WEBVTT - Nvidia Hits $1 Trillion Dollars and Elon Musk's in Beijing 0:00:01.600 --> 0:00:05.920 From Mahard. We're Innovation, Money and Power Collie in Silicon 0:00:06.000 --> 0:00:10.440 Vallet NBN. This is Bloomberg Technology with Caroline Hyde and 0:00:10.680 --> 0:00:11.280 Ed Ludlove. 0:00:25.079 --> 0:00:27.800 I'm Caroline Hyde at Bloomberg's world headquarters in New York 0:00:28.200 --> 0:00:28.400 and I. 0:00:28.480 --> 0:00:30.560 Had other in San Francisco. We're back Carrow. 0:00:30.880 --> 0:00:32.720 This is Bloomberg Technology. 0:00:32.520 --> 0:00:34.839 And guess what we're still talking about it coming up 0:00:34.840 --> 0:00:38.519 in video hitting one trillion dollars. It's the ninth company 0:00:38.560 --> 0:00:40.879 to ever reach the valuation. We're going to bring you 0:00:40.960 --> 0:00:44.400 all things AI throughout the show and despite the. 0:00:44.360 --> 0:00:48.440 AI rally, industry leaders warning the technology poses the risk 0:00:48.479 --> 0:00:51.120 of extinction. Will discuss a letter out from the heads 0:00:51.120 --> 0:00:55.200 of Open Ai, Google, DeepMind, Anthropic and others calling for caution. 0:00:55.640 --> 0:00:58.360 Class Elon Musk touches down in Beijing. We'll bring you 0:00:58.400 --> 0:01:01.360 the latest of his visit as a Tesla. CEO emphasises 0:01:01.400 --> 0:01:04.640 the importance of ties with China and let's get a 0:01:04.640 --> 0:01:07.039 global look on these markets right now, because actually the 0:01:07.120 --> 0:01:10.679 Chinese economy is actually still a key caution of concern 0:01:10.720 --> 0:01:13.200 for many and that is why we're seeing the Golden Dragon. That's, 0:01:13.200 --> 0:01:15.000 of course the Nasdak Golden Dragon in it's just off 0:01:15.000 --> 0:01:17.400 by more than three percent. Look, the Nasdaq is your 0:01:17.400 --> 0:01:20.680 outperformer today. The technology sector is your outperformer. Is Actually 0:01:20.920 --> 0:01:22.920 the rest of the world is still worrying about recession 0:01:23.000 --> 0:01:25.000 risks or worried about inflation. So we see the nasdak 0:01:25.040 --> 0:01:27.320 up sixtens percent, but not the other key US benchmarks. 0:01:27.319 --> 0:01:29.279 On the day ed we're seeing there a big rally 0:01:29.319 --> 0:01:32.039 in the US debt market. Ten year we see yields 0:01:32.040 --> 0:01:34.119 coming down some nine to ten basis points. For the reason, 0:01:34.440 --> 0:01:37.520 wellb deal relief. Yet to seal the deal, but certainly 0:01:37.560 --> 0:01:40.360 some sort of an agreement coming from across the aisles. 0:01:40.400 --> 0:01:42.040 We'll see whether that manages to push through and we 0:01:42.080 --> 0:01:44.360 avoid the vault here in the United States that really 0:01:44.360 --> 0:01:46.200 affected the crypto market. Just take a look at where 0:01:46.240 --> 0:01:48.880 we were earlier in terms of bitcoin. We managed to rally. 0:01:48.880 --> 0:01:50.640 It was the highest in a couple of months actually, 0:01:50.800 --> 0:01:53.040 but we've now dipped back down. We're currently trading flat 0:01:53.080 --> 0:01:55.600 on the day twenty seven, six hundred and seventy two 0:01:55.640 --> 0:01:57.800 is where we trade. But like dive into the micro 0:01:57.840 --> 0:01:59.760 because this is a day for microintech. 0:02:00.520 --> 0:02:02.680 A lot happening in the newsflow, a lot around AI but. 0:02:02.680 --> 0:02:04.920 Start with Tesla up pretty much at its high level 0:02:04.960 --> 0:02:06.440 in around two months four percent. 0:02:06.480 --> 0:02:08.280 Elon Musk is in China. 0:02:08.320 --> 0:02:10.720 In a statement issued by the Chinese government, Elon Musk 0:02:10.800 --> 0:02:14.200 is quoted as saying, Tesla against the decoupling with China 0:02:14.200 --> 0:02:16.920 and will continue to invest and grow its business in 0:02:16.960 --> 0:02:20.000 that market. The narrative around that boosting shares broadcome a 0:02:20.000 --> 0:02:22.520 really interesting move to the upside up four point seven percent. 0:02:22.800 --> 0:02:24.760 A couple of names out on the cell side boosting 0:02:24.760 --> 0:02:27.280 their price targets upgrading the stock because they see it 0:02:27.639 --> 0:02:30.760 as a beneficiary in the aihight cycle that's playing out 0:02:30.800 --> 0:02:31.120 right now. 0:02:31.120 --> 0:02:31.680 In Nvidia. 0:02:31.840 --> 0:02:34.680 Let's talk about in Nvidia, the stock absolutely staring up 0:02:34.680 --> 0:02:39.600 five point seven percent as well, one trillion dollar market cap, 0:02:39.639 --> 0:02:42.440 the first chip maker or semiconductor name to reach a 0:02:42.520 --> 0:02:46.000 trillion dollars in market value, the ninth stock ever to 0:02:46.080 --> 0:02:49.680 do so. It joins that exclusive club alongside Apple, Amazon, Alphabet, 0:02:49.680 --> 0:02:52.960 the parent of Google, and Microsoft one point zero two 0:02:52.960 --> 0:02:54.880 to one trillion. As it stands, we'll see if we 0:02:54.880 --> 0:02:57.440 can maintain the current gains on the stock carriers we 0:02:57.480 --> 0:02:59.959 head towards the close, but it's a really big moment. 0:03:00.080 --> 0:03:02.680 So this company founded here on the West Coast nineteen 0:03:02.760 --> 0:03:05.919 ninety three. Jensen Wang, this founder CEO, has been out 0:03:05.960 --> 0:03:08.720 in Taiwan for the last forty eight hours or so, 0:03:08.800 --> 0:03:12.520 speaking often and really driving momentum around those shares. I 0:03:12.520 --> 0:03:14.639 want to bring in Blue Legs in King and talk 0:03:14.639 --> 0:03:16.880 more about in video because we actually got product announcements 0:03:16.880 --> 0:03:19.000 as well. Right in What have we learned about in 0:03:19.080 --> 0:03:21.080 Vidia's latest offering in the field of AI? 0:03:21.320 --> 0:03:23.520 Well, are you ready for the list? We've got a 0:03:23.560 --> 0:03:27.200 super chip, a supercomputer. I think at least two new 0:03:27.360 --> 0:03:32.080 data centers networking for AI to speed things up in 0:03:32.120 --> 0:03:35.280 the data center. I mean a number of tie ups. 0:03:35.320 --> 0:03:37.000 I mean the list goes on and on and on 0:03:37.040 --> 0:03:40.040 and on in terms of what they announced this weekend 0:03:40.080 --> 0:03:41.560 and over the last few days. 0:03:42.160 --> 0:03:44.600 I mean he said it himself, didn't he it's too much. 0:03:44.720 --> 0:03:48.320 I know it's too much, but his sense of urgency, 0:03:48.520 --> 0:03:52.880 this run don't walk mentality. Is it only something an 0:03:52.880 --> 0:03:55.160 in video, a founder led business could do in the 0:03:55.200 --> 0:03:57.440 chip market. Are we seeing other announcements coming from other 0:03:57.440 --> 0:03:58.400 players in this respect? 0:03:59.320 --> 0:04:02.520 I mean we'll see plenty of announcements for seeing, plenty 0:04:02.560 --> 0:04:05.640 of road maps, but nothing like the intensity that's being 0:04:05.680 --> 0:04:08.840 shown by this company. I mean, let's face it, we're 0:04:08.880 --> 0:04:10.920 at the beginning stages. If you believe in video, we're 0:04:10.960 --> 0:04:13.320 at the beginning stages. And there are a lot of problems, 0:04:13.360 --> 0:04:17.640 a lot of technical issues, a lot of fundamental design 0:04:17.720 --> 0:04:20.040 issues that need to be solved in order for this 0:04:20.120 --> 0:04:24.080 to move forward. The company that's addressing these the company 0:04:24.120 --> 0:04:26.359 that's utually saying, hey, look, this is what we're going 0:04:26.400 --> 0:04:26.599 to do. 0:04:26.720 --> 0:04:29.440 That's in video right now, I mean in video where 0:04:29.440 --> 0:04:32.480 it's at it feels like. But actually, when I turn 0:04:32.560 --> 0:04:35.360 on my terminal, everything was coming out of type A. 0:04:35.520 --> 0:04:37.680 Over the course of the weekend. You saw Qualcom trying 0:04:37.720 --> 0:04:39.320 to be in on the game. You saw so many 0:04:39.360 --> 0:04:41.800 other announcements pouring from this really important meetup. 0:04:41.839 --> 0:04:42.719 It seems to be happening. 0:04:43.560 --> 0:04:47.480 Yeah, you know, Jenson, I'm clearly taking advantage of gathering 0:04:47.520 --> 0:04:49.840 of minds. You know, he's kind of this rock Star 0:04:49.960 --> 0:04:53.520 figure now, leather jacket clad with his specs on stage. 0:04:54.240 --> 0:04:56.680 Remember it's tattoo, the Invidia tattoo. 0:04:56.480 --> 0:04:58.880 With the Nvidia tattoo on the shoulder. But like, how 0:04:58.960 --> 0:05:00.280 much does this story che changed? 0:05:00.360 --> 0:05:00.520 Right? 0:05:00.839 --> 0:05:03.880 The days of Elon Musk being the rock Star technology 0:05:03.920 --> 0:05:07.200 executive in a rover Jensen Wuang. I believe he was 0:05:07.240 --> 0:05:09.880 born in in Taiwan. He was educated here on the 0:05:09.880 --> 0:05:12.520 West coast. He's kind of really central to the story, 0:05:12.520 --> 0:05:14.280 and his own wealth is really ballooned. 0:05:14.000 --> 0:05:16.920 Right, Yeah, I mean, you know, he left Taiwan when 0:05:16.960 --> 0:05:18.080 he was four years old. 0:05:18.279 --> 0:05:19.520 He founded this company. 0:05:19.600 --> 0:05:22.280 He still runs it and as Caroline said, this is 0:05:22.520 --> 0:05:25.880 it's him, right, he still runs it day to day. 0:05:26.279 --> 0:05:29.440 Everything revolves around him. And that's really you know, a 0:05:29.480 --> 0:05:33.239 company that lives or dies in terms of the direction 0:05:33.320 --> 0:05:34.320 that their CEO gives. 0:05:34.360 --> 0:05:39.839 And there is news flow also from global not just 0:05:39.920 --> 0:05:43.160 chips makers, but chip designers in get us up to 0:05:43.160 --> 0:05:45.960 speed as to who took some of the other oxygen, 0:05:46.000 --> 0:05:47.560 the tiny bit that was left. 0:05:47.360 --> 0:05:48.440 Outside of Tensen. 0:05:48.520 --> 0:05:51.040 I mean, ARM were trying to make some announcements as well. 0:05:52.080 --> 0:05:55.799 Yeah, ARM was with mobile related. Qualcomm was talking about, 0:05:55.839 --> 0:05:58.520 you know, mobile related. One of the things that Qualcom 0:05:58.640 --> 0:06:01.400 is saying is like, look, you can't do this all 0:06:01.800 --> 0:06:06.120 over wireless, over the Internet because data centers are too 0:06:06.160 --> 0:06:08.400 far away. If you want that instant response, if you 0:06:08.440 --> 0:06:11.560 want your chat GPT to actually tell you something meaningful 0:06:11.800 --> 0:06:14.080 in aful amount of time, when you're on the run. 0:06:14.320 --> 0:06:16.839 You need a phone that's capable of doing this. So 0:06:16.880 --> 0:06:19.400 there's a lot going on. There's a lot of opportunities 0:06:19.720 --> 0:06:20.960 if you believe the hype. 0:06:22.120 --> 0:06:23.200 Let's dig into the hype. 0:06:23.200 --> 0:06:26.159 Next, Ian King, we thank you so much for giving 0:06:26.240 --> 0:06:29.000 us a healthy dose of what is reality and what 0:06:29.160 --> 0:06:32.440 is and let's look at the ultimate opportunity. Here is 0:06:32.520 --> 0:06:36.000 Zeno Mercer. Here's research analysts over at metify Robo Global 0:06:36.080 --> 0:06:39.000 Indices three point four billion dollars in assets under management, 0:06:39.240 --> 0:06:41.800 someone who's been quoted, been thinking of for decades in 0:06:41.800 --> 0:06:44.679 the world of AI and its applications and its investibilities. 0:06:44.720 --> 0:06:47.920 You know, I'm interested in your perspective as to whether, 0:06:48.040 --> 0:06:50.880 really in Vidio is the pixel shovels you want to 0:06:50.880 --> 0:06:53.520 be and they were for it for crypto. 0:06:53.160 --> 0:06:54.239 They've been it for gaming. 0:06:54.560 --> 0:06:56.719 Is in VideA the really place to be when you 0:06:56.800 --> 0:06:58.200 want to be in a ground level for AI. 0:07:00.320 --> 0:07:02.120 It's a great question, and thanks for having me on. 0:07:02.960 --> 0:07:05.080 I mean, on one hand, of course, Nvidia has the 0:07:05.160 --> 0:07:07.560 picks and shovels, and they're not just picks and shovels. 0:07:07.560 --> 0:07:11.840 They're actually generating applications that are being used both enterprise 0:07:11.920 --> 0:07:14.000 currently and in recently B to B, so they're not 0:07:14.080 --> 0:07:16.840 just chips anymore, which is kind of making their own 0:07:16.880 --> 0:07:19.320 self fulfilling virtuous super cycle for themselves. 0:07:19.560 --> 0:07:22.080 Yeah, however, no, yeah, we can pause. 0:07:22.640 --> 0:07:25.360 Yeah, I mean just dig into the supercomputer element of 0:07:25.400 --> 0:07:27.720 all of this and what else is trying to. 0:07:27.680 --> 0:07:31.080 Be Yeah, so they're getting into you know, they've got 0:07:31.080 --> 0:07:34.480 their omniverse where they're actually trying to simulate reality. There 0:07:34.520 --> 0:07:38.080 ass different you know, so that can be used for manufacturing, 0:07:38.120 --> 0:07:41.840 that can be used for proteins, and just generally helping 0:07:41.840 --> 0:07:44.760 simulate physics or at least empowering other companies to do that, 0:07:45.560 --> 0:07:49.040 which is very fundamental to improving any type of product design, 0:07:49.440 --> 0:07:52.560 designing cities, kind of any type of motion or physical 0:07:52.600 --> 0:07:53.520 interaction in the world. 0:07:53.520 --> 0:07:56.520 World. It's not just this digital back end. 0:07:56.600 --> 0:08:00.920 And language that people are excited about. The other ecosystems 0:08:00.920 --> 0:08:05.000 that they're going to be empowering alongside other players in 0:08:05.000 --> 0:08:09.560 the ecosystem, both infrastructure and you know, companies that specialize 0:08:09.560 --> 0:08:12.800 in those areas, such as physics, design, et cetera. 0:08:14.160 --> 0:08:16.800 Just what's fascinating amid all of this, of course, ED 0:08:17.160 --> 0:08:20.760 is Yes, there's real application, there's real tangible need you 0:08:20.800 --> 0:08:22.560 and I playing with it on a daily basis. But 0:08:22.920 --> 0:08:25.360 you can't get away from the fact that what you're saying, 0:08:25.360 --> 0:08:27.480 this is a six hundred billion dollar overall market ed 0:08:28.000 --> 0:08:29.880 we've now got a one trillion dollar company on the 0:08:29.880 --> 0:08:30.160 back of this. 0:08:30.320 --> 0:08:34.200 It feels like it's a valuation question, right that. The 0:08:34.240 --> 0:08:37.319 whole point of Roboglobal is to give investors, through different 0:08:37.320 --> 0:08:41.680 index and research, some exposure to developments in AI. But 0:08:41.760 --> 0:08:43.959 this is a stock trading at around two hundred times 0:08:43.960 --> 0:08:45.200 forward earnings. 0:08:45.920 --> 0:08:47.360 Right now, that's a good point. 0:08:47.360 --> 0:08:49.679 I mean, it's definitely run pretty far ahead of what 0:08:49.800 --> 0:08:51.520 it had been trading at. And if you think about 0:08:51.520 --> 0:08:54.640 what's happened over even the last year, you had a 0:08:54.720 --> 0:08:57.840 chip shortage with the supply chain, you had the chips 0:08:57.840 --> 0:09:00.559 as past, then you had people concerned about gaming and 0:09:00.600 --> 0:09:06.040 PC slowing down, and so last October the semiconductor market overall, 0:09:06.160 --> 0:09:10.240 even AI market had been that valuations had really dropped dramatically, 0:09:10.320 --> 0:09:13.320 and now they're starting to pick back up. So kind 0:09:13.320 --> 0:09:15.079 of a year of a year basis, it looks a 0:09:15.120 --> 0:09:17.720 little less run up, ye if you will, rather than 0:09:17.720 --> 0:09:20.520 the dramatic drop off there. But the rest of the 0:09:20.640 --> 0:09:23.200 AI ecosystem a lot of these companies are definitely not 0:09:23.240 --> 0:09:27.079 trading anywhere near in videos levels, and you know, you'll 0:09:27.080 --> 0:09:29.319 look at you know, the Think Index for example, where. 0:09:29.120 --> 0:09:31.239 We track infrastructure and applications. 0:09:31.480 --> 0:09:34.080 It's trading more along the lines of six point five 0:09:34.320 --> 0:09:37.760 x ford ev sales and forty x price to earnings 0:09:37.800 --> 0:09:38.960 on a floor looking basis. 0:09:39.000 --> 0:09:41.760 So that's a pretty dramatic step up. 0:09:41.800 --> 0:09:43.560 And we think a lot of these other players are 0:09:43.600 --> 0:09:46.280 either smaller and not getting the same attention. Of course 0:09:46.320 --> 0:09:49.280 you're watching this dramatic one up within video, but some 0:09:49.360 --> 0:09:53.120 of them will also maybe they'll appreciate and see these 0:09:53.160 --> 0:09:54.600 earnings triple in over time. 0:09:54.679 --> 0:09:57.800 Right, so you've got you know, cloud infrastructure. 0:09:57.280 --> 0:10:01.200 Edge automotive areas are going to benef as more people 0:10:01.240 --> 0:10:02.760 deploy and utilized AI, not just. 0:10:02.679 --> 0:10:05.760 In training but in practice. I kind of as what Ian. 0:10:05.640 --> 0:10:08.439 Was saying was like having these edge compute on device 0:10:08.520 --> 0:10:11.319 with computer vision being able to do it, not just in. 0:10:11.280 --> 0:10:13.680 The cloud like we're doing right now viewers or AI cloud, 0:10:13.720 --> 0:10:17.120 which will continue to be valuable and continue to be deployed. 0:10:16.679 --> 0:10:20.840 But it's going to saturate and deploy and empower many 0:10:20.920 --> 0:10:23.760 other different parts of the ecosystem, not just you know, 0:10:23.880 --> 0:10:26.200 in Vidia and the chips like it needs other player 0:10:26.320 --> 0:10:29.960 to survive. It's not a standalone, single unit player in 0:10:30.000 --> 0:10:33.120 the economy and an economy where it is going to 0:10:33.160 --> 0:10:36.720 take even more percentage of GDP and potentially go GDP, 0:10:37.120 --> 0:10:40.040 there could be deflationary pressure in some areas, but those 0:10:40.040 --> 0:10:42.000 are some of the area That's kind of how we're 0:10:42.000 --> 0:10:42.800 thinking about it here. 0:10:42.720 --> 0:10:43.400 At Grobo Global. 0:10:44.440 --> 0:10:47.920 Let's let's bring up that terminal chart showing in Vidia's 0:10:47.960 --> 0:10:49.800 market cap for just a second. You look at the 0:10:49.840 --> 0:10:52.600 spike on the right hand side of the screen that 0:10:52.880 --> 0:10:56.920 is showing that outlook. They gave basically growth which was 0:10:56.960 --> 0:11:02.000 fifty percent above what analysts were expecting. What's the story 0:11:02.040 --> 0:11:04.360 here is, you know, what did you learn from Nvidia's 0:11:04.360 --> 0:11:07.280 outlook about the demand right now for its products? 0:11:08.000 --> 0:11:09.479 I mean, it's really not surprising. 0:11:09.720 --> 0:11:13.520 We've been expecting more demand and more interest to happen 0:11:13.600 --> 0:11:15.120 for a while. It was more of when the the 0:11:15.200 --> 0:11:18.760 meander would shift over and what catalyst it would take, 0:11:18.960 --> 0:11:22.280 whether it was, uh, you know, autonomous vehicles, but in 0:11:22.320 --> 0:11:25.240 this case, it was getting AI out of kind of 0:11:25.720 --> 0:11:28.959 super enterprise research areas but actually into the hands of 0:11:29.000 --> 0:11:32.559 people where they're actually thinking business leaders are thinking, governments 0:11:32.600 --> 0:11:35.160 are thinking, hey, this is real and we need to 0:11:35.200 --> 0:11:37.720 figure out how to use this across not you know, 0:11:37.840 --> 0:11:39.000 every fastive society. 0:11:39.120 --> 0:11:41.520 You know, healthcare in the US is very expensive. 0:11:41.840 --> 0:11:43.800 You know, the US is thinking how can we deploy 0:11:43.880 --> 0:11:48.080 AI to improve healthcare outcomes, reduce medicare fraud. 0:11:47.800 --> 0:11:49.600 And just kind of all these different areas where you're 0:11:49.640 --> 0:11:51.040 seeing issues. 0:11:51.080 --> 0:11:53.440 This can be used to help solve and improve the 0:11:54.200 --> 0:11:58.839 processes and outcomes across all these different areas. 0:11:59.000 --> 0:12:04.120 What's interesting, there's one player who thought and realized that 0:12:04.200 --> 0:12:06.520 in video was cool before many others was buying it 0:12:06.520 --> 0:12:09.240 in twenty fourteen and has missed this rally. And it's 0:12:09.320 --> 0:12:12.160 Kathy Wood because she's got some concerns about the business, 0:12:12.160 --> 0:12:14.800 about competition, about valuation. Just kin of listened to you 0:12:14.840 --> 0:12:16.080 know what she said to us on Friday. 0:12:17.160 --> 0:12:19.880 In Vidia has become a check the box stock. That's 0:12:19.920 --> 0:12:23.840 where the valuation is where it is. But we are 0:12:23.920 --> 0:12:29.840 looking for those plays that have not only the vision 0:12:30.080 --> 0:12:34.200 from management team point of view and broad distribution, but 0:12:34.320 --> 0:12:38.959 also proprietary data and AI expertise. 0:12:40.160 --> 0:12:43.680 So you know, where are you looking for opportunities? Who 0:12:43.760 --> 0:12:47.240 else can you buy in at a better valuation than 0:12:47.320 --> 0:12:48.440 is going to ride this AI wave. 0:12:49.679 --> 0:12:50.480 It's a great question. 0:12:51.120 --> 0:12:53.440 You know, I agree and disagree with their approach and 0:12:53.520 --> 0:12:57.840 her approach in one hand. Yes, data and software plays 0:12:57.880 --> 0:13:00.400 are great, they are amazing. It's not just the video 0:13:00.559 --> 0:13:03.440 I already mentioned in video is not just hardware anymore. 0:13:04.200 --> 0:13:06.120 But there's lots of players. 0:13:06.360 --> 0:13:09.120 You know, don't don't really like to dive into specific names, 0:13:09.120 --> 0:13:11.199 but if you look at companies like Simsara, they're helping 0:13:11.240 --> 0:13:14.520 digitize and analyze real world analytics the vehicles and fleets 0:13:14.520 --> 0:13:17.920 around the world for utilities, for you know. 0:13:17.960 --> 0:13:21.440 Mining, like many different subsectors. So there's companies like that. 0:13:21.960 --> 0:13:24.400 Uh, you know, there are other semiconductor companies like Global 0:13:24.480 --> 0:13:28.679 Unitchen which is you know, partially owned by Taiwan Semiconductor. 0:13:29.160 --> 0:13:31.480 They're trading you know, more like forty x I think, 0:13:31.559 --> 0:13:35.520 or fifty x for pe So and the and their 0:13:35.559 --> 0:13:38.840 A six are being used in AI. So I think 0:13:39.440 --> 0:13:42.800 there's more picks and shovels to the ecosystem than software. 0:13:43.240 --> 0:13:44.679 Also, there's cybersecurity. 0:13:45.120 --> 0:13:48.840 There's cloud and networking compute companies like Arista and pure 0:13:48.920 --> 0:13:52.280 Storage where you know, demand and utilization and AI will 0:13:52.320 --> 0:13:56.080 require more storage. Both in the cloud and and you 0:13:56.120 --> 0:13:59.360 know on on premise on device, especially as we get 0:13:59.400 --> 0:14:01.560 more in the mold modal AI, which is not just 0:14:01.679 --> 0:14:04.640 TX but video, well that's going to. 0:14:04.640 --> 0:14:06.240 Require a lot more storage. 0:14:06.640 --> 0:14:08.840 And you know, somebody like companies like Pure Storage haven't 0:14:08.840 --> 0:14:09.559 really taken off. 0:14:09.559 --> 0:14:11.800 In fact, you know, she kind of like a temporary 0:14:11.920 --> 0:14:14.640 pain point. But you know it's hard to imagine that 0:14:14.920 --> 0:14:16.240 with this up tack and demand. 0:14:16.400 --> 0:14:18.680 Uh, that's kind of kind of tail along with it 0:14:18.760 --> 0:14:20.920 and grow with the rising kind. 0:14:21.560 --> 0:14:24.760 Yes, Cino massa robo Globo, someone that lives and breathes 0:14:24.840 --> 0:14:27.480 artificial intelligence and does so with a smile on their face. 0:14:27.880 --> 0:14:29.840 Caroline, thank you for you your times. 0:14:29.880 --> 0:14:41.520 You know, the company that gets a person in an 0:14:41.560 --> 0:14:45.320 autonomous vehicle from a point A to point B as 0:14:45.400 --> 0:14:49.800 quickly and safely as possible is probably going to get 0:14:49.840 --> 0:14:52.200 the lion's share of the market. And that company will 0:14:52.320 --> 0:14:57.160 in the United States, we believe be Tesla. 0:14:57.960 --> 0:15:00.440 That was a part of our interview of kafy woodscussing 0:15:00.520 --> 0:15:03.480 Tesla and sticking with the EV maker. Elon Musk is 0:15:03.520 --> 0:15:06.120 in China for the first time since the pandemic, where 0:15:06.120 --> 0:15:09.200 he met with the nation's foreign minister and emphasized the 0:15:09.240 --> 0:15:13.560 importance of maintaining ties with China. Let's bring in Bloomberg's 0:15:13.560 --> 0:15:16.720 Global Auto's editor Cray Trudel for more. 0:15:17.760 --> 0:15:19.840 This was a meeting with Ching Gang. 0:15:20.200 --> 0:15:23.000 What were the key kind of messages that came out 0:15:23.040 --> 0:15:24.600 of Elon Musk's visits to Beijing. 0:15:26.120 --> 0:15:28.800 Yeah, I think per your intro, I mean, that was 0:15:28.840 --> 0:15:31.280 one of the things that was sort of you know, 0:15:31.600 --> 0:15:35.800 universal in this readout from both sides, right, an emphasis 0:15:36.120 --> 0:15:39.560 on the need for US China collaboration. And it's sort 0:15:39.600 --> 0:15:42.200 of no wonder that that's a major point of emphasis 0:15:42.800 --> 0:15:45.280 on the part of the Foreign ministry, given what's been 0:15:45.320 --> 0:15:49.480 happening with chips, what's been happening with electric vehicle batteries. 0:15:49.840 --> 0:15:53.120 You've had Joe Biden and other leaders, you know, really 0:15:53.200 --> 0:15:56.760 make a concerted effort to wean the global auto industry 0:15:56.840 --> 0:16:01.720 off of the reliance on China for batteries, which you know, 0:16:01.960 --> 0:16:05.760 the country just absolutely dominates supply of not only and 0:16:06.480 --> 0:16:10.080 battery cells, but the raw materials and also chips. Right, 0:16:10.400 --> 0:16:14.600 a big emphasis on, you know, building up semiconductor supply 0:16:15.240 --> 0:16:20.200 outside of Asia, and whether it's in the US or Germany, 0:16:20.720 --> 0:16:23.800 and some real challenges on the part of whether Biden 0:16:24.160 --> 0:16:27.240 or ol Off Schultze in terms of getting companies to 0:16:27.760 --> 0:16:30.880 sort of agree to this change in approach. 0:16:30.880 --> 0:16:33.920 Well precisely because well, he's not alone in an musk. 0:16:34.040 --> 0:16:36.640 You've had the Mercedes CEO, We've just heard from Mary 0:16:36.680 --> 0:16:40.800 Barrow of GM, You've heard from other companies saying these 0:16:40.840 --> 0:16:44.240 ties need to remain despite leadership from a government perspective 0:16:44.240 --> 0:16:45.040 thinking otherwise. 0:16:46.360 --> 0:16:49.400 Yeah, and I think there is some sort of realism 0:16:49.440 --> 0:16:52.320 on the part of these government leaders of talking about 0:16:52.640 --> 0:16:55.520 de risking as opposed to decoupling. And I think there 0:16:55.600 --> 0:16:57.440 is going to be that sort of, you know, debate 0:16:57.760 --> 0:17:00.120 as to whether or not it is really realistic to 0:17:00.280 --> 0:17:04.920 completely decouple us from China or Germany from China. And 0:17:05.000 --> 0:17:07.920 if you ask, you know, the CEO of Mercedes Benz, 0:17:07.960 --> 0:17:11.800 he says it's it's not realistic, right, So whether or not, 0:17:12.560 --> 0:17:15.960 you know, it's it's possible to really cut these companies 0:17:16.000 --> 0:17:18.840 off from this market that's been a huge source of 0:17:18.840 --> 0:17:21.800 profits for them, a huge source of exports. If you're 0:17:21.960 --> 0:17:24.960 if you're Tesla, you know this, after all, was supposed 0:17:25.000 --> 0:17:28.000 to be a plant in Shanghai that was going to 0:17:28.080 --> 0:17:30.920 be for the domestic market. But it's really turned into 0:17:31.000 --> 0:17:34.240 this massive export base for Tesla to wear. Last year, 0:17:34.560 --> 0:17:36.480 you know, more than half of the cars they produced 0:17:36.480 --> 0:17:38.440 globally came out of that plant in Shanghai. 0:17:39.200 --> 0:17:42.080 Craig on Kafiwidd's point on autonomy, I believe the Bloomberg's 0:17:42.080 --> 0:17:45.240 source has told us that Elon Musk may meet with 0:17:45.480 --> 0:17:49.040 Chinese Premierliche Yang on autonomous driving in particular. 0:17:50.520 --> 0:17:52.560 Yeah, I think that's going to be a really interesting 0:17:52.640 --> 0:17:55.359 to watch play out because we've seen recently Tesla have 0:17:55.440 --> 0:17:58.640 to do a recall that they were able to address 0:17:59.720 --> 0:18:03.040 an over the air software update in China. There's obviously 0:18:03.040 --> 0:18:07.080 a lot of attention anytime Teslas get into any sort 0:18:07.119 --> 0:18:10.000 of safety issues in China, and to the extent that 0:18:10.040 --> 0:18:12.080 we start to see some of the same things that 0:18:12.119 --> 0:18:15.560 have happened in the US over the years of crashes, 0:18:15.720 --> 0:18:19.240 some of them fatal involving autopilot or full self driving. 0:18:19.560 --> 0:18:21.560 You know, to this point that's really been sort of 0:18:21.600 --> 0:18:25.240 isolated to North America, and you know, Elon Musk, we know, 0:18:25.359 --> 0:18:28.320 really wants to sort of you know, make that more 0:18:28.400 --> 0:18:32.240 global technology that that Tesla is able to deploy, and 0:18:32.280 --> 0:18:34.639 to the extent that you know, the government is willing 0:18:34.680 --> 0:18:36.720 to go along with that is a big question I 0:18:36.720 --> 0:18:37.520 think going forward. 0:18:37.840 --> 0:18:40.760 Great Dal thanks for keeping it global for us and 0:18:40.800 --> 0:18:43.560 all things elon Musk we thank you. Meanwhile, coming up, 0:18:43.920 --> 0:18:46.640 we're talking China. Some more lived off from China, how 0:18:46.640 --> 0:18:48.280 the country is narrowing the gap in the head to 0:18:48.359 --> 0:18:51.680 head space race in the United States, and this most 0:18:51.720 --> 0:18:54.000 recent launch, this is to bring back. 0:19:15.560 --> 0:19:16.560 Time for talking tech. 0:19:16.640 --> 0:19:19.400 First up, China making good on its goal for more 0:19:19.440 --> 0:19:22.960 prominence in the global space race, launching the Sheenzhu sixteen 0:19:23.040 --> 0:19:26.600 mission from a military controlled space center on Tuesday morning. 0:19:33.440 --> 0:19:37.040 The Schanzo sixteen mission is sending three astronauts to the 0:19:37.119 --> 0:19:41.720 Chinese Space Station, including the first civilian, a professor at 0:19:41.760 --> 0:19:46.159 Beijing based Beihang University. It's part of Beijing's plan to 0:19:46.200 --> 0:19:50.600 have a continuous presence at its space station. The Chinese 0:19:50.600 --> 0:19:54.040 Space Station is just one of several achievements that China 0:19:54.200 --> 0:19:57.560 has made in recent years as it tries to catch 0:19:57.640 --> 0:20:00.240 up to the US and space China has a also 0:20:00.440 --> 0:20:02.520 landed a craft on the far side of the Moon, 0:20:02.560 --> 0:20:05.960 the only country that's managed to do that. The next 0:20:05.960 --> 0:20:10.159 big project sending Chinese astronauts to the Moon a Chinese 0:20:10.200 --> 0:20:13.520 Space Agency official on Monday said the goal is to 0:20:13.640 --> 0:20:16.719 land on the Moon with a crude mission by twenty thirty. 0:20:17.200 --> 0:20:19.760 The US is also working to send astronauts back to 0:20:19.800 --> 0:20:23.600 the Moon part of its Artemis program. The US is 0:20:23.640 --> 0:20:27.160 so far more successful than China in winning international support 0:20:27.200 --> 0:20:30.639