Speaker 11: fight these charges as he continues as mayor of this city.
Speaker 11: There are a lot of skeptics, as he acknowledged in
Speaker 11: that statement and what we just heard from the Mayor
Speaker 11: this morning, who think that he isn't able to do that,
Speaker 11: shouldn't be able to do that.
Speaker 9: He's adamant that.
Speaker 11: Interestingly, he says he's been he's been fighting allegations like
Speaker 11: this or the spectru of these allegations for many months.
Speaker 11: He should be able to keep doing it going forward.
Speaker 2: Mayor Adams has resumed speaking, let's go back to.
Speaker 8: It good money.
Speaker 3: My name is Hazel Dukes.
Speaker 9: I live in Harlem.
Speaker 3: David.
Speaker 2: An issue of timing there for which I apologize, So
Speaker 2: you are saying please continue.
Speaker 1: Yeah.
Speaker 11: So I think that what we're going to be having
Speaker 11: to focus on here in the hours to come is
Speaker 11: what the response is from the Democratic Party to what
Speaker 11: the mayor is saying. So we have heard from some
Speaker 11: officials he is going to be in a primary in
Speaker 11: the next few months if he runs for office once
Speaker 11: again against the current comptroller and the previous Commontroller.
Speaker 1: Both of them have called upon him to resign.
Speaker 11: So there is a small and growing chorus of Democratic
Speaker 11: officials here in New York who are saying he shouldn't
Speaker 11: continue to do the job. We haven't heard from mckeim, Jefferies,
Speaker 11: the ranking member in the House of Brooklyn Night, like
Speaker 11: the mayor himself, somebody he's known for a very long time.
Speaker 11: If we start to see erosion and support from some
Speaker 11: of these kind of longtime.
Speaker 1: Officials in the Democratic Party.
Speaker 11: Yes, in New York, but more broadly, I think that's
Speaker 11: going to be pretty significant. And then it's a quirk
Speaker 11: of New York City and the way that this city
Speaker 11: is governed, in the state is governed that the governor
Speaker 11: of this state, Kathy Hopel, does have the power to
Speaker 11: suspend the mayor and remove the mayor. Now, nobody's having
Speaker 11: a serious conversation about that right now. However, we'll see
Speaker 11: sort of as this unfolds, if it's something that gets
Speaker 11: talked about more man certainly, this is something that the
Speaker 11: governor of the state could be able to do if
Speaker 11: she's so wanted.
Speaker 2: Bloomberg's David Gura in New York tracking the story, and
Speaker 2: we will continue to track the situations. We will be
Speaker 2: right back. This is Bloomberg Technology.
Speaker 3: If you're just joining us.
Speaker 2: New York Mayor Eric Adams has been speaking after being
Speaker 2: indicted on bribery and fraud charges. What he said is
Speaker 2: that he will defend himself against those charges, that in
Speaker 2: the meantime, while the case is ongoing, he will continue
Speaker 2: to perform the duties of mayor, and that the work
Speaker 2: of mayor will continue. A note of interest for our
Speaker 2: audience he has hired Alex Spiro, an attorney that audience
Speaker 2: members of Bloomberg Technology will recognize as somebody who has
Speaker 2: defended Elon Musk in the past. We will continue to
Speaker 2: track the latest from New York as Mayor Adam speaks,
Speaker 2: and we expect more news from the authorities in the
Speaker 2: coming hour. But Mayor Adams saying he will defend himself
Speaker 2: against those indictment charges. Okay, let's go back to technology news.
Speaker 2: Ireland is going to use almost the almost sixteen billion
Speaker 2: dollars Apple was made to pay to it in taxes
Speaker 2: for infrastructure projects. That's according to the nation's Prime minister.
Speaker 2: The sum of money is now settled after a recent
Speaker 2: ruling by EU courts enforcing a twenty sixteen decision that
Speaker 2: Ireland's tax policy for Apple gave it an unfair advantage.
Speaker 2: Irish Prime Minister Simon Harris outlined the plan for the
Speaker 2: cash in an interview with Bloomberg's Maniscranny in New York
Speaker 2: this week.
Speaker 12: I do think it's appropriate in our budget that we
Speaker 12: would provide clarity as to the principles we will apply
Speaker 12: as to how to invest it and let me let
Speaker 12: me assist in suggesting that I think those key areas
Speaker 12: are own water, our water infrastructure, our energy grid and
Speaker 12: housing supply. There are three areas that I think could
Speaker 12: could I suppose really give it a benefits to their
Speaker 12: countries at economic security into the future.
Speaker 2: Ireland relies heavily on foreign direct investment from the US,
Speaker 2: and a big chunk of that comes from big technology companies.
Speaker 2: This week, the country's Minister for Enterprise, Trade and Employment,
Speaker 2: Peter Burke, is meeting with the tech industry and investors
Speaker 2: on a trade mission here to Silicon Valley in the
Speaker 2: Bay Area. Who joins us here in San Francisco, Good
Speaker 2: morning and welcome to Bloomberg Technology Minister Marnie.
Speaker 9: Ed Great to be here.
Speaker 2: What's your colleague and nation's leader said about the Apple
Speaker 2: tax money is it will be used on water, energy
Speaker 2: and housing infrastructure.
Speaker 3: But the relationship with.
Speaker 2: Apple is so key in your meetings here with different
Speaker 2: technology companies. What have the repercussions of that ruling been.
Speaker 2: Has it impacted your ability to negotiate other deals and
Speaker 2: have an ongoing relationship with those companies interested in Ireland.
Speaker 6: Well, first of all, I'd say is that we don't negotiate.
Speaker 6: Deans have a very independent Revenue Commissioner. It hasn't been
Speaker 6: referenced at all. I think really people see it as
Speaker 6: a legacy issue. If we look back over time, these
Speaker 6: are two decisions taken back in the late nineties early
Speaker 6: two thousands in terms of advanced opinions that were issued,
Speaker 6: and if you look at the prism of our modern
Speaker 6: tax legislation, which has changed very significantly over the last
Speaker 6: number of years. We have been a world leader in
Speaker 6: the BETS and OECD process, obviously having that global taxation
Speaker 6: agreement worldwide and we're seeing the moves of Pillar one
Speaker 6: and Pillar two. Europe has been a very earlier adopter
Speaker 6: on that process. So it's really looked at the prism
Speaker 6: of all legacy issues and hasn't been raised at all
Speaker 6: because we're very much to the forefront as a country
Speaker 6: of transparency. We have one of the highest levels of
Speaker 6: exchange agreements throughout the EU. We have a number of
Speaker 6: international tax agreements as well, which is very much to
Speaker 6: the forefront worldwide. So we're a country that can stand
Speaker 6: shoulder to shoulder in terms of transparency and also very
Speaker 6: clearly that we have been a leader in going to
Speaker 6: the new global taxation of OCD process.
Speaker 3: Mister Beck and meet this week.
Speaker 2: I'm sure the election in November, the presidential election has
Speaker 2: come up in either outcome. Do you see any tangible
Speaker 2: impact to the trade and tariff situation as it would
Speaker 2: impact Ireland.
Speaker 9: Don't.
Speaker 6: We've worked with many US presidents over the years and
Speaker 6: we've had a very long standing close relationship. Obviously, ten
Speaker 6: percent of Americans have Irish heritage.
Speaker 9: We have nine diplomatic.
Speaker 6: Missions here in the US, which we've increased our footprints
Speaker 6: significantly over the last number of years, and we'll continue
Speaker 6: to do that because we have very strong cultural ties
Speaker 6: with the United States and obviously share so much heritage,
Speaker 6: and that will continue. Our diplomatic presidence is very strong.
Speaker 6: We're very privileged to have a stand alone engagement every
Speaker 6: single year in Saint Patrick's Day in the White House
Speaker 6: in Washington, and that's also very important.
Speaker 9: That will continue.
Speaker 6: And this year we're celebrating one hundred years of diplomatic
Speaker 6: relations and our t shock will be heading over to
Speaker 6: the White House to meet President Biden on that okase
Speaker 6: and to celebrate, absolutely, to celebrate what's wonderful we've being
Speaker 6: Irish and American and the great history we've had over
Speaker 6: the last number of decades.
Speaker 2: It's a big focus for this program. Bling Bow Technology
Speaker 2: for quite a while now has been data centers, and
Speaker 2: I understand it's been a focus for you as well.
Speaker 2: There's somewhat of a moratorium on data centers, particularly in
Speaker 2: Dublin itself. How is that impacting your ability to attract
Speaker 2: investment bring new data into infrastructure to the country, because
Speaker 2: that is the process that's happening around the world right now.
Speaker 6: So maybe if I just set out the background the
Speaker 6: first Well, there is a moratorium in our country with
Speaker 6: a very clear policy at the moment. We obviously have constraints,
Speaker 6: but going out to twenty thirty, like any country, we
Speaker 6: have a unique advantage now in terms of our energy capacity.
Speaker 6: We have a number of offshore regeneration projects that are
Speaker 6: under where were four contracts signed on the East Course
Speaker 6: that's going to have a capacity of about twenty gigawatts
Speaker 6: up to twenty forty. A lot of that would be
Speaker 6: delivered by twenty thirty. And the sense what we're doing
Speaker 6: now is we're setting out a roadmap to get to
Speaker 6: that point. So our independent regulator, the cru is currently
Speaker 6: going to report in the next number of weeks, which
Speaker 6: will have a very strong policy on large energy users
Speaker 6: and will point the direction towards giving them a roadmap
Speaker 6: of when they will be able to connect to the grid.
Speaker 9: So we're very much open for a business. We do
Speaker 9: know the value that.
Speaker 6: Data centers provide because with very agile economy, a very
Speaker 6: high tech economy, eight out of the top ten global
Speaker 6: leaders call Ireland their home. Obviously, about one hundred and
Speaker 6: seventy five thousand people employed in that sector, one hundred
Speaker 6: and eighty billions of exports, so huge, huge amount of
Speaker 6: value to Dirish economy. And obviously we know that data
Speaker 6: centers are very much key and integral to that process,
Speaker 6: and that's why we're going to have a sustainable policy
Speaker 6: to ensure that those who invest here there are no surprises,
Speaker 6: they know what they will get and we will continue
Speaker 6: to underwrite their development into the future.
Speaker 2: Minister, is there any specific plan to use the Apple
Speaker 2: tax money that is apportion to energy specifically for a
Speaker 2: center support in the context of energy.
Speaker 6: We're looking at a number of ways to really deploy
Speaker 6: that funding. Obviously, firstly, I would say as an economy,
Speaker 6: we've gone from about three and a half billion capital
Speaker 6: investments since twenty seventeen up to fourteen and a half
Speaker 6: billion euro now, so you have to look at the
Speaker 6: capacity of the economy to deliver infrastructure. So we have
Speaker 6: to be careful in that regard and we'll be looking
Speaker 6: at a number of areas.
Speaker 9: Firstly, obviously in terms.
Speaker 6: Of our grid and our energy infrastructure, which is very important.
Speaker 6: We want to keep competitive. We're the most competitive country
Speaker 6: in the Eurozone. We're number four in the Independent Competitive
Speaker 6: Yearbook out of sixty seven countries measured. But we're going
Speaker 6: to put a good bit into our grid and secondly
Speaker 6: our water and wastewater, which is very important to us,
Speaker 6: and keeping up our skills based because as a country,
Speaker 6: we're very clear that our talent is our most prized resource,
Speaker 6: our people and we have the most highly skilled.
Speaker 9: Youngest workforce in the EU.
Speaker 6: We have double the graduates of eight percent and ict
Speaker 6: double the EU average. And also pain down our debt
Speaker 6: and you know, looking at sovereign wealth funds.
Speaker 9: We have two particular funds.
Speaker 6: That we will invest significantly into which will underwright Ireland's
Speaker 6: future to grow, which is very important to us.
Speaker 2: Minister, we started this conversation saying you're on a trade
Speaker 2: mission so let's end it by asking how that's gone.
Speaker 2: Have you been able to attract any new investment this week?
Speaker 9: It's been very exciting.
Speaker 6: I've met so many companies, particularly in the Bay Area
Speaker 6: here who are at the very cutting edge of technology.
Speaker 6: We have a new implementation document with the Bay Area
Speaker 6: Council with John Randall Randolph and his team, we've put together,
Speaker 6: you know, tertiary partnerships with their higher education with Stanford
Speaker 6: and Trinity College and UCC in Cork. A lot of
Speaker 6: good work is being carried out to grow that relationship
Speaker 6: with about one hundred and sixty companies employing twenty five
Speaker 6: thousand people in operation where the seven largest investor Ireland
Speaker 6: are here, so it's very much a mutual by latter
Speaker 6: relationship as well as those who are employing so many
Speaker 6: people back home in Ireland. So I've met very exciting companies,
Speaker 6: really look forward to attracting new investment, but also critically
Speaker 6: Ireland investing more in this area as well because Enterprise
Speaker 6: Ireland one of our key state agencies, along with the
Speaker 6: ideas investing heavily in this sector through so many exciting
Speaker 6: companies with an Irish background.
Speaker 2: Ireland's Enterprise and Trade Minister Peter Burg, thank you very much.
Speaker 2: We will be right back. This is Bloomberg Technology. Welcome
Speaker 2: back to Bloomberg Technology, Ed Lovelow here in San Francisco.
Speaker 2: If you're seeing it for the first time. Financial markets
Speaker 2: have kind of changed direction in the last thirty minutes.
Speaker 2: We saw really significant early gains after the market open,
Speaker 2: particularly in tech. Then as that one hundred is now
Speaker 2: up modestly three ten to one percent. But where there
Speaker 2: is continued strength is in semiconductors. The socks, yes, but
Speaker 2: the main story there is Micron, a memory chip maker,
Speaker 2: and for all the data center investment that's happening, what
Speaker 2: we're now learning is that for the memory chip makers
Speaker 2: it's happening too. Yes, you're getting GPUs and money spent
Speaker 2: on Nvidia, but now Micron is seeing a benefit and
Speaker 2: that was reflected in the forecast for the current period
Speaker 2: where they're seeing sales I think eight point seven billion dollars.
Speaker 2: The street was looking for around eight point three. We'll
Speaker 2: continue to track it because that is a big move
Speaker 2: in Micron, at one stage in the session on track
Speaker 2: for its biggest jump since twenty eleven.
Speaker 3: And in the.
Speaker 2: Background, there's a lot more to talk about in the
Speaker 2: context of AI.
Speaker 3: Let's discuss it.
Speaker 2: Where I Ooko Yoshioka, portfolio manager at Wealth Enhancement Group,
Speaker 2: also a holder of shares of Meta, and I thought
Speaker 2: that's probably where we would start.
Speaker 3: Let's do that.
Speaker 2: Meta's now down modestly six tens of a percent, And
Speaker 2: while I was there at Menlo Park yesterday, there was
Speaker 2: a notable move higher the moment that Oryan was unveiled.
Speaker 2: Why did investors react that way?
Speaker 13: Sure?
Speaker 14: Hi ed good to see you, so, you know, orian
Speaker 14: was pretty interesting to see. You know, we're getting sort
Speaker 14: of closer and closer to the minority report moment. I
Speaker 14: think in real life, at least, that's what it seemed like.
Speaker 14: Just with the combination of the glasses as well as
Speaker 14: the wristband that can control or or sense a lot
Speaker 14: of the movements in terms of how you interact with
Speaker 14: the it was a really interesting time to see Meta
Speaker 14: and just their overall investments into AI and AR and
Speaker 14: just all the synergies you're seeing across the landscape.
Speaker 2: You and I have discussed the market so often, and
Speaker 2: we've often reflected that like one session is just not
Speaker 2: worth dwelling on often, but it is an interesting moment.
Speaker 2: Right now, Micron continues to push higher. There's evidence that
Speaker 2: it's broad. It's not just GPUs but high bandwidth memory
Speaker 2: as well. There's evidence in the forecast in sales. What
Speaker 2: does that tell you? You lead research at wealth enhancement groups,
Speaker 2: So how are you adjusting your model?
Speaker 14: Sure?
Speaker 3: So, you know, I.
Speaker 14: Think with the memory side of things, you know, they
Speaker 14: were going through an inventory cycle. You know, the nand
Speaker 14: side of things has been a lot softer over the
Speaker 14: last two years, and so now you're starting to see
Speaker 14: a little bit of a recovery on the nand side.
Speaker 14: And then you are seeing this growth vehicle with bandwidth memory.
Speaker 14: And so not only are you seeing it impact Micron,
Speaker 14: but you know, Land Research is a maker of a
Speaker 14: lot of the equipment that is for high bandwidth memory,
Speaker 14: and so you're seeing that potential growth in twenty twenty
Speaker 14: five and that can continue beyond twenty twenty five as well.
Speaker 2: The market's kind of got that trifecta this morning, economic data,
Speaker 2: central bank noise, and then earnings. Right now, for the
Speaker 2: technology investor, how do you apportion your focus to each
Speaker 2: of those?
Speaker 14: Sure? So, I think with technology we have to take
Speaker 14: a very long term view I mean, at least that's
Speaker 14: what we do here at Wealth Enhancement Group. Tech is
Speaker 14: going to be a part of every investor's sort of portfolio,
Speaker 14: but you balance it out with some of the more
Speaker 14: cyclical areas of the market in which we can see
Speaker 14: strength in the overall economy and those areas that are
Speaker 14: also sensitive to the direction of interest rates, which the
Speaker 14: FED does you know, control a lot of that. So
Speaker 14: you know, a very diversified portfolio is something that.
Speaker 1: We do advocate for.
Speaker 14: But you know, I think technology plays a big lead
Speaker 14: in that.
Speaker 2: Right now, what is the direction of travel for technology
Speaker 2: for the rest of this year. I'm asking you to
Speaker 2: give me your crystal bull prediction because.
Speaker 14: My crystal ball is always so clear, So you know,
Speaker 14: in terms of you know, for for the rest of
Speaker 14: the year, I think things can be choppy. But I
Speaker 14: think what you want to always lean into is, you know,
Speaker 14: what is going to help you sleep at night and
Speaker 14: what are the quality companies that allow for your portfolio
Speaker 14: to continue to grow, whether it's in technology or not.
Speaker 14: And I think that's where, you know, we want to
Speaker 14: make sure that regardless of what the macro environment gives us,
Speaker 14: we're you know, invested in companies that have high quality
Speaker 14: and strong growth prospects in the future.
Speaker 2: Right now, all our focuses on US names and the
Speaker 2: activities here, But do you ever look further afield iocode
Speaker 2: to Europe to Asia.
Speaker 14: Absolutely. I think having a diverse portfolio across the globe
Speaker 14: is something that we again advocate for, simply because you
Speaker 14: never know when things turn around. And you know, one
Speaker 14: of the major drivers is the direction of the US dollar,
Speaker 14: and we think that the US dollar can weaken a
Speaker 14: little bit here just given the direction of interest rates,
Speaker 14: and international and emerging market stocks can benefit, and again
Speaker 14: you know their valuations are very attractive relative to US markets.
Speaker 2: We expect to hear from the prosecutors in the indictment
Speaker 2: of New York Mary Adams very soon.
Speaker 3: We may have to move to that. But before we
Speaker 3: lose you, I want to ask you.
Speaker 2: Something that that other investors are now asking themselves. How
Speaker 2: important is it for you to get hands on with technology?
Speaker 2: If you think about what Meta showed us yesterday and
Speaker 2: I did with a Ryan with ray band Meta, but
Speaker 2: also using Meta aion device, is that something that informs
Speaker 2: your investment thesis by actually using the tech.
Speaker 14: I think both using it and seeing others use it
Speaker 14: and engage with it, because it's not just myself, but
Speaker 14: you know people across all age groups and demographics. I
Speaker 14: want to see exactly how people are engaging with the technology,
Speaker 14: and younger people are much more adapt to adopting some
Speaker 14: of the technology. But then you also want to see
Speaker 14: how can you know older people adapt to it as
Speaker 14: well and integrated into their lives, because that is going
Speaker 14: to provide a larger sort of market and better growth over.
Speaker 2: The long term. I think back to when you and
Speaker 2: I were discussing in videos earnings, and we remember the
Speaker 2: Capex story, but I think we've moved on.
Speaker 3: Ak Eshoko, thank you.
Speaker 2: Let's head out to a press conference where the prosecutors
Speaker 2: in the indictment of New York Merrick Adams are speaking.
Speaker 10: Peracy charges against Eric Adams, the mayor of New York City.
Speaker 10: As the indictment alleges Mayor Adams engage in a long
Speaker 10: running consprent year see in which he solicited and knowingly
Speaker 10: accepted illegal campaign contributions from foreign donors and corporations. As
Speaker 10: we allege, Mayor Adams took these contributions even though he
Speaker 10: knew they were illegal and even though he knew these
Speaker 10: contributions were attempts by a Turkish government official and Turkish businessmen.
Speaker 1: To buy influence with him. We also alleged that the
Speaker 1: mayor sought and accepted well.
Speaker 10: Over one hundred thousand dollars in luxury travel benefits from
Speaker 10: some of the same foreign actors who arranged many of
Speaker 10: the illegal campaign contributions. These benefits included free international business
Speaker 10: class flights and opulent hotel.
Speaker 1: Rooms in foreign cities. The mayor had a duty to
Speaker 1: disclose these.
Speaker 10: Gifts on his annual public disclosure forms so that the
Speaker 10: public could see who was giving him what, but as
Speaker 10: we allege, year after year after year, he kept the
Speaker 10: public in the dark. He told the public he received
Speaker 10: no gifts, even though he was secretly being showered with them.
Speaker 10: We alleged that Adams accepted these benefits knowing that they
Speaker 10: were given to him because of his position, and in
Speaker 10: exchange for some of those improper benefits, he intervened in
Speaker 10: the New York City Fire Department's inspection process for a
Speaker 10: building owned and operated by the Turkish government, allowing it
Speaker 10: to open even though it had.
Speaker 1: Not passed the fire inspection.
Speaker 10: The corruption allegend the indictment is as I said, long running.
Speaker 10: As we allegend, the indictment Adams's solicitation of illegal campaign
Speaker 10: contributions began in twenty eighteen. After he started raising funds
Speaker 10: for his twenty twenty one mayoral campaign. He agreed to
Speaker 10: take contributions offered by multiple Turkish businessmen, several of whom
Speaker 10: he met in Turkey. Adams knew that these wealthy individuals
Speaker 10: could not legally donate in the US election. Federal law
Speaker 10: clearly prohibits foreign donations. That's how we protect our elections
Speaker 10: from foreign influenceet Adams directed his staff to pursue this
Speaker 10: illegal money to support his campaign from mayor, and as
Speaker 10: we allege, Adams continued to pursue foreign money in secret
Speaker 10: well into twenty twenty one, and it didn't stop with
Speaker 10: his first campaign from mayor. As we allege, in twenty
Speaker 10: twenty three, the mayor rekindled these corrupt relationships, seeking more
Speaker 10: illegal campaign contributions from some of the same foreign sources
Speaker 10: to support his reelection campaign. Adams also took contributions that
Speaker 10: broke other laws. As we allege, he sought contributions from businessmen.
Speaker 1: Far in excess of what the law allowed.
Speaker 10: He also allegedly sought contributions from corporations, which are not
Speaker 10: allowed to contribute at all in New York City elections.
Speaker 10: Many of those illegal corporate contributions were organized by the
Speaker 10: same people who organized the illegal foreign contributions, and Adams
Speaker 10: allegedly disguised them all in the same way by accepting
Speaker 10: the money through so called straw downers. A straw downer
Speaker 10: contribute someone else's money, hiding the money's illegal source, such
Speaker 10: as a foreign businessman, a corporation, or a wealthy New
Speaker 10: Yorker who has already contributed the maximum amount allowed, And
Speaker 10: as we allege, Adams circumvented all of these laws, taking
Speaker 10: contributions from exactly the sources the law prohibits, all.
Speaker 1: To benefit his mayoral campaigns.
Speaker 10: Now, Adam's also personally benefited from the illegal conduct.
Speaker 1: A legend of the indictment, Adams solicited.
Speaker 10: And accepted over one hundred thousand dollars in luxury travel
Speaker 10: benefits four years from wealthy Turkish business people and at
Speaker 10: least one Turkish government official seeking to gain influence over him.
Speaker 10: Adams started accepting undisclosed luxury travel benefits at least as
Speaker 10: early as twenty sixteen. He took these benefits nearly every
Speaker 10: year through.
Speaker 1: Twenty twenty one.
Speaker 10: Here are some of the benefits that we uncovered during
Speaker 10: our investigation. In twenty sixteen, Adams flew to India through
Speaker 10: Turkey and received two free round trip upgrades for business
Speaker 10: class seats that's the highest class on Turkey's national airline.
Speaker 10: Those upgrades were worth more than twelve thousand dollars and
Speaker 10: none of it was publicly disclosed. In twenty seventeen, Adams
Speaker 10: accepted free business class tickets for himself and his travel
Speaker 10: companions to France, Turkey and China, and he was put
Speaker 10: up in the Bentley Suite in the Saint Regis Hotel
Speaker 10: in Istanbul. All of that was worth more than forty
Speaker 10: one thousand dollars and none of.
Speaker 1: It was publicly disclosed.
Speaker 10: Also in twenty seventeen, he flew to China again through
Speaker 10: Turkey and accepted two free business class tickets for himself.
Speaker 1: And a companion.
Speaker 10: Those were worth more than sixteen thousand dollars and none
Speaker 10: of it was publicly disclosed. In twenty eighteen, he flew
Speaker 10: to Hungary through Turkey and accepted free upgrades for business
Speaker 10: class seats. Those were worth more than twelve thousand dollars,
Speaker 10: and none of it was publicly disclosed.
Speaker 1: In twenty nineteen, he flew to Turkey and accepted.
Speaker 10: A free upgrade to business class for his companion in
Speaker 10: a free stay in a lavish suite at the Saint
Speaker 10: Regis Hotel in Istanbul that was worth more than nine
Speaker 10: thousand dollars, and again none of it was publicly disclosed.
Speaker 10: In twenty twenty one, Adams solicited business class tickets to Istanbul,
Speaker 10: stays at luxury hotels and resorts, yacht tours, and meals.
Speaker 10: As we allege, he asked to pay a nominal fee
Speaker 10: for all of this in order to disguise what we
Speaker 10: allege were in fact bribes. He canceled that trip at
Speaker 10: the very last minute, but the benefits that he solicited
Speaker 10: were worth more than twenty one thousand dollars. And later
Speaker 10: in twenty twenty one, Adams flew Taghana again through Turkey
Speaker 10: and accepted free business class ticket upgrades and other.
Speaker 1: Gifts while he was on a layover in Istanbul.
Speaker 10: Those benefits were worth more than twelve thousand dollars, and
Speaker 10: just like all the other benefits I've just run through.
Speaker 1: None of it was publicly disclosed.
Speaker 10: Now, I want to be clear, these upgrades and freebies
Speaker 10: were not part of some frequent flyer or loyalty program
Speaker 10: available to the general public.
Speaker 1: As we allege.
Speaker 10: This was a multi year scheme to buy favor with
Speaker 10: a single New York City politician on the rise, Eric Adams.
Speaker 1: Now, this is a.
Speaker 10: Chart with all of the undisclosed travel benefits that we
Speaker 10: uncovered during the investigation.
Speaker 1: We just listed all out here.
Speaker 10: You see the year twenty sixteen, twenty seventeen, twenty seventeen,
Speaker 10: twenty eighteen, twenty nineteen.
Speaker 1: And twenty the destination.
Speaker 10: India all the way to Ghana, the benefits, the free
Speaker 10: upgrades or free tickets altogether, the hotel stays.
Speaker 1: And the value.
Speaker 10: And if you just sum up all the dollar amounts here,
Speaker 10: you get to more than one hundred thousand dollars. And
Speaker 10: of course, as I said before, every single trip that
Speaker 10: we list here was undisclosed, as we allegend the indictment.
Speaker 10: In addition to not disclosing these benefits, Adams sometimes created
Speaker 10: fake paper trails to try to cover up the travel
Speaker 10: benefits he solicited and received.
Speaker 1: Let me give you one example.
Speaker 10: Adams wrote emails to his staff, suggesting he paid for
Speaker 10: his twenty seventeen business class flights on the Turkish Airline, when,
Speaker 10: as we allege, he did not.
Speaker 1: Those flights were worth a lot of money.
Speaker 10: Just one ticket alone costs more than ten thousand dollars,
Speaker 10: But months after taking the flights, Adams wrote an email
Speaker 10: to a staff member and told the staff member that
Speaker 10: he had left cash in her desk drawer and that
Speaker 10: she should send the money to the Turkish Airline to
Speaker 10: pay for a trip he had already taken.
Speaker 1: As the Indictmam makes clear, that's just a clumsy cover up. Now,
Speaker 1: just because.
Speaker 10: Adams received benefits for free, that doesn't mean that there
Speaker 10: weren't strings attached. As we allege, a particular Turkish government
Speaker 10: official behind many of the benefits Adams sought and accepted,
Speaker 10: gave Adams all these things to gain influence over him.
Speaker 1: We alleged that.
Speaker 10: Adams knew that and took the benefits anyway. We alleged
Speaker 10: that when the Turkish government official needed him, Adams also
Speaker 10: took corrupt official action in exchange for some of the
Speaker 10: luxury travel benefits. In twenty twenty one, the Turkish government
Speaker 10: official was trying to open a brand new high rise
Speaker 10: building in Manhattan that would house Turkey's consulate.
Speaker 1: There was significant time.
Speaker 10: Pressure because the Turkish official desperately needed the building to
Speaker 10: be open in time for a visit from Turkey's president.
Speaker 10: This building was important to the Turkish official, and it
Speaker 10: was important to Turkey, but the fd and y's fire
Speaker 10: safety professionals wouldn't let the building open because the building
Speaker 10: hadn't passed an inspection, and not just that, some of
Speaker 10: the people of fd and Y thought the building had
Speaker 10: so many issues and defects that the building was not
Speaker 10: safe to occupy. So the Turkish official sent word to
Speaker 10: Adams that it was quote his turn unquote to support Turkey,
Speaker 10: and as we allege, Adams delivered and pressure the fire
Speaker 10: department to let the building open. The NY professionals were
Speaker 10: convinced that they would lose their jobs if they didn't back.
Speaker 1: Down, and so they did. They got out of the
Speaker 1: way and let the building open. The Turkish official got what.
Speaker 10: He wanted, and, as we explained in the indictment, just
Speaker 10: four days after Adams held up his end of the bargain,
Speaker 10: he went right back to soliciting more travel benefits from
Speaker 10: the Turkish airline. Now, I want to make three things
Speaker 10: crystal clear. First, the conduct alleged in the indictment, the
Speaker 10: foreign money, the corporate money, the bribery, the years of
Speaker 10: concealment is a grave breach of the public's trust.
Speaker 1: Public office is a privilege.
Speaker 10: We alleged that Mayor Adams abused that privilege and broke
Speaker 10: the law, laws that are designed to ensure that officials
Speaker 10: like him serve the people, not the highest bidder, not
Speaker 10: a foreign bidder, and certainly not a foreign power. These
Speaker 10: are bright red lines, and we allege that the Mayor crossed.
Speaker 1: Them again and again for years.
Speaker 10: That is the only reason we are here today. Second,
Speaker 10: this investigation continues. We continue to dig and we will
Speaker 10: hold more people accountable, and I encourage anyone with information
Speaker 10: to come forward and to do so before it is
Speaker 10: too late.
Speaker 1: And Third, the Southern District.
Speaker 10: Of New York remains committed to rooting out corruption without
Speaker 10: fear or favor, and without regard to partisan politics. We
Speaker 10: are not focused on the right or the left. We
Speaker 10: are focused only on right and wrong. That is our
Speaker 10: duty and we will fulfill it.
Speaker 1: Now.
Speaker 10: Today's charges are the product of a tremendous partnership. I
Speaker 10: want to thank our partners at FBI and the New
Speaker 10: York City Department of Investigation who have been with us
Speaker 10: every step of the way. And finally, I want to
Speaker 10: commend the outstanding career prosecutors from SDN Y who are
Speaker 10: handling this case, Celia Cohen, Andrew Roorbach, Hagen Scotten, and
Speaker 10: Derek Wickstrom, and the chiefs of the pub Corruption Unit
Speaker 10: Laura Pomerantz and Robert Sobelman. It's now my pleasure to
Speaker 10: turn the podium over to FBI Assistant Director in charge
Speaker 10: James Denying.
Speaker 15: Good morning, and thank you for being here today. The
Speaker 15: indictment of a sitting mayor is not just another headline.
Speaker 3: It is a.
Speaker 15: Stinging reminder that no one is above the law or
Speaker 15: beyond reproach, and it serves as a sobering moment for
Speaker 15: all of us who place our trust in elected officials.
Speaker 15: Today's indictment sends a powerful message to every elected official
Speaker 15: in this country. Public service is a profound responsibility and
Speaker 15: should be a noble calling. When that's perverted by greed
Speaker 15: and dishonesty, it robs us of our trust. It's a
Speaker 15: pact between leaders and their communities built on the pillars
Speaker 15: of trust, accountability, and transparency. When that pact is broken,
Speaker 15: the consequences ripple far beyond one office or one election cycle.
Speaker 1: We know not all leaders are corrupt.
Speaker 15: We know there are countless public servants who wake up
Speaker 15: every day with the intention of doing.
Speaker 1: Right by their constituents.
Speaker 15: But we cannot ignore the shadow cast by moments like this.
Speaker 15: When trust is eroded, it takes years, sometimes decades to rebuild.
Speaker 1: The weight of.
Speaker 15: Today's actions falls not just on the indicted official, but
Speaker 15: on every other public official, who must now work harder
Speaker 15: to earn the public's confidence in them. It's important to
Speaker 15: remember accountability isn't just about punishing those with alleged wrongdoings.
Speaker 15: It's about lifting the communities they've let down. It's about rebuilding, restoring,
Speaker 15: and reimagining what public servants can and should do. It's
Speaker 15: up to us to demand more from our leaders, to
Speaker 15: hold them to the highest standards, and to remind them
Speaker 15: that the power of public office should.
Speaker 1: Never be abused.
Speaker 15: While some may be disappointed today, let me encourage you
Speaker 15: not to be defeated. The strength of our communities, our
Speaker 15: faith in one another, and our collective resilience are far
Speaker 15: greater than the alleged failings of anyone individual. In closing,
Speaker 15: I'd like to thank the US Attorney for the Southern
Speaker 15: District of New York, Damien Williams and his office, Commissioner
Speaker 15: Joshlyn Strauber, and the New York City Department Investigation and
Speaker 15: her team, as well as my team, the Public Corruption
Speaker 15: Squad here at FBI New York.
Speaker 1: Thank you.
Speaker 10: I'd like to welcome up Commissioner Jocelyn Strauber from the
Speaker 10: New York City Department of Investigation.
Speaker 9: Thank you, Damien.
Speaker 1: Good morning.
Speaker 13: Today, for the first time in New York City's modern history,
Speaker 13: we announced criminal charges against the City Mayor of New
Speaker 13: York City. As our highest elected official, the mayor should
Speaker 13: set the standard for all of city government and exemplify
Speaker 13: the integrity, transparency, and dedication to serving the public that all.
Speaker 1: New Yorkers deserve.
Speaker 9: Instead.
Speaker 13: The indictment, unsealed today, alleges that Mayor Adams abused his
Speaker 13: power and position for nearly a decade as Brooklyn Borough
Speaker 13: President and as mayor to enrich himself and his mayoral campaigns.
Speaker 13: As charged, he sought and received illegal campaign contributions, luxury travel,
Speaker 13: and other personal benefits from foreign nationals, as well as
Speaker 13: individuals and businesses. He allegedly took steps to conceal those
Speaker 13: illegal contributions and personal benefits, and involved city employees and
Speaker 13: campaign staff in that concealment. As the indictment explains, this
Speaker 13: kind of corruption has real costs to the city and
Speaker 13: to the public. As alleged, the mayor's twenty twenty one
Speaker 13: campaign falsely certified compliance with campaign finance laws in order
Speaker 13: to conceal those illegal campaign contributions, and as a result
Speaker 13: of those false certifications, received over ten million dollars.
Speaker 1: In public matching funds.
Speaker 13: The Mayor's alleged acceptance and concealment of illegal contributions and
Speaker 13: personal benefits gave overseas benefactors, wealthy individuals and businesses undue
Speaker 13: influence over the mayor, influence that federal and local laws
Speaker 13: seek to prevent, and as charged in exchange for certain
Speaker 13: personal benefits, the mayor pressured the New York City Fire
Speaker 13: Department to forego a required fire safety inspection before the
Speaker 13: opening of the new Turkish Consulate building. As the city's
Speaker 13: inspector General, the Department of Investigation, a city agency, conducts
Speaker 13: its investigations confidentially and wholly independent of city Hall. He
Speaker 13: handled this investigation as we would any other, following the
Speaker 13: facts and seeking to hold wrongdoers accountable, no matter their
Speaker 13: role or title. Our unique access to city records and
Speaker 13: expertise in matters of city government make us a critical point.
Speaker 2: We've been listening to Damian Williams, the US Attorney in
Speaker 2: Manhattan for the Southern Districts of New York. On your
Speaker 2: screen is Jocelyn Strauber, the New York Director of the
Speaker 2: Investigations Commission, alongside James Denahey, who's the Assistant Director in
Speaker 2: charge of the New York Field Office of the FBI,
Speaker 2: and they have been discussing the indictment charges of fraud
Speaker 2: of bribery against New York City Mayor Eric Adams. Bloomberg's
Speaker 2: David Gura has been tracking the press conference. They've explained
Speaker 2: the charges, David, Yeah, and.
Speaker 11: I noted that each of them emphasized the fact that
Speaker 11: while this is the first time a sitting mayor of
Speaker 11: New York City has been indicted, that didn't color the
Speaker 11: way that they approached this particular case and what they've
Speaker 11: alleged here.
Speaker 9: So just to sort of tick.
Speaker 11: Through what we've learned over the course of this press conference,
Speaker 11: and also from that indictment itself, we see the mayor
Speaker 11: having played fast and loose with campaign finance laws. Yes,
Speaker 11: well he's been the mayor, but also before that, Damian Williams,
Speaker 11: the US Attorney for the Southern District, stressing this goes
Speaker 11: back to this time as the Brooklyn Borough President before
Speaker 11: he became the mayor. And really what this centers on
Speaker 11: are these kind of straw donations. So what you were
Speaker 11: hearing there just a moment ago, is how this played
Speaker 11: out in New York City. There is something here where
Speaker 11: if you or I or someone else gave money to
Speaker 11: a candidate, that would be matched by the city by
Speaker 11: eight to one ratio. So your dollar is worth eight
Speaker 11: and that's to encourage more small dollar dollar donations in
Speaker 11: our elections here. Effectively, what they're alleging is is that
Speaker 11: Eric Adams was taking big contributions from both corporations and
Speaker 11: the Turkish government, putting them through that matching program and
Speaker 11: getting a lot more money as a result. And then
Speaker 11: there is the more salacious counts of how he exploited
Speaker 11: his relationship with Turkish officials, both private and public, to
Speaker 11: get a whole lot of luxury travel. And we can
Speaker 11: talk more about this d but what stood out to
Speaker 11: me is just how much he used is teanbul as
Speaker 11: a conduits to sort of fly through go through on
Speaker 11: these trips abroad, and as Damian Williams there, the prosecutor said,
Speaker 11: got really tens of thousands of dollars worth of benefits
Speaker 11: luxurious travel benefit as a result of those relationships.
Speaker 2: We have sixty seconds in the program, but before the presser,
Speaker 2: Mayor Eric Adams did speak.
Speaker 3: What did he say.
Speaker 11: He denied his allegations so they were based on lies,
Speaker 11: and vowed to fight them. And you've pointed out here
Speaker 11: that he's hired some very high profile council Alex Spiro rather,
Speaker 11: who represents Elon Musk, has represented him in a lot
Speaker 11: of matters, is going to be representing here as well.
Speaker 11: He is adamant, the mayor is adamant he can continue
Speaker 11: in that job as he fights.
Speaker 9: Aliva said, We'll see.
Speaker 11: How that plays out and how the democratic establishment in
Speaker 11: the city and the state responds to what we've learned
Speaker 11: this morning.
Speaker 2: Yeah, what some of you said, they're interesting on Alex Spiro,
Speaker 2: that is an attorney that Elon Musk has used regularly
Speaker 2: in all sorts of litigation. Mayor Eric Adams has turned
Speaker 2: to him on this occasion, bloom makes.
Speaker 3: David Gura, thank you. We will stick with this story.
Speaker 2: More on the investigation and any market moves behind it
Speaker 2: throughout the day here on Bloomberg Television. New York Mayorrick
Speaker 2: Adams indicted on fraud and bribery charges.
Speaker 3: This is Bloomberg