Speaker 1: Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney alongside
Speaker 1: my co host Matt Miller. Every business day, we bring
Speaker 1: you interviews from CEOs, market pros, and Bloomberg experts, along
Speaker 1: with essential market moving news. Find the Bloomberg Markets Podcast
Speaker 1: called Apple Podcasts or wherever you listen to podcasts, and
Speaker 1: at Bloomberg dot com slash podcast. Matt, I got a
Speaker 1: problem with our next guest. I'm just gonna lay it
Speaker 1: out there. He is a big time University of North
Speaker 1: Carolina Chapel Hill guy. But we we beat up on
Speaker 1: them last weekend in Chapel Hill, so I guess we
Speaker 1: can deal with it. Jake Brice and Managing Director Chief
Speaker 1: Economists at Wells Fargo. Don't put up with him, Jake.
Speaker 1: You know it's gonna be so sweet when we beat
Speaker 1: you guys in Carolin. All right, we'll see about that.
Speaker 1: That'll be fun, all right, Jay, Um, you know, we
Speaker 1: got a lot of inflation out there, whether you see
Speaker 1: it at the gas pump, you see it at the supermarket.
Speaker 1: Is this something that could really be a problem for
Speaker 1: this economy? You know? So you know, I think inflation
Speaker 1: is going to be stickier than many people, I think
Speaker 1: appreciate uh, this year, you know, by the end So
Speaker 1: right now, if you look at the overall rate of
Speaker 1: CPI inflation, it's running about seven percent or so, we
Speaker 1: get a print tomorrow, we think by the end of
Speaker 1: the year it will still be running close before per
Speaker 1: cent or so. I mean, that's just that's a high
Speaker 1: number for most people. So I don't think that this
Speaker 1: is we're on the cusp of the seventy seven in
Speaker 1: terms of you're looking at double digit growth rates and inflation.
Speaker 1: But I do believe it's going to be higher and
Speaker 1: that then the problem comes in is how does the
Speaker 1: Federal Reserve react to that? Right, if they really start
Speaker 1: to clamp down on the brakes, you potentially could have
Speaker 1: a big slowdown later this year going into next year.
Speaker 1: So how hard do you think they will step on
Speaker 1: the brakes? Because this Fed seemed very dovish before UM J.
Speaker 1: Powell's reconfirmation a renomination, and all of a sudden, they
Speaker 1: seem pretty hawkish, even the doves, even the candidates that
Speaker 1: the left wanted to replace Powell, seem pretty hawk ish
Speaker 1: on this inflation. Now, that's that's right, They're all singing
Speaker 1: from the same hypno right now, although I would point
Speaker 1: out that the hawkish members in recent weeks have kind of,
Speaker 1: you know, dialed it back a little bit. I mean,
Speaker 1: I think they're even recognizing that we don't need to
Speaker 1: really step on or want to step on the breaks here.
Speaker 1: That said, I mean, we're looking for the markets more
Speaker 1: or less priced for five rate hikes over the course
Speaker 1: of this year. We also think the FED will take
Speaker 1: steps to start to unwind its balance sheet probably in
Speaker 1: the middle of the year. That's a form of tightening
Speaker 1: as well. And so I mean there is you know,
Speaker 1: there there's tightening coming up. That said, the underlying fundamentals
Speaker 1: of the economy, and you look at balance sheets of households,
Speaker 1: you look at balance sheets of individuals, uh or or businesses.
Speaker 1: They're all pretty solid right now. So the underlying fundamentals
Speaker 1: of the economy remade pretty good it should, you know,
Speaker 1: and pretty inducive to I'll call it solid growth this year,
Speaker 1: you know, nothing like we saw last year. But we
Speaker 1: also don't think we're looking at a you know, a
Speaker 1: recession in the foreseeable future. By the way, ju Um,
Speaker 1: expect inflation to continue through not at seven percent levels
Speaker 1: you just said, but maybe four percent, that's still twice UM.
Speaker 1: The FED target black Rock a couple of days ago
Speaker 1: put out a research report saying the problem is that
Speaker 1: people are buying more stuff. I love dope stuff. My
Speaker 1: wife loves experiences and services. She would rather go on
Speaker 1: a trip and get a massage. I would rather buy
Speaker 1: a motorcycle or a car. UM is the issue that
Speaker 1: more and more people, through the pandemic UH put away
Speaker 1: their UM services needs and replaced it with stuff. Yeah,
Speaker 1: so with you know, so what has been really strong
Speaker 1: has been good spending and so and look at the
Speaker 1: CPI again. It's euryear rate of seven percent right now.
Speaker 1: Roughly five percentage points of that seven is coming from
Speaker 1: good so two thirds is coming from goods. And we
Speaker 1: only spend a sermat of our money on goods, So
Speaker 1: goods are punching well above their fighting way right now. Now.
Speaker 1: You know, there's also been a probably a fair amount
Speaker 1: of good spending that has been pulled forward, right I mean,
Speaker 1: you know, during the pandemic, everyone went out and they
Speaker 1: bought a trampoline or a basketball groups for the kids.
Speaker 1: We don't have to replace that every year. You know,
Speaker 1: the same thing for cars and things of that nature.
Speaker 1: So as you go forward, which we're you know, what
Speaker 1: we expect to see and we're kind of actually seeing
Speaker 1: it is a pivot from good spending that should slow down.
Speaker 1: The supply chains will become unclogged, and so you know
Speaker 1: that the impulse to inflation coming from goods should start
Speaker 1: to cool off a little bit. But we still do
Speaker 1: have some pipeline inflationary pressures in terms of services coming through,
Speaker 1: and so that's one of the reasons why we think
Speaker 1: inflation is going to remain elevated. You know, again, I
Speaker 1: don't think it's going to go up significantly from here.
Speaker 1: We're not. I don't think we're going from seven percent
Speaker 1: to ten percent. But you know, at the end of
Speaker 1: the year, if you're still running four percent, that's still
Speaker 1: kind of hot for many folks. Jay, what's the risk
Speaker 1: that our federal Reserve makes a mistake here and make
Speaker 1: it just goes too fast, too far, whether it's a
Speaker 1: fifty rate hike in March, or whether the the tightening
Speaker 1: is more aggressive than the market thinks. It seems like
Speaker 1: they've been telegraphing things pretty well. But what's the chance
Speaker 1: of a mistake. You know, it's not insignificant. Um. You
Speaker 1: know the problem. The problem is when you start to move,
Speaker 1: and when the Fed moves. Historically, when it moves, it
Speaker 1: continues to move in the same direction for a while. Okay, Um,
Speaker 1: you know, so we don't think we're going to see
Speaker 1: a fifty basis on rate hike in March, but we
Speaker 1: think we'll see twenty five in March, twenty five and
Speaker 1: twenty five in June, and then start to wind down
Speaker 1: the balance she July. You know. The issue is that
Speaker 1: it takes a while for that policy heightening to actually
Speaker 1: start to show up in the economic data. And so
Speaker 1: whenever they start to move, you know, in a in
Speaker 1: a tightening sort of direction, there's always going to be
Speaker 1: the rest that they potentially could move um too fast
Speaker 1: now you know, you know, forceline, the market does tend
Speaker 1: to send signals, um. You know, if you know, if
Speaker 1: they do start to move a little too fast with
Speaker 1: the stock market, probably is gonna wabble bond yields. Uh,
Speaker 1: you know, you could get a potentially inverted yield could
Speaker 1: in that And you know, so the Center Reserve does
Speaker 1: pay attention to the signals that the market is sending
Speaker 1: out and so all right, we'll keep it saying that,
Speaker 1: all right, Jay, thank you so much for joining us.
Speaker 1: Jay Bryson, Managing Director, Chief Economists for Wells Fargo, and
Speaker 1: Jay knows that I root for Duke and for whoever
Speaker 1: is playing Carolina, but he's been pretty well there for
Speaker 1: Carolina and grad J Brison Walls Fargo. Let's continue our
Speaker 1: discussion and the gaming space, this time on the hardware side.
Speaker 1: We're joined by Andy Paul CEO and founder. Of course,
Speaker 1: They're Gaming That is a publicly treated company on nastack
Speaker 1: c R. S R is the ticker. It's about a
Speaker 1: two billion dollar market cap. Stock is pretty flat for
Speaker 1: the year, down about over the trailing twelve months. They
Speaker 1: reported some numbers last night, a little bit better and
Speaker 1: expected on the EPs line. Let's get the latest. Andy,
Speaker 1: thanks so much for joining us here. What's the key
Speaker 1: takeaway from the quarter that you reported last night? Well,
Speaker 1: as you mentioned, uh, it was a great quarter. We're
Speaker 1: pretty happy with the results. And um, I think what
Speaker 1: everyone's starting to understand now is that because of the
Speaker 1: surgeon activity from gamers during the shelter at home period,
Speaker 1: But now we have to compare a post pandemic quarter
Speaker 1: which was Q four it's just just finished. Compared that
Speaker 1: with Q four and that represented about fifty growth, So
Speaker 1: we're pretty pleased with that. Yeah, listen, I mean, you
Speaker 1: can't do anything about the fact that your business got
Speaker 1: a huge boost during lockdown. We were just talking about
Speaker 1: other companies that in a way faced the same curse,
Speaker 1: because when that lockdown lifts, UM, you don't have the
Speaker 1: same kind of tailwind behind you that you that you
Speaker 1: all of a sudden did what what can you do
Speaker 1: or what did you do during that period that you
Speaker 1: think is really important? Well, firstly, UM, let me just
Speaker 1: correct one thing, because the nice thing about people that
Speaker 1: buy UM gear for any kind of sport, including gaming,
Speaker 1: is as a pretty short refresh cycle, and so all
Speaker 1: the new gamers that started to buy a gear in
Speaker 1: the first one UM, you know, we'll look at about
Speaker 1: a two to four year refresh cycle. So we'll see
Speaker 1: a repeat of this in uh, you know late So
Speaker 1: that's what we're pretty excited about. Now. What we did
Speaker 1: during that surge of activity was obviously scramble against massive
Speaker 1: supply chaining issues and so you know, most of the
Speaker 1: effort was around the operations of just getting stuff onto
Speaker 1: the water and into the country, as you know, massive
Speaker 1: increases in lead times of costs from containershipments from as
Speaker 1: I want to get back to the supply chain. But
Speaker 1: with all due respect, I have to say, even as
Speaker 1: someone who spends thousands of dollars playing video games and
Speaker 1: waste countless hours, I don't understand how can you call
Speaker 1: it a sport. I mean I will sit there with
Speaker 1: the full bag of Doritos in a six pack playing
Speaker 1: Call of Duty and I don't feel like I worked
Speaker 1: out much. You know, well yeah, maybe maybe not in
Speaker 1: your in your physical body. But here's the interesting thing
Speaker 1: that is making it more like sports. You know, everyone
Speaker 1: started to talk now about metaverse and what the options are,
Speaker 1: what the opportunities are in there. And what's clear to
Speaker 1: me is that most sports involve social interaction. So if
Speaker 1: you think about any sport you do, whether you get
Speaker 1: mountain biking or skiing with friends, there's a lot of
Speaker 1: social action, probably more time than they actually spent on
Speaker 1: the sport. And that's what we're starting to see gaming
Speaker 1: turn into. And so you see these platforms like Roadblocks
Speaker 1: like Fortnite, what people are spending as much time socializing
Speaker 1: with each other as they are. You know, playing the
Speaker 1: playing the game. So I think that's what we've got
Speaker 1: to look forward to. So, you know, Mark Zuckerberg has
Speaker 1: really kind of raised the bar in terms of awareness
Speaker 1: on the metaverse, and I think I'm just starting to
Speaker 1: kind of come to grips of what that could be,
Speaker 1: what that could look like. Um, but but I do
Speaker 1: get the gaming aspect. How do you guys think about
Speaker 1: the metaverse as a you know, a's a growth driver
Speaker 1: for just gaming in general. Yeah, so I think I
Speaker 1: think it's a trend that's already happening. I mean, I
Speaker 1: know Mark's coined the latest label, but but there's a
Speaker 1: growth trend that's been going on for a while. Um,
Speaker 1: and this was you know, now we've got the hindsight
Speaker 1: it should have been expected that, um, you know, people
Speaker 1: would want to spend a lot of time, you know,
Speaker 1: with each other in a social environment. Now, the good
Speaker 1: thing for us is that any time spent in recorded
Speaker 1: the metaverse, this conversation, But anytime you spend interactive entertainment
Speaker 1: through the Internet, you need to buy gear to do that.
Speaker 1: So you need a platform, whether it's a constantal game PC,
Speaker 1: and you need keyboards, mice, headsets, controllers. Um, so it's
Speaker 1: more people spend more time, then we would expect to
Speaker 1: continue to send more, sell more gear. Well, what's your
Speaker 1: expectation for how we uh live in the metaverse and
Speaker 1: in the future. I mean, typically people think UM VR
Speaker 1: headset and I just can't buy into that. I would
Speaker 1: much prefer to be in a room with you know,
Speaker 1: our all four walls or monitors or something different than
Speaker 1: a VR headset. But how does it look to you? Yeah,
Speaker 1: well that's true. I can't imagine people are gonna spend
Speaker 1: a lot of time walking around with big, heavy goggles
Speaker 1: on them, So I think that that part of it, um,
Speaker 1: you know, in terms of the virtual UM aspect, I
Speaker 1: think he's more like everyone I know is talking about.
Speaker 1: They are augmented reality rather than virtual reality, which you
Speaker 1: can do with just some some fairly lightweight glasses. But
Speaker 1: I think the important thing is not so much of
Speaker 1: that aspect, but the fact that, you know, people are
Speaker 1: gonna live spend a lot of time in a virtual world,
Speaker 1: and they're gonna want to have a digital personal, digital personality,
Speaker 1: but in many ways it's a little different from their
Speaker 1: physical personality. And that's why I think a lot of
Speaker 1: the opportunities are in terms of um, you know, how
Speaker 1: people acquire those digital personalities. You should see my character
Speaker 1: and red dead redemption. I have no idea where he's awesome,
Speaker 1: he's better than me? Um, does you have a name?
Speaker 1: And Andy? Let's get back to the day to day
Speaker 1: boring business of UM running your company. Uh, not that
Speaker 1: it's boring, but you know, the supply chain issues have
Speaker 1: been probably frustrating, let's put it that way. Do you
Speaker 1: see them alleviating now? I mean, um in you know,
Speaker 1: post endemic cours their are you able to get your
Speaker 1: hands on materials and chips faster better? Yeah? Yeah? So, UM,
Speaker 1: I think that there's the several parts of this right.
Speaker 1: One is the semiic nup to shortage, and that's certainly
Speaker 1: affected a lot of our higher end, more complex products
Speaker 1: that we've largely taken care of by just adjusting inventory. Um.
Speaker 1: And so that that you know, in finding alternate supplieres
Speaker 1: and massive thing UM. So that's not really an issue anymore.
Speaker 1: The bigger issue is that container costs, which used to
Speaker 1: be sort of a few years ago three thousand dollars
Speaker 1: to bring a container from Astion to the US, is
Speaker 1: now two dollars, so when you've got some and quite honestly,
Speaker 1: there's no reason for that. Um. I mean I look
Speaker 1: at this and I think, okay, either those prices are
Speaker 1: going to go down or every private equery company is
Speaker 1: going to start investing in container companies. So we know
Speaker 1: that's going to normalize. We hope we're going to see
Speaker 1: more of that this year. Uh, there's other issues that
Speaker 1: are related to not just cost, but you know, the
Speaker 1: COVID situation, especially recently with Omicron, has caused a massive
Speaker 1: shortage of labor, and so the big hold up now
Speaker 1: in terms of time, you know, it doesn't take any
Speaker 1: longer for ships to go across the ocean, but getting unloaded,
Speaker 1: getting onto trucks, getting them drivers to take them too,
Speaker 1: hubs and stores, that's the biggest issue we have at
Speaker 1: the moment. All right, Andy, thank you so much for
Speaker 1: joining us. I really appreciate your time and you Paul
Speaker 1: CEO and founder. Of course they're gaming all right. You know,
Speaker 1: before we got the SMP up one point three, it
Speaker 1: looks like it's just another those buy on the dips.
Speaker 1: We had the SMP down around you know, and here
Speaker 1: we are making moves higher for you know the last
Speaker 1: several days. Let's bring in somebody who does this stuff
Speaker 1: for a living, Guy Davis, Managing director and portfolio manager
Speaker 1: for g c I Investors. Guy, you know, maybe maybe
Speaker 1: I'm just getting lazy. I just buy the dips and
Speaker 1: I don't think much more than that. What are you
Speaker 1: seeing in these markets? I had been morning everyone, Thanks
Speaker 1: for having me. Um. Certainly, yeah, I would say we've
Speaker 1: been in a situation for quite some period of time
Speaker 1: where the buy the dip mantra continues to hold. I
Speaker 1: know there are some people saying that, you know, the
Speaker 1: FED puts about to disappear as interesting trade starts going up.
Speaker 1: But honestly, I think, you know, we've seen such volatile
Speaker 1: markets just in the first few weeks at the beginning
Speaker 1: of two U One of the things I always think
Speaker 1: back to is that I think, basically there's not real
Speaker 1: anybody who really knows where where markets are going in
Speaker 1: the short time, and certainly our approach is always the
Speaker 1: peerage like this typically provide a huge amount of opportunity,
Speaker 1: and where you're con clined is some very attractive companies
Speaker 1: get end up getting settled off quite aggressively, even even
Speaker 1: when they don't necessarily need to. And certainly as we
Speaker 1: go through this earning season, there's a couple of stocks
Speaker 1: that I'd love to pick out and talk about in
Speaker 1: a little more detail. But you're seeing very significant punishment
Speaker 1: of individual names on specific ending days if there's the
Speaker 1: slightest whiff of increased capex or lower guidance to the
Speaker 1: next couple of quarters. That's a real theme that we've
Speaker 1: been seeing a certain season. Is Facebook one of those.
Speaker 1: I've just been looking at the DS page and notice
Speaker 1: the market cap is just six hundred billion dollars, which
Speaker 1: in the age of these mega caps feels minuscule, right, Yeah, Yeah,
Speaker 1: I mean Facebook has been a fascinating company over the
Speaker 1: last you know, I'd say ten years, but certainly in
Speaker 1: the last twelve eighteen months. I mean, do you think
Speaker 1: fundamentally Facebook owns the largest and deepest network. They're trading
Speaker 1: it like three dollars per user exactly, and there is
Speaker 1: a Yeah, I think Facebook is a great example of
Speaker 1: you know, I mentioned the difference between kind of individual
Speaker 1: stock price moves and business value. To thirty billion was
Speaker 1: wiped off Facebook on earnings day recently. Now, in terms
Speaker 1: of kind of efficient market hypothesis, It's kind of hard
Speaker 1: to justify the fact that the value of Facebook as
Speaker 1: an entity changed to in a single day. Now, realistically,
Speaker 1: what was happening in the earnings was, you know, there's
Speaker 1: a there was a It was to me it was
Speaker 1: a very kind of politically and regulatory for focused earling.
Speaker 1: This call you could hear from from Mark and from Cheryl.
Speaker 1: There was a real focus on, Hey, we're being being
Speaker 1: we're being beaten down here. TikTok's beating us in reels.
Speaker 1: Apple and Google have colluded against us. When it comes
Speaker 1: to the iOS changes, we saw a big jump in
Speaker 1: kind of cap ex spending for the likes of Facebook
Speaker 1: from this having to spend a huge amount of money
Speaker 1: to try and replicate the same sort of analytics that
Speaker 1: they used to get from iOS and they now don't
Speaker 1: get anymore. That's a big costo them and it's going
Speaker 1: to roll through for the next few years. You're also
Speaker 1: seeing a massive amount of capex going through from the metaverse. Honestly,
Speaker 1: I think Facebook as an entity, I think is arguably
Speaker 1: presenting fantastic value today in a sense that it's trading
Speaker 1: and are cheaper multiple than IBM. It's trading in one
Speaker 1: of the cheapest multiples we've seen for a considerable period
Speaker 1: of time, and it's still a company that's growing on
Speaker 1: plus a year, and it's still a company that's generating
Speaker 1: plus incremental margins. The real question mark comes with all
Speaker 1: of this additional capect is going spend into the metaverse
Speaker 1: is a significant kind of question mark as to how
Speaker 1: easy is that going to monetize and how is that
Speaker 1: going to play out? That to me is the big
Speaker 1: risk factor. Even accounting for that, you've got core Facebook,
Speaker 1: which to me is cheap as we stand today. Interesting. Yeah,
Speaker 1: interesting potential entry point for some folks that feel like
Speaker 1: maybe they missed as some of the upside for Facebook
Speaker 1: slash Metta Guy Davis, Managing director and portfolio manager for
Speaker 1: g c I Investors, giving us his thoughts on these markets,
Speaker 1: which we appreciate. All right, Let's talk cyberge security ransomwhere
Speaker 1: it is everywhere and it pops up everyone in a
Speaker 1: while with a high profile story, but we know it's
Speaker 1: out there every single day. Christy Wyatt's CEO and president
Speaker 1: of Absolute Software that's a NASAC listed security stock a
Speaker 1: b s T is this ticker symbol um Christie, thanks
Speaker 1: so much, for joining us here. I'd love to just
Speaker 1: get a thirty thousand foot view of how you guys
Speaker 1: view cybersecurity, the size of it, the growth rate, what
Speaker 1: are some of the big issues that you guys are
Speaker 1: looking at. Well, good morning, um, So, I think you've
Speaker 1: entered into a whole new era of cyber security, especially
Speaker 1: for enterprise rights as everybody's employees that are now working
Speaker 1: from home. It's it's had a rethink almost everything we
Speaker 1: knew about how to protect the employee, and that just
Speaker 1: makes employees incredibly vulnerable to things like ransomware. And that's
Speaker 1: why you're seeing this acceleration of attacks around these topics.
Speaker 1: It's because these organizations are more vulnerable right now. Yeah, so, um,
Speaker 1: are we able to defend ourselves as well as our
Speaker 1: creating defenses UM that keep up with the attacks, or
Speaker 1: or are the criminals kind of um, you know, out
Speaker 1: maneuvering the the police in this. I think it's more
Speaker 1: of the shift, right, I think I think we definitely
Speaker 1: organizations are doing their very best to keep up and
Speaker 1: there's no lack of spending. We've seen the investment in
Speaker 1: cybersecurity accelerate over a year. I think we we talked
Speaker 1: about a is the investment Christie, is the investment growth
Speaker 1: consistent with because it strikes me and this is your point,
Speaker 1: and I think it's a great one. We had everybody
Speaker 1: kind of moving out of the prison and into the wild.
Speaker 1: You know, everyone has taken her or his company laptop
Speaker 1: out of the out of the building and home, and
Speaker 1: now they're on their own WiFi networks which aren't protected.
Speaker 1: And now they're you know, at Starbucks and you can
Speaker 1: look over their shoulder like every every security measure is
Speaker 1: gone all of a sudden. So yeah, and so and
Speaker 1: so a lot of the things that we used to
Speaker 1: rely on to protect users, like protecting the network. I
Speaker 1: know people use the castle and the moat analogy. When
Speaker 1: the previous regime, we all seem you were in the
Speaker 1: building and we could protect you by watching you, and
Speaker 1: now you're at home. And so you hear people talk
Speaker 1: a lot about things like zero trust and moving a
Speaker 1: lot more of the intelligence out to the device so
Speaker 1: that your security is at home with you. And so
Speaker 1: I think this is a massive shift and it's driving
Speaker 1: a tremendous amount of change and investment. I think across
Speaker 1: organizations that need to revamp their security strategy based on
Speaker 1: the risk profile changing and the landscape of what they
Speaker 1: need to protect is changed dramatically, and so there's a
Speaker 1: lot of you know, this is one of those pivotal
Speaker 1: moments in the cyber landscape where everybody's making this massive
Speaker 1: shift all at the same time. How can small uh
Speaker 1: and mid sized businesses afford to do this? I wonder.
Speaker 1: I mean, I I can see a company like, you know,
Speaker 1: a Bloomberg going out and buying the best security, but
Speaker 1: I'm just not sure about somebody small the midsize. But
Speaker 1: it's a great point because the big, the big ransomware,
Speaker 1: the big cyber breaches you read about, You read about
Speaker 1: large security firms coming in and giving you know, sort
Speaker 1: of the details of how they are compromised, and the
Speaker 1: attacks don't look incredibly different. It's just the stakes are higher,
Speaker 1: and so if you are a small business and or
Speaker 1: small enterprise, you don't have access to those same resources.
Speaker 1: The two most important things I think that folks need
Speaker 1: to be investing in. Number one. You know, we talk
Speaker 1: a lot about detection and prevention. There's a lot of
Speaker 1: tools available to help you try to screen for and
Speaker 1: identify bad things coming into your organization. And you can
Speaker 1: you know, you can select one of those tools. I
Speaker 1: think the second piece and in my mind, you know
Speaker 1: almost the more critical pieces. You should assume that even
Speaker 1: if the largest organizations with all of their investment are
Speaker 1: getting compromised, you are ultimately going to be the recipient
Speaker 1: of a ransomware or some sort of cyber breach. It's
Speaker 1: going to happen. So you have to think about remediation.
Speaker 1: Like an example would be, you know, if you click
Speaker 1: on that email in your device phrases and asks you
Speaker 1: to pay rants in order to get your data back. Well,
Speaker 1: when that system freezes, you know, whatever organization you're running,
Speaker 1: it can no longer connect to that device. And so
Speaker 1: what we do uniquely is we can maintain a connection
Speaker 1: to that device because we're embedded in the hardware. And
Speaker 1: so when you think about your investment, you have to
Speaker 1: think about both sides. How do I know something bad
Speaker 1: is going on? And when something bad is going on,
Speaker 1: what am I going to do? How am I going
Speaker 1: to get my stuff back without get shutting my school
Speaker 1: down or my business down? And is this the I mean,
Speaker 1: I know nothing about I T but you have the
Speaker 1: first self healing zero trust platform can you explain that
Speaker 1: to us. Yeah, The unique thing about Absolute is that
Speaker 1: we're embedded in the hardware of almost every PC and
Speaker 1: laptop that's been manufactured for the last fifteen years. So
Speaker 1: over a half a billion devices have this capability in them.
Speaker 1: It's just to the customer to to sort of turn
Speaker 1: it on by working with with Absolute. And so what
Speaker 1: that means is we can monitor the health of your
Speaker 1: security applications or of the things you care about, and
Speaker 1: if they become compromised, we can heal the By heal them,
Speaker 1: we mean we can fix them, repair them, reinstall them,
Speaker 1: so we can automate the recovery. And so if your
Speaker 1: employee is at home, I can't just tell you, know,
Speaker 1: I t to swing by your desktop and fix whatever
Speaker 1: has happened on your system. I have to be able
Speaker 1: to do that remotely. And because we're in the hardware,
Speaker 1: we have the ability to do that even when your
Speaker 1: security applications, your operating system may be in a state
Speaker 1: where it's not communicating with you anymore. And so so
Speaker 1: this is a bit of that shift I'm talking about
Speaker 1: in in in sort of the approach, which is if
Speaker 1: you assume everybody's not in the office, and you assume
Speaker 1: bad things are going to happen. You have to assume
Speaker 1: you have this lifeline. Um, Christie, I hope you get
Speaker 1: a different way of looking at it. I hope we
Speaker 1: get to get you back. Not enough time and fascinating stuff.
Speaker 1: Christy Wyatt is the CEO and president of Absolute Software.
Speaker 1: She also was named one of the top fifty women
Speaker 1: in Softwares of Service by The Software Report and uh
Speaker 1: CEO of the Year by The Globe and Mail. Thanks
Speaker 1: for listening to the Bloomberg Mark Kids podcasts. You can
Speaker 1: subscribe and listen to interviews with Apple Podcasts or whatever
Speaker 1: podcast platform you prefer. I'm Matt Miller. I'm on Twitter
Speaker 1: at Matt Miller three. Put on fall Sweeney I'm on
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