WEBVTT - SEC to Demand More Transparency From China 0:00:01.800 --> 0:00:04.440 This is Bloomberg Business Week. I'm Carol Masser and I'm 0:00:04.480 --> 0:00:07.280 Bloomberg Quick Takes Tim Stanovk. We're here every day bringing 0:00:07.320 --> 0:00:09.840 you the latest news from the world to business and finance, 0:00:09.840 --> 0:00:13.680 plus technology, politics, economics, all purtnising the power of Business 0:00:13.680 --> 0:00:17.160 Week reporters and editors, not to mention our journalists and 0:00:17.160 --> 0:00:20.000 analyst in more than one twenty countries. You can download 0:00:20.000 --> 0:00:23.239 Bloomberg Business Week and iTunes, SoundCloud, or Bloomberg dot Com. 0:00:23.400 --> 0:00:25.200 You can also listen to our radio show at two 0:00:25.200 --> 0:00:27.880 pm Eastern Time on Bloomberg Radio or watch us on 0:00:27.920 --> 0:00:34.360 YouTube search Bloomberg Global News. We continue to be reminded 0:00:34.360 --> 0:00:37.280 by many headlines that we are still in a health crisis, 0:00:37.280 --> 0:00:40.240 a health pandemic, and among the headlines that we're really 0:00:40.240 --> 0:00:43.720 watching out for and monitoring today, as we had Israel 0:00:43.800 --> 0:00:46.839 lowering the minimum age for boosters to thirty from forty, 0:00:46.880 --> 0:00:50.440 German Chancellor Angela Merkel coming out saying measures currently in 0:00:50.479 --> 0:00:53.800 place to curb the virus remained sufficient, even as infection 0:00:53.880 --> 0:00:55.760 numbers tied to the spread of the Delta varritor on 0:00:55.800 --> 0:00:58.120 the rise and the number of UK workers going to 0:00:58.200 --> 0:01:01.480 the office that's increasing. We're tracking that really closely, and 0:01:01.520 --> 0:01:04.440 then traffic on China's typically busy streets that has shown 0:01:04.480 --> 0:01:07.520 some signs of recovery after the country quashed a resurgence 0:01:07.880 --> 0:01:10.720 in COVID cases. And there's also a study out saying 0:01:11.000 --> 0:01:14.800 India may face an unprecedented six hundred thousand new infections 0:01:14.800 --> 0:01:17.480 a day if the nation fails to boost the pace 0:01:17.600 --> 0:01:20.120 of shots. So that's some of the key headlines. I 0:01:20.120 --> 0:01:23.039 also want to point out that Dr Anthony Faucci, of course, 0:01:23.440 --> 0:01:25.759 one of the voices that we've turned to increasingly, of course, 0:01:26.480 --> 0:01:29.760 over the course of the pandemic is White House COVID 0:01:29.760 --> 0:01:33.600 advisor Dr Anthony Faucci. He had some comments on MSNBC 0:01:33.760 --> 0:01:37.120 earlier today on what a third vaccine may mean. Listen up. 0:01:37.800 --> 0:01:42.280 So we may not have to get a variant specific boost. 0:01:42.680 --> 0:01:46.320 We're preparing for it, we're doing clinical trials with it. 0:01:46.720 --> 0:01:50.040 But the data that we've seen right now indicate that 0:01:50.080 --> 0:01:53.920 we may be able to get a good response that 0:01:54.040 --> 0:01:57.640 covers the boosts by the original VEXX, that covers the 0:01:57.720 --> 0:02:01.200 variance excuse me, by the by the original vaccine that 0:02:01.240 --> 0:02:05.440 we got. I believe it's entirely conceivable that this third 0:02:05.560 --> 0:02:10.440 dose superimposed upon the two doses of MODERNA and FISA 0:02:11.000 --> 0:02:15.760 very well may allow for a rather prolonged period of protection. 0:02:16.400 --> 0:02:18.960 And that, of course is Dr Anthony Fauci, White House 0:02:18.960 --> 0:02:22.880 COVID Advisor, speaking earlier on MSNBC. And what's interesting is 0:02:23.200 --> 0:02:25.600 there have been many from the medical community thinking that 0:02:25.639 --> 0:02:28.440 we might need to get a COVID booster shot every year, 0:02:28.480 --> 0:02:30.840 just like many of us get a flu shot. So 0:02:30.919 --> 0:02:34.880 that comment from Dr faucing that observation could maybe change 0:02:34.919 --> 0:02:37.919 things going forward. All of this happening when we've got 0:02:37.960 --> 0:02:41.760 cases topping two hundred twelve point seven million deaths passing 0:02:41.800 --> 0:02:44.799 four point four million. These are global numbers. And as 0:02:44.840 --> 0:02:48.040 for the vaccine, more than four point nine billion doses 0:02:48.280 --> 0:02:52.160 have been administered so far. Alright, So a lot going on, 0:02:52.280 --> 0:02:53.720 and we know it's not a straight line when it 0:02:53.760 --> 0:02:56.560 comes to moving beyond this crisis. Back with us as 0:02:56.639 --> 0:02:59.360 Dr Vino Pali, He's founder and CEO of My Doctor, 0:02:59.440 --> 0:03:02.000 Urgent k are also the chief COVID vaccine officer at 0:03:02.000 --> 0:03:04.360 My Doctor with us once again on the phone in 0:03:04.400 --> 0:03:06.839 New York City. Dr Paley, good to have you back 0:03:06.880 --> 0:03:09.800 here on Bloomberg Radio. How are you and give us 0:03:09.800 --> 0:03:12.520 an update on the COVID cases that you are seeing currently. 0:03:14.400 --> 0:03:20.320 Hi Carol, great to be a view, Yes, doing great. Uh, definitely, 0:03:20.520 --> 0:03:23.360 COVID case of been going up with the Delta variant. 0:03:23.680 --> 0:03:26.839 We're in New York City, will be a very diverse population. 0:03:27.360 --> 0:03:31.640 Although we have very good vaccination numbers in New York City, 0:03:31.960 --> 0:03:34.000 we still have a certain percentage of people who are 0:03:34.080 --> 0:03:37.600 not vaccinated. So we are seeing these cases both in 0:03:37.640 --> 0:03:40.880 the y are in in the claim the origin care 0:03:41.680 --> 0:03:44.840 is anything different from the first or second or third 0:03:44.840 --> 0:03:47.480 way that we've seen of COVID cases as a result 0:03:47.560 --> 0:03:53.200 of the variant. The Delta variant is something different. So 0:03:53.520 --> 0:03:57.000 Delta VATAN definitely presents a little bit different presence with 0:03:57.160 --> 0:04:01.600 more flue license and school license and um. And of 0:04:01.640 --> 0:04:05.800 course it's highly contagious as we know. Unlike the first 0:04:05.840 --> 0:04:09.200 two of the Alpha variant. Maybe you saw a loss 0:04:09.200 --> 0:04:12.080 of smell and taste, you don't see as much with 0:04:12.120 --> 0:04:14.840 the Delta variant. But definitely it's a little bit different 0:04:14.920 --> 0:04:20.520 presentation and it affects more severely and unvaccinated folks. How 0:04:20.560 --> 0:04:21.760 do you well, First of all, I want to ask 0:04:21.800 --> 0:04:23.520 you demographics. I know some of the things that we've 0:04:23.520 --> 0:04:26.800 seen it's been younger individuals. I'm curious if you're seeing 0:04:26.800 --> 0:04:28.680 some of that as well. I also read something I 0:04:28.680 --> 0:04:32.080 think it was yesterday about pregnant women in some areas 0:04:32.160 --> 0:04:35.359 because they haven't gotten the vaccine UM leading to some 0:04:35.440 --> 0:04:40.920 really serious outcomes. Right, So, so, so we do know that, 0:04:41.240 --> 0:04:44.440 uh for first, let me talk about the pregnant folks. 0:04:45.080 --> 0:04:49.200 We do know that COVID affects pregnant people differently that 0:04:49.360 --> 0:04:53.520 at the higher risk of severe illness, hospitalizations, going on 0:04:53.640 --> 0:04:58.839 a ventilator, or even UH directors for death. UM. You 0:04:58.920 --> 0:05:03.160 know that from initial data. We also know that COVID 0:05:03.240 --> 0:05:08.520 causes pe term UH, pe term labor um and other 0:05:08.600 --> 0:05:15.040 adverse events. So vaccinating pregnant women is definitely helpful and 0:05:15.080 --> 0:05:18.360 there is no safety issues that we have seen from 0:05:18.360 --> 0:05:21.280 the data that we have so far. So currently CDC 0:05:21.480 --> 0:05:26.680 is recommending pregnant folks get vaccinated and even UM mothers 0:05:26.920 --> 0:05:31.080 of our best meeting their infant should get vaccinated. Let's 0:05:31.120 --> 0:05:35.200 talk about younger, young younger folks that you ask Carold. Definitely, 0:05:35.320 --> 0:05:40.159 the hospitalization and hospitalizations have gone up, infection grades have 0:05:40.360 --> 0:05:43.680 gone up in younger folks now, so I think it's 0:05:43.680 --> 0:05:48.000 a perfect timing to vaccinate children, you know, especially truland 0:05:48.080 --> 0:05:51.920 over as CDC has recommended, So we need to move 0:05:51.920 --> 0:05:55.919 forward with vaccinating children as well. A lot of paper 0:05:55.960 --> 0:05:58.960 parents are hesitancy wanted to look at data now that 0:05:59.240 --> 0:06:03.360 stas a group of FISER vaccine. I think the parents 0:06:03.360 --> 0:06:06.400 should be encouraged to vaccinate their cares well. And how 0:06:06.400 --> 0:06:09.040 do you see the FDA full approval of the FISER 0:06:09.080 --> 0:06:12.520 by in tech vaccine. How do you see that may 0:06:12.520 --> 0:06:15.840 be really helping the situation and encouraging those who may 0:06:15.839 --> 0:06:18.159 be decided not to get the vaccine as of yet 0:06:18.320 --> 0:06:19.840 to maybe go out and get it. Are you seeing 0:06:19.839 --> 0:06:23.080 any signs of it um impacting the number of people 0:06:23.080 --> 0:06:28.279 getting that vaccine. I think it's definitely going to persuade people, 0:06:28.600 --> 0:06:30.760 people who are hesitantly, you know, as we know that 0:06:30.839 --> 0:06:35.279 thirty of unvaccinated folks in surveys up said that they 0:06:35.320 --> 0:06:40.520 would get the vaccine. Fau A grouse to vaccines completely, 0:06:40.839 --> 0:06:45.359 not just emergency authorization, So so I think that should 0:06:45.400 --> 0:06:48.279 persuade more people to come forward. And in our own 0:06:48.279 --> 0:06:54.200 clinics we're seeing people making more appointments to get vaccines. Now, yeah, 0:06:54.200 --> 0:06:56.920 I feel like it's it's and I know I think 0:06:56.960 --> 0:06:59.560 Dr Facci made some comments I was reading in earlier 0:06:59.600 --> 0:07:04.400 today about expectations for the Maderna vaccine to get FDA 0:07:04.520 --> 0:07:06.520 full approval, and I think the J and J vaccine 0:07:06.560 --> 0:07:13.440 as well. Can you, with any uh confidence, look ahead 0:07:13.480 --> 0:07:16.120 to six months, eight months or something and say it 0:07:16.200 --> 0:07:19.440 will feel a lot more normal It does already compared 0:07:19.480 --> 0:07:22.280 to a year ago, obviously, But I just wonder what 0:07:22.400 --> 0:07:25.080 kind of visibility do you feel like you have when 0:07:25.120 --> 0:07:27.560 you look out at what we've come through, where we 0:07:27.600 --> 0:07:31.840 are today, and where we might be going. I think 0:07:32.560 --> 0:07:36.480 we'll definitely we're definitely going in the right direction. In 0:07:36.520 --> 0:07:41.160 adding these appear of food vaccines with more modern engage 0:07:41.360 --> 0:07:44.000 coming out in a few months or probably end up 0:07:44.000 --> 0:07:48.040 in September October. I think it's going to boost more 0:07:48.120 --> 0:07:52.920 confidence and people getting vaccinated. Uh. I think as we 0:07:53.120 --> 0:07:58.480 increase numbers in terms of vaccination, we should be able 0:07:58.560 --> 0:08:01.600 to see less number of case and hopefully we'll get 0:08:01.600 --> 0:08:05.360 back to some semblance of normalcy. But at the same time, 0:08:05.400 --> 0:08:08.320 I think we shouldn't forget some of the public health measures, 0:08:08.400 --> 0:08:13.160 especially in large gatherings schools, where you should still continue 0:08:13.160 --> 0:08:16.680 to wear masks and protect yourself, and I think combining 0:08:16.760 --> 0:08:20.840 all these measures with the vaccination is definitely I think 0:08:21.400 --> 0:08:23.560 we're going to have a pasty outlock. We're talking with 0:08:23.680 --> 0:08:26.640 Dr Polly, He's founder and CEO at my Doctor Urgent 0:08:26.720 --> 0:08:28.480 Care with us on the phone in New York City. 0:08:28.800 --> 0:08:31.240 Dr Polly, you are on the front line. You're seeing 0:08:31.760 --> 0:08:35.439 COVID cases, You're seeing treatment, You're seeing the trends as 0:08:35.440 --> 0:08:37.560 they go up and they go down depending on where 0:08:37.559 --> 0:08:40.199 we are in this health crisis. You've also gone out 0:08:40.240 --> 0:08:44.559 to communities to talk to people who are among the unvaccinated. 0:08:44.800 --> 0:08:46.760 Tell me about some of those experiences and whether or 0:08:46.800 --> 0:08:49.240 not you're able to to to to, you know, convince 0:08:49.280 --> 0:08:54.120 people to to actually get the vaccine. Absolutely. You know, 0:08:54.920 --> 0:08:59.960 vaccine hesitancy and vaccine lest information has been another epidemic 0:09:00.040 --> 0:09:04.000 that we're dealing within this pandanic So we do to 0:09:04.160 --> 0:09:07.600 go out into the community talk to folks. I know, 0:09:07.840 --> 0:09:11.440 especially in New York City, you have several African American folks, 0:09:11.800 --> 0:09:14.480 Hispanic folks who are very healthy tom to get vaccine, 0:09:14.679 --> 0:09:17.119 and we have several examples where we have to continuously 0:09:17.160 --> 0:09:21.360 go and educate them about the safety and efficacy. UM 0:09:21.400 --> 0:09:24.400 So we we've we've definitely seen positive impact of that 0:09:25.040 --> 0:09:27.840 and people coming to the clinic and making appointments and 0:09:27.880 --> 0:09:32.200 getting vacant. There's still a small percentage who are on 0:09:32.400 --> 0:09:35.880 the who are still on the boarder whether to get 0:09:35.960 --> 0:09:39.360 vaccine or not. And I hope the fd a fluel 0:09:39.920 --> 0:09:44.160 in a fluing booster shock might help them with their 0:09:44.200 --> 0:09:47.720 confidence in getting vaccination. Yet yeah, no, And I am 0:09:47.720 --> 0:09:51.040 curious about you know, when people is it just when 0:09:51.080 --> 0:09:53.040 they say this is why I'm not getting it. Is 0:09:53.040 --> 0:09:56.400 it because the approval or is there something else going on? Uh, 0:09:56.440 --> 0:09:59.320 in terms of their thinking and they're how they're coming 0:09:59.320 --> 0:10:04.920 to conclude 's about the vaccine when you have those conversations, 0:10:04.960 --> 0:10:07.800 some people were waiting for their proval. But there's there's 0:10:08.000 --> 0:10:11.680 a small fraction of people that you know, don't believe 0:10:11.720 --> 0:10:15.720 that COVID actually exists, and that's kind of sad. And 0:10:15.800 --> 0:10:19.600 I think there's so much misinformation about that on social 0:10:19.600 --> 0:10:25.600 media that is somewhat difficult to combat. But hopefully tide 0:10:25.640 --> 0:10:29.920 will turn over and people um will see the truth 0:10:30.000 --> 0:10:34.520 and and the scientific facts that you're presenting, and hopefully 0:10:34.600 --> 0:10:37.000 they will also be converted. But I think what we 0:10:37.080 --> 0:10:40.640 need is the majority of the population to be vaccinated 0:10:40.679 --> 0:10:44.600 to get to that herd immunity. Uh. And hopefully you know, 0:10:44.640 --> 0:10:48.079 other countries are able to vaccinate their own people so 0:10:48.480 --> 0:10:53.800 we can prevent mutake further mutations of the squireus. Interestingly enough, 0:10:54.120 --> 0:10:57.240 uh and not surprising, we've seen the debate about masks 0:10:57.240 --> 0:11:01.720 still playing out, especially among the names school systems, especially 0:11:01.720 --> 0:11:04.600 at schools start to Some have already reopened, specially in 0:11:04.640 --> 0:11:07.040 the South, but as they opened here in the Northeast 0:11:07.080 --> 0:11:10.520 as well, South Carolina's second larger school system, they inserted 0:11:10.559 --> 0:11:13.880 them their self itself into the center of that debate 0:11:14.080 --> 0:11:16.480 last week when it voted by a landslide to mandate 0:11:16.520 --> 0:11:19.720 face masks, so they defied the state's ban on such measures. 0:11:19.760 --> 0:11:22.840 As the delta spread continued in the South. What are 0:11:22.880 --> 0:11:26.720 you anticipating as we are fully back to schools in 0:11:26.800 --> 0:11:30.400 the fall, especially among many kids who are not yet vaccinated, 0:11:31.040 --> 0:11:36.240 should we expect to see an uptick in cases? Carol? 0:11:36.520 --> 0:11:40.280 I'm going to tellious sciences with us right, masking just 0:11:40.400 --> 0:11:47.079 based on scientific back So definitely of schools or parents 0:11:47.160 --> 0:11:54.320 or teachers don't follow these masking mandates or recommendations, well, definitely, 0:11:54.360 --> 0:11:57.840 do you see uptake in schools and certain communities and 0:11:57.960 --> 0:12:01.920 certain states like the states who are men sing um um. 0:12:01.960 --> 0:12:06.360 I think people need to understand vaccination alone is not 0:12:06.480 --> 0:12:10.160 going to solve the problem. Especially vaccines are not a 0:12:10.280 --> 0:12:14.120 group for kids below twelve years, so so we really 0:12:14.160 --> 0:12:18.400 need to follow other public help measures, especially masking. You know, 0:12:18.440 --> 0:12:21.760 it's interesting, I'm thinking where I was a year ago 0:12:21.960 --> 0:12:24.199 and how things were feeling, and you know, we were 0:12:24.200 --> 0:12:26.240 coming up the summer where things started to feel better, 0:12:26.280 --> 0:12:28.520 and then we all of a sudden came into the 0:12:28.520 --> 0:12:31.400 fall in the winter and we knew things got worse again. 0:12:31.520 --> 0:12:35.360 Are we in a different place twelve months later because 0:12:35.400 --> 0:12:40.280 of the vaccine? I think we your but will be 0:12:40.320 --> 0:12:44.400 in a better place probably next year once we get 0:12:44.400 --> 0:12:47.400 the majority of people vaccinated. You know, you're right, You're 0:12:47.440 --> 0:12:50.760 absolutely like Hett when you said you know things were 0:12:50.800 --> 0:12:54.920 getting better, but also said I think we be a 0:12:55.160 --> 0:12:59.640 somewhat prematurely. We drew some of the public health measures. Uh. 0:13:00.320 --> 0:13:04.440 All this mixing up vaccinated and unvaccinated folks and the 0:13:04.520 --> 0:13:08.160 deltivating is coming in change the entire dynamic. But I 0:13:08.200 --> 0:13:10.319 think that the good news right now is two things. 0:13:10.640 --> 0:13:14.400 The approval of fighter vaccine and the booster vaccine. So 0:13:14.440 --> 0:13:17.600 I think we will be in a we will definitely 0:13:17.600 --> 0:13:20.680 be in a better place, um like fun next summer, 0:13:21.520 --> 0:13:23.920 right next summer. Uh. And I am curious to what 0:13:24.000 --> 0:13:26.840 you think about You know, we kicked this off earlier. 0:13:26.920 --> 0:13:30.480 We mentioned Dr Anthony Faucci, obviously a go to voice 0:13:30.520 --> 0:13:33.360 throughout this pandemic, and talking about a third vaccine and 0:13:33.360 --> 0:13:35.320 what it may mean, and that I think we were 0:13:35.520 --> 0:13:38.400 Dr Paley believing that we would be needing to get 0:13:38.400 --> 0:13:40.920 a booster perhaps every year, just like we get a 0:13:40.960 --> 0:13:45.960 flu shot to deal with COVID specifically, and Anthony Fauci, 0:13:46.080 --> 0:13:48.719 Dr Anthony Fauci now saying maybe we don't need that, 0:13:48.800 --> 0:13:51.960 maybe that that third booster shot will do enough to 0:13:52.080 --> 0:13:56.040 boost our immunity for a longer period of time. What 0:13:56.120 --> 0:14:00.800 are the conversations that you're having among your medical pers uh, 0:14:00.840 --> 0:14:03.200 and what you're seeing and reading? How do you how 0:14:03.240 --> 0:14:06.880 do you think about that? So? So I think so 0:14:07.080 --> 0:14:09.920 the question is the void is schoosed to do and 0:14:10.040 --> 0:14:13.600 it's basically dropping off the immunity that we've already gotten 0:14:13.679 --> 0:14:18.239 from two shots. So it's adding additional layer and probably 0:14:19.080 --> 0:14:21.760 you know, expanding it to further a few more months 0:14:22.240 --> 0:14:27.080 or hopefully to uh near completely here. So it all 0:14:27.200 --> 0:14:30.040 depends on what this virus is going to do. I think, 0:14:30.040 --> 0:14:32.520 what conditions are going to present to this virus. If 0:14:32.520 --> 0:14:36.080 it's mutates into a different variant or more virial and 0:14:36.120 --> 0:14:39.000 more contagious medium, of course we will need a booster, 0:14:39.320 --> 0:14:43.440 and we might even need a mutation specific booster. So 0:14:43.560 --> 0:14:47.280 right now, the current vaccines that we have are very 0:14:47.280 --> 0:14:51.280 effective against delta variant. But let's say, for you know, 0:14:51.440 --> 0:14:55.040 if things are not done right, uh, you know, with 0:14:55.080 --> 0:14:58.720 all these masking mandates, if you're not calling public health measures, 0:14:58.840 --> 0:15:01.920 if not enough people are vaccine needed, the virus will 0:15:01.960 --> 0:15:05.800 have chance to mutate more and become more virulent, and 0:15:05.840 --> 0:15:08.760 then of course we'll have to then think about actional booster. 0:15:09.120 --> 0:15:11.960 But time will tell. I don't think we can predict 0:15:12.440 --> 0:15:15.360 right now if you need it nearly vaccine or not. 0:15:15.880 --> 0:15:19.760 Hopefully I hope that's not the case and we should 0:15:19.960 --> 0:15:23.120 hopefully we'll be done with this thing sooner. But if not, 0:15:23.400 --> 0:15:25.240 you know, we'll, you know, we'll look at the data, 0:15:25.280 --> 0:15:27.800 We'll look at science and see if you'll need any 0:15:27.840 --> 0:15:31.720 more early shots are not. The worst gar scenario would 0:15:31.720 --> 0:15:35.040 be to have to you know, to to have shots 0:15:35.080 --> 0:15:38.760 like to you know, every year, probably not as uh, 0:15:38.760 --> 0:15:42.360 you know, as much needed as possible. Hopefully we can 0:15:42.360 --> 0:15:45.920 prevent that. But let's see fingers crossed on that one. Hey, 0:15:45.960 --> 0:15:49.000 one last question. I think the expectation was that we 0:15:49.000 --> 0:15:52.360 were going to go through the entire Greek alphabet when 0:15:52.360 --> 0:15:55.080 it came to variants, is that still to common? And 0:15:55.080 --> 0:15:57.360 could we still get a variant that's even worse than 0:15:57.400 --> 0:16:01.920 the delta variant? I think they are still looking at 0:16:01.920 --> 0:16:06.280 a couple more variants. Uh there was delta delta plus 0:16:06.320 --> 0:16:10.360 variant we mentioned, and then the Ganda variant. But I 0:16:10.400 --> 0:16:15.280 think they are not variants of concern at this point, 0:16:15.520 --> 0:16:18.280 but they're still they're they're still being looked at by 0:16:18.320 --> 0:16:21.680 scientists all over the world, and you're looking at from CDC. 0:16:22.320 --> 0:16:28.120 So I think we won't go through the entire week alphabet, right, Uh, 0:16:28.160 --> 0:16:31.320 you know, I know, I hope not. But but there 0:16:31.360 --> 0:16:33.640 are variants that they're looking at, but they're not as 0:16:33.680 --> 0:16:36.920 new Ryland or as contagious as of now. All right, 0:16:36.960 --> 0:16:38.800 kind of leave it on that note. A deep deep 0:16:38.840 --> 0:16:42.600 dive into the COVID headlines on this Tuesday, August dr 0:16:42.680 --> 0:16:44.880 you know PAULI, thank you so much. He is founder 0:16:44.880 --> 0:16:47.400 in chief executive officer of my Doctor Urgent Care, on 0:16:47.440 --> 0:16:49.160 the phone from New York City. I want to mention 0:16:49.200 --> 0:16:53.040 one other headline involving COVID. The effectiveness of vaccines among 0:16:53.120 --> 0:16:56.200 frontline workers declined to sixty six percent after the delta 0:16:56.280 --> 0:17:00.280 variant became dominant, compared with nine before it a rose. 0:17:00.400 --> 0:17:03.160 This is according to report from the CDC, the Centers 0:17:03.160 --> 0:17:07.680 for Disease Control and Prevention. This is Bloomberg Business Week 0:17:07.880 --> 0:17:11.840 with Carol Messer and Bloomberg Quick Takes Tim Stinovic on 0:17:11.960 --> 0:17:15.399 Bloomberg Radio. You are listening to Bloomberg Business Well, the 0:17:15.440 --> 0:17:18.320 headlines continue to come out regarding the crisis in Afghanistan. 0:17:18.359 --> 0:17:21.600 As we mentioned, we are waiting some comments from President Biden, 0:17:22.119 --> 0:17:25.800 expected to make them from the White House at any moment. 0:17:26.200 --> 0:17:28.520 Get that update, will take you there live when it begins. 0:17:29.240 --> 0:17:31.840 Many though, many aspects to this story we know that, 0:17:31.920 --> 0:17:35.000 including how the Afghan war is turning a U. S 0:17:35.040 --> 0:17:38.479 Military startup into a unicorn. So let's get into that story. 0:17:38.600 --> 0:17:40.640 It's featured in the new issue of Business Week out 0:17:40.680 --> 0:17:42.680 later this week, online at business week dot com and 0:17:42.720 --> 0:17:44.760 on the Bloomberg Terminal. It's also among our most read 0:17:44.800 --> 0:17:47.560 stories on the Bloomberg Today. So here to tell us 0:17:47.560 --> 0:17:51.080 more is Bloomberg Business Week Technology editor Joshua Brucetein. He 0:17:51.160 --> 0:17:53.399 is on the phone in New York City. Hey, Joshua, 0:17:53.440 --> 0:17:55.679 good to have you here with us. So who is 0:17:55.720 --> 0:18:00.520 this company? Thanks Carol. The company is called Field dot 0:18:00.520 --> 0:18:05.240 Ai UM and it was started by a former Navy 0:18:05.280 --> 0:18:10.000 seal who served in Afghanistan and elsewhere overseas and was 0:18:10.040 --> 0:18:12.760 trying to solve a problem that was pretty specific to 0:18:13.080 --> 0:18:17.800 those deployments, which was entering buildings and contested areas. UM 0:18:17.840 --> 0:18:22.440 he built a type of drone, a small drone that 0:18:22.480 --> 0:18:24.920 they would send into buildings in advance that would map 0:18:25.040 --> 0:18:29.040 the space and send video to troops outside, flying autonomously 0:18:29.119 --> 0:18:32.080 in buildings um and that would allow them to enter 0:18:32.200 --> 0:18:36.119 if you know, if there were no enemy combatants inside. UM. 0:18:36.160 --> 0:18:39.920 So Shield has, as you said, has become a unicorn. 0:18:39.960 --> 0:18:44.119 It's just raised about two million dollars and bought several 0:18:44.160 --> 0:18:47.320 other technology companies in an attempt to move beyond that 0:18:47.359 --> 0:18:51.000 specific application and start doing things more relevant to the 0:18:51.040 --> 0:18:55.000 type of wars America might fight in the future. Specifically, 0:18:55.040 --> 0:18:58.720 against UM enemies like UM, I should say rivals like 0:18:58.880 --> 0:19:01.480 China and Russia. So what are those? Because I have 0:19:01.560 --> 0:19:04.679 to say to be fair and is it sounds so simple, right, 0:19:04.680 --> 0:19:06.880 and it makes sense and it sounds so logical, right. Yeah, 0:19:06.960 --> 0:19:10.000 let's throw drone drones into kind of basically map out 0:19:10.040 --> 0:19:12.400 the space and check out the security. So where else 0:19:12.440 --> 0:19:16.399 can they take this? Yeah? I think the idea here 0:19:16.640 --> 0:19:20.760 UM for SHIELD is that they could take the UM 0:19:20.920 --> 0:19:24.280 autonomous software they've been developing for this one application and 0:19:24.320 --> 0:19:28.280 apply it to other things, maybe trying to have UM 0:19:28.320 --> 0:19:31.800 communication between semi autonomous fighter jets they are patrolling a 0:19:31.880 --> 0:19:38.119 coast UM or UM or you know, networks, networks of 0:19:38.200 --> 0:19:41.520 vehicles both small and large. It's sort of open ended 0:19:41.560 --> 0:19:43.719 at this point, I think, UM, and they're really just 0:19:43.760 --> 0:19:46.240 trying to look at, you know, where the U. S. 0:19:46.320 --> 0:19:50.800 Military is trying to take artificial intelligence, which is one 0:19:50.840 --> 0:19:52.800 of the big questions UM, you know for the pentic 0:19:52.840 --> 0:19:55.840 on itself. Yeah, I was gonna say, how comfortable are 0:19:55.880 --> 0:20:01.560 they with this? It's interesting. I think one of the 0:20:01.640 --> 0:20:04.159 one of the aspects of having these small drones that 0:20:04.200 --> 0:20:07.440 are surveys that we're serving in a relatively low stakes environment, 0:20:07.560 --> 0:20:09.840 just you know, sending video from one side of a 0:20:09.880 --> 0:20:13.400 wolf to another. Is that they slowly started to build 0:20:13.480 --> 0:20:17.240 up some trust within the military for using these things 0:20:17.400 --> 0:20:22.760 in UM in bigger, more complicated and frankly more dangerous situations. UM. 0:20:22.800 --> 0:20:25.639 But I think that you know, there isn't full trust 0:20:25.680 --> 0:20:27.720 in these sort of systems is in the military, just 0:20:27.760 --> 0:20:30.480 like you know, anyone who's looking at relying on artificial 0:20:30.520 --> 0:20:33.000 intelligence is still questioning like is this stuff really going 0:20:33.040 --> 0:20:35.879 to work all the time when it matters well? And Joshua, 0:20:35.920 --> 0:20:39.119 I wonder how much of their success right now is 0:20:39.560 --> 0:20:43.840 military contracts? Is it all of it? Yeah? Right now, 0:20:43.880 --> 0:20:49.240 Shield only does military contracting UM. Interestingly, they said to 0:20:49.280 --> 0:20:53.440 me that they were interested in potential commercial applications. I 0:20:53.440 --> 0:20:56.359 think those are mostly around mapping and also maybe working 0:20:56.640 --> 0:21:01.159 UM on domestic law enforcement, which is an interesting and 0:21:01.240 --> 0:21:04.399 somewhat controversial spin on pretty much on a lot of 0:21:04.400 --> 0:21:08.879 military hardware and end systems that you know, maybe police 0:21:08.880 --> 0:21:11.320 de wartments and states we want to use UM some 0:21:11.480 --> 0:21:16.440 of them, some of the surveillance type capabilities that they're building. Obviously, 0:21:16.520 --> 0:21:18.280 that's probably going to be a big fight in some 0:21:18.320 --> 0:21:20.040 of the cities where they would be trying to do that. 0:21:20.560 --> 0:21:23.199 It does sound you know, we had a conversation with 0:21:23.240 --> 0:21:25.600 the Raytheon CEO, Greg Hayes. He joined us here on 0:21:25.640 --> 0:21:28.440 Bloomberg Business Week on radio and TV, and we talked about, 0:21:28.600 --> 0:21:30.199 you know, kind of where things are going, certainly on 0:21:30.200 --> 0:21:33.240 the defense side. He talked about things about hypersonic weapons 0:21:33.240 --> 0:21:36.800 which are super fast, um, but also using AI in 0:21:36.920 --> 0:21:40.720 different things when it comes to aerospace and and obviously 0:21:40.760 --> 0:21:44.080 that leads to military a slow problem. You know, maybe 0:21:44.080 --> 0:21:46.080 it's a slow process, but it does sound like this 0:21:46.119 --> 0:21:48.960 is a company that, if they are on the cutting edge, 0:21:48.960 --> 0:21:52.520 could stand to benefit longer term. Yeah. I think that 0:21:52.640 --> 0:21:55.880 this is the shift that a lot of smaller technology 0:21:55.880 --> 0:21:58.960 companies that have basically not been able to get any 0:21:59.000 --> 0:22:02.639 sort of foothold within in the Pentagon. See. Um, if 0:22:02.880 --> 0:22:07.240 we're moving towards software systems that aren't the historic competence 0:22:07.320 --> 0:22:09.919 of the large defense contractors, then maybe there's room for 0:22:09.960 --> 0:22:14.200 new players, especially as you know the U. S. Military 0:22:14.240 --> 0:22:16.960 is trying to do things that hasn't done before. Um. 0:22:17.000 --> 0:22:18.960 But you know, I think it's a sort of wide 0:22:18.960 --> 0:22:21.080 open space. No, it's interesting and well and I love 0:22:21.080 --> 0:22:23.080 the stats that you conclude. I mean you say that 0:22:23.119 --> 0:22:26.960 this company got about seventeen million in military contracts. Sounds 0:22:27.000 --> 0:22:29.320 like a pretty decent contract. But as you say, the 0:22:29.359 --> 0:22:33.439 Pentagon's budget regularly exceeds seven hundred billions, So this is 0:22:33.520 --> 0:22:36.960 just a fleck of dust, right in terms of their 0:22:36.960 --> 0:22:40.080 overall spending. Yeah, Like you're not even buying a single 0:22:40.160 --> 0:22:42.680 fighter jet for that kind of money. So there's a 0:22:43.320 --> 0:22:45.080 it's a it's a it seems like a lot, but 0:22:45.160 --> 0:22:48.320 it's not much. I'm curious, UM, talk to me because 0:22:48.320 --> 0:22:50.040 you're writ about a little bit about the background of 0:22:50.080 --> 0:22:53.520 this company too, and I think about juxtaposing that against 0:22:53.520 --> 0:22:59.200 what's been going on in Afghanistan. Well, the company, UM, 0:22:59.720 --> 0:23:02.560 the company, as I said, sort of got its start 0:23:02.640 --> 0:23:04.639 in these wars that the United States has been fighting 0:23:04.680 --> 0:23:08.560 since nine eleven UM in both Afghanistan and Iraq. Um 0:23:08.640 --> 0:23:11.879 they've also been their their technology has been used in Syria. 0:23:12.080 --> 0:23:14.720 And you know, as the United States has spent the 0:23:14.760 --> 0:23:18.960 last two decades sending UM people overseas to fight in 0:23:19.000 --> 0:23:23.000 these situations, they've discovered they've discovered a lot of a 0:23:23.040 --> 0:23:25.760 lot of new problems and challenges and you know, so 0:23:25.840 --> 0:23:28.639 they just kind of built a technology that was specifically 0:23:28.800 --> 0:23:33.000 aimed at those um at those situations, and now we're saying, 0:23:33.040 --> 0:23:35.040