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Speaker 1: Bloomberg Audio Studios, Podcasts, radio News.

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Speaker 2: Good morning.

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Speaker 3: I'm Nathan Hager and I'm Karen Moscow. Here are the

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Speaker 3: stories we're following today.

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Speaker 2: Karen, we begin with the latest on the takeover battle

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Speaker 2: for Warner Brothers Discovery. Paramount Skydance has launched a hostile

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Speaker 2: takeover bid for the studio, back by banks, billionaires, and

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Speaker 2: sovereign wealth funds. The move comes just days after Warners

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Speaker 2: agreed to a deal with Netflix. The paramount offer stands

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Speaker 2: at thirty dollars a share in cash, compared with Netflix

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Speaker 2: as cash and stock bid of just under twenty eight

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Speaker 2: per share. President Trump's son in law, Jared Kushner, is

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Speaker 2: participating in the paramount bid, but the President himself has

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Speaker 2: downplayed his involvement, saying he's not close to either Paramount

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Speaker 2: or Netflix.

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Speaker 4: I have to see what percentage of market they ad.

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Speaker 4: We have to see the Netflix percentage of market, Paramount

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Speaker 4: the two percentage of marketing.

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Speaker 5: I mean, none of them are particularly great friends of mine.

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Speaker 2: President Trump spoke in the White House, while Netflix co

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Speaker 2: CEO Ted Surrando says Paramount spid was expected.

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Speaker 6: Today's move was entirely expected. We have a deal done

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Speaker 6: and We are incredibly happy with the deal. We think

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Speaker 6: it's great for our shareholders, think it's great for consumers.

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Speaker 6: We think it's a great way to create and protect

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Speaker 6: jobs in the entertainment industry. We're super confident we're going

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Speaker 6: to get it across the line and finish, So we're excited.

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Speaker 2: Netflix co CEO Ted Surrendos spoke at the UBS Global

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Speaker 2: Media and Communications Conference in New York. Paramount wants to

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Speaker 2: buy all of Warner Brothers, while Netflix is seeking only

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Speaker 2: the Hollywood studios HBO and the streaming business. Shares of

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Speaker 2: Warner Brothers Discovery are up one and a half percent

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Speaker 2: this morning.

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Speaker 3: Well, let's turn to the ship space now, Nathan. President

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Speaker 3: Trump has granted Nvidia permission as ship it's H two

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Speaker 3: hundred artificial intelligence chip to China and exchange for a

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Speaker 3: twenty five percent cut of the sales. The decision marks

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Speaker 3: a major lobbying win for Nvidia and could let it

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Speaker 3: regain business lost in the Chinese market. Bloomberg's Wendy Benjamin

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Speaker 3: Sin has more from Washington.

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Speaker 7: So, now Trump, who is the most transactional president I

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Speaker 7: think we've had in a long time, is looking at

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Speaker 7: this purely from a business perspective. He is looking at

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Speaker 7: this as the US will get a twenty five percent

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Speaker 7: cut out of this tremendous market that Nvidia is going into.

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Speaker 7: In Vidia gets the win. Apparently the other companies AMD

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Speaker 7: and Intel will as well, presumably also with a cut

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Speaker 7: to the United States.

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Speaker 3: Bloomberg's Wendy Benjamin Sin reports that President Trump says the

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Speaker 3: sales would only go to quote approoved customers, and checking

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Speaker 3: shares of Nvidia, They're up one and a half percent

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Speaker 3: this morning.

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Speaker 2: Another tech stock is in focus this morning, Karen. That

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Speaker 2: would be Google parent Alphabet. The European Union is investigating

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Speaker 2: Google now over fears it may have abused its dominance

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Speaker 2: by using its own artificial intelligence tools to squeeze out competition.

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Speaker 2: The EU's watchdog will examine whether Google distorted competition by

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Speaker 2: imposing unfair terms on content creators and giving its own

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Speaker 2: AI model an advantage over This fresh probe follows September's

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Speaker 2: three and a half billion dollar fine against Google for

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Speaker 2: allegedly favoring its own ad tech services over rivals that

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Speaker 2: provoked President Trump's hire. He slammed the find as discriminatory.

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Speaker 3: Meanwhile, Nathan, President Trump says he plans to sign an

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Speaker 3: executive order on artificial intelligence. He says it'll establish one

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Speaker 3: rule for regulating the technology, not multiple rules from all

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Speaker 3: fifty states. Bloomberg's Mike Shepherd has more from Washington.

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Speaker 8: The federal government has not enacted its own AI specific

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Speaker 8: rulemaking or law so far, even you know, three plus

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Speaker 8: years after the genesis of chat GPT, and even after

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Speaker 8: we've been talking about artificial intelligence for many years more

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Speaker 8: than that, we still do not have a comprehensive set

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Speaker 8: of federal regulations and rules to set the rules of

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Speaker 8: the road.

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Speaker 3: And Bloomber's Mike Shepherd says the forthcoming order marks the

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Speaker 3: latest bid by President Trump to put his imprint on

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Speaker 3: ab I policy.

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Speaker 2: Well, the President continues to put his imprint on trade policy, Karen,

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Speaker 2: and now he is warning that he could impose new

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Speaker 2: tariffs on Canadian fertilizer and Indian rice. The President issued

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Speaker 2: that threat at a White House event where he announced

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Speaker 2: billions of dollars in assistance for farmers.

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Speaker 4: What do they take like fertilizer out of the country

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Speaker 4: all of a sudden, we don't do it anymore. Then

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Speaker 4: they start JUGI and sending it very high prices from

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Speaker 4: other countries, whether it's Canada or somebody else, and we're

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Speaker 4: not going to let that happen.

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Speaker 2: President Trump says the US doesn't need Canadian fertilizer, but

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Speaker 2: Canada is America's biggest supplier of potash. As for rice,

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Speaker 2: India is the world's biggest exporter, but the US sells

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Speaker 2: more rice abroad that it brings in, and most of

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Speaker 2: the rice advises from Thailand. President Trump is holding an

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Speaker 2: event in Pennsylvania tonight to discuss his administration's efforts to

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Speaker 2: tackle rising prices.

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Speaker 3: Well, let's turn to geopolitics now, Nathan and the grinding

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Speaker 3: effort to end the war in Ukraine. President Vladimir z

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Speaker 3: Olenski met yesterday with the leaders of the UK, France,

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Speaker 3: and Germany. He says they agreed to keep war working

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Speaker 3: on security guarantees, a signal that there's still no breakthrough

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Speaker 3: toward a peace agreement with Russia. But European leaders may

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Speaker 3: be getting closer to a deal on using frozen Russian

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Speaker 3: assets to back alone for Ukraine, as we hear from

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Speaker 3: Bloomberg's Oliver Krook in Brussels.

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Speaker 9: If they are able to get this over the line,

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Speaker 9: this would account basically ninety billion euros worth of funding

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Speaker 9: for Ukraine over the next period of time. As you say,

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Speaker 9: that goes about two thirds of the way of covering

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Speaker 9: the funding that they require for running the country and

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Speaker 9: running the military, which is about one hundred and thirty

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Speaker 9: five billion, So that would be a major step.

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Speaker 3: Lumber's Oliver Kruk reports European leaders are sounding more confident

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Speaker 3: they can reach an agreement by Christmas, or even as

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Speaker 3: soon as this week. They'll meet in Brussels next week

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Speaker 3: to try to seal the deal.

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Speaker 2: Turning back to the economy now, Karen, the Federal Reserve

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Speaker 2: kicks off its final policy meeting of the year today.

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Speaker 2: Investors expect the Fed will cut rates by a quarter point,

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Speaker 2: the third cut this year, at the conclusion of the

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Speaker 2: two day meeting, but the messaging around the decision is uncertain.

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Speaker 2: Let's get a preview from Bloomberg's Michael McKee.

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Speaker 10: The nation's central bankers are more divided over policy than

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Speaker 10: they have been in years. They're supposed to keep inflation

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Speaker 10: down and employment up, but inflation is rising and job

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Speaker 10: growth is slowing. Wall Street is betting Fed officials will

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Speaker 10: decide it's more important to offer relief to the labor

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Speaker 10: market and deliver their third consecutive quarter point rate cut.

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Speaker 10: At least two voters are likely to dissent, worried that

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Speaker 10: the Fed is setting the stage for inflation to accelerate.

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Speaker 10: One more. Stephen Myron is expected to dissent in favor

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Speaker 10: of President Trump's demand for a half point cut. The

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Speaker 10: descents will come with the decision at two pm Wall

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Speaker 10: Street Time tomorrow. Michael McKee, Bloomberg Radio, All.

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Speaker 2: Right, Mike, thanks for full coverage of the decision and

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Speaker 2: remarks from Chair J. Powelltune into a special edition of

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Speaker 2: Bloomberg Surveillance the FED decides that kicks off tomorrow at

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Speaker 2: one thirty pm Wall Street Time on Bloomberg Radio, Bloomberg Television,

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Speaker 2: and the Bloomberg Podcast channel on YouTube.

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Speaker 3: And Company News. Nathan Pepsigo announced it a series of

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Speaker 3: operational changes back by activist investor Elliott Investment Management, including

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Speaker 3: a review of its supply chain and slashing its overall

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Speaker 3: number of products. Begin more from Bloomberg's Alexis Christopherus.

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Speaker 11: The maker of Lays and Doritos, says it will lower

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Speaker 11: some food prices and reduce costs while cutting the number

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Speaker 11: of individual products by twenty percent across its US businesses.

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Speaker 11: PepsiCo also asks some employees to work from home this week,

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Speaker 11: possibly signaling layoffs ahead. The deal avoids a potentially long

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Speaker 11: and costly battle with activist investor Elliott Management, which holds

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Speaker 11: a roughly four billion dollar steak in PepsiCo.

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Speaker 3: And as Bloomberg's Alexis christopherus reporting.

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Speaker 2: And Karen Disney is bringing back its late night star

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Speaker 2: for at least one more year, Bloomberg News has learned

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Speaker 2: Jimmy Kimmel will continue to host his ABC late night

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Speaker 2: talk show until at least May of twenty twenty seven. Kimmel,

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Speaker 2: you may recall, was suspended in September this year over

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Speaker 2: remark about murdered Republican activist Charlie Kirk. Sources say Kimmel

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Speaker 2: and Disney agreed on the extension months ago, but delayed

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Speaker 2: the announcement out of respect for fellow late night host

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Speaker 2: Stephen Colbert, who is being let go from his show

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Speaker 2: by CBS. Kimmel has been hosting Jimmy Kimmel Live on

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Speaker 2: ABC since two thousand and three.

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Speaker 3: Time Now for a look at some of the of

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Speaker 3: their stories making news in New York and around the world,

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Speaker 3: and for that we're joined by Bloomberg's Michael Barr.

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Speaker 12: Michael, good Morning, Good morning, Karen. The Supreme Court will

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Speaker 12: decide whether to overturn a ninety year precedent and possibly

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Speaker 12: expand the power of the Oval office. At issue President

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Speaker 12: Trump's firing earlier this year of Rebecca Sauter, a Democrat

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Speaker 12: appointed to the Federal Trade Commission in twenty eighteen. Now

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Speaker 12: the Justices are weighing if the president has executive authority

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Speaker 12: to terminate officials from independent federal agencies without cause. Former

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Speaker 12: FTC Commissioner of Vero Bedoya says a rollback could be problematic.

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Speaker 13: It's going to leash a title wave in government because

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Speaker 13: the FDC do certain things. We protect against increases in

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Speaker 13: grocery prices, pharma bro Martin Squelly driving up critical medicine

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Speaker 13: in terms of costs.

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Speaker 12: The Supreme Court will hear arguments next month. A former

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Speaker 12: personal lawyer for President Trump is stepping away from her

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Speaker 12: role as Acting US Attorney for New Jersey. In stepping down,

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Speaker 12: Alina Haba says she aims to protect the stability and

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Speaker 12: integrity of the US Attorney's office in New Jersey. A

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Speaker 12: panel of the Third Circuit Appeals Court ruled against their

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Speaker 12: interim appointment. Attorney General Pam Bondi says Hubba will continue

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Speaker 12: on in the Justice Department as a senior advisor. Billions

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Speaker 12: have been set aside for the nation's farmers. The financial

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Speaker 12: relief is to offset the losses from the Trump administration's tariffs.

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Speaker 12: China has since agreed to purchase American soybeans again as

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Speaker 12: part of a framework deal with the US. President Trump

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Speaker 12: says eleven billion dollars of the twelve billion dollar package

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Speaker 12: will go to the the newly created Farmer Bridge Assistance

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Speaker 12: program under the Department of Agriculture.

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Speaker 5: What we're doing is we're taking a relatively small portion

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Speaker 5: of that and we're going to be giving and providing

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Speaker 5: it to the farmers in economic assistance.

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Speaker 4: And we love our farmers, and as you know, the

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Speaker 4: farmers like me.

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Speaker 12: President Trump made the announcement at a meeting with farmers

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Speaker 12: at the Winehouse. Global News twenty four hours a day

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Speaker 12: and whenever you want it with the Bloomberg News. Now

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Speaker 12: Michael Barr and this is Bloomberg.

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Speaker 3: Hearen thanks Michael all the time. Now for our Bloomberg

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Speaker 3: Sports update, and for that we bring in John Stashauer.

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Speaker 14: Thanks Darren. Overtim in Los Angeles, the Chargers and Eagles

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Speaker 14: both scored only one touchdown. There were nine field goals,

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Speaker 14: and Camberon Dicker's fifth of the night was a fifty

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Speaker 14: four yarder in overtime. Chargers beat the Eagles twenty two

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Speaker 14: to nineteen. Philly has lost three in a row. The

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Speaker 14: Colts just lost their quarterback Daniel Jones to a season

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Speaker 14: ending injury. They're working out Philip Rivers, the former Colt

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Speaker 14: who turned forty five war yesterday. He's been retired for

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Speaker 14: five years. Two games in the NBA tonight to start

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Speaker 14: the NBA Cup quarterfinals. That's your Bloomberg Sports update.

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Speaker 3: Stay with us more from Bloomberg day Break coming up after.

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Speaker 1: This Coast to coast on Bloomberg Radio, nationwide on Sirius XM,

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Speaker 1: and around the world on Bloomberg dot Com and the

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Speaker 1: Bloomberg Business app. This is Bloomberg Daybreak.

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Speaker 2: Good morning, I'm Nathan Hager. The bidding war for Warner

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Speaker 2: Brothers Discovery is really a war now, with paramount Skydance

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Speaker 2: making a hostile takeover offer of thirty dollars a share

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Speaker 2: that's more than the twenty seven to seventy five. Netflix

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Speaker 2: is offering for the company without its basic cable networks.

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Speaker 2: Paul Hardnart with the NYU certain School of Business says,

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Speaker 2: no matter who wins this battle, Hollywood is changing.

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Speaker 15: What you are going to see is the end of

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Speaker 15: a Hollywood studio to some degree, whether it goes to Netflix,

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Speaker 15: whether it goes to comcasts, whether it goes to Paramount.

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Speaker 15: And I think that's a shift.

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Speaker 2: That's Paul Hardart, head of the Entertainment, Media and Tech

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Speaker 2: Program at the NYU Stern School. And we're joined now

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Speaker 2: by Bloomberg Markets reporter Valerie Titel. And not only does

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Speaker 2: this change Hollywood, Valerie, but both of these offers could

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Speaker 2: really be in for some serious scrutiny. Good morning, Hey,

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Speaker 2: Good morning, Nathan.

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Speaker 16: Yes, the Warner Brothers board has said that they're aiming

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Speaker 16: to advise stockholders on the recommendation from this hostile Paramount

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Speaker 16: offer within ten business days. This is going to keep

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Speaker 16: us busy, essentially heading into the Christmas season. What's important

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Speaker 16: to note this morning, though, is we're continuing to see

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Speaker 16: the market move of yesterday continue in pre market. Paramount

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Speaker 16: skuy dances again on a front foot up nearly two percent.

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Speaker 16: It rows nine percent yesterday on the back of this news.

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Speaker 16: Warner Brothers Discovery in the green as well Netflix in

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Speaker 16: the red. So there does seem to be some positivity

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Speaker 16: about a potential warming up to this Paramount hostile takeover.

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Speaker 16: It does have a lot of things going for it.

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Speaker 16: As you mentioned, the cash offer for thirty dollars a

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Speaker 16: share does succeed, and Netflix's twenty seven to seventy five

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Speaker 16: per share. And also it is a very simplified plan

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Speaker 16: they want to present to Warner Brothers. The ability that

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Speaker 16: Paramount has to close the deal quickly, A lot of

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Speaker 16: that has to do with regulatory oversight. Paramounts involvement in

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Speaker 16: this deal could potentially be an avenue if Warner Brothers

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Speaker 16: is concerned that regulators would eventually smack down a Warner

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Speaker 16: Brothers Netflix merger on the back of essentially becoming too

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Speaker 16: large of a streaming giant for the market. That with

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Speaker 16: some concerns that President Trump brought up himself over the

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Speaker 16: weekend when he was speaking alongside reporters.

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Speaker 8: The other thing to.

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Speaker 16: Mention is that alongside the company trying to pitch that

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Speaker 16: they can close this deal quickly, the Ellison family is

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Speaker 16: essentially backing all of the equity that is being provided

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Speaker 16: from the likes of Middle Eastern pension funds to Jared

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Speaker 16: Kushner's fund as well. So there is a big back

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Speaker 16: when it comes to the one of the US's most richest,

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Speaker 16: wealthiest families, wealthiest man wanting to guarantee the deal.

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Speaker 2: Well, what about potential pushback for this deal? Just the

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Speaker 2: fact that President Trump's son in law is involved in

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Speaker 2: this could that lead to some pushback.

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Speaker 16: It's a really hard thing to measure because on some sides,

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Speaker 16: you could see the shareholders viewing the proximity to the

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Speaker 16: US president that a lot of this deal has as

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Speaker 16: a benefit. Because one thing they are worried about is

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Speaker 16: that this deal eventually being smacked down by the regulators.

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Speaker 16: That's the one big worry with Netflix. But if you

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Speaker 16: take a look at the paramount deal, not only does

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Speaker 16: it involve a lot of Middle Eastern investors who we

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Speaker 16: know that President Trump has essentially you know, he went

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Speaker 16: on a big trip to the Middle East to try

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Speaker 16: to get this investment into the US, it also has

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Speaker 16: Jared Kushner and his son in law involved. So maybe

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Speaker 16: the ties of the president could be a positive thing.

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Speaker 16: For Warner Brothers Discovery.

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