Speaker 1: From Mahard.
Speaker 2: We're Innovation, Money and Power.
Speaker 3: Collie in Silicon Ballet NBN.
Speaker 4: This is Bloomberg Technology with Caroline Hyde and Ed Lovedlove.
Speaker 5: I had Lovelow in San Francisco. Caroline Hyde off today.
Speaker 5: This is Bloomberg Technology coming up on the programmer warning
Speaker 5: from the EU to Twitter, crackdown on disinformation or face
Speaker 5: the consequences. We bring you our interview with the Block's
Speaker 5: Internal Market Commissioner, Tieri Breton, plus tech executives descend on
Speaker 5: the White House, our takeaways from Narendra Modi's state dinner
Speaker 5: as the CEOs of Apple, Google, Microsoft and open Ai,
Speaker 5: dying with the President and India's Prime Minister. And San
Speaker 5: Francisco's driverless future. I'll take you behind the scenes of
Speaker 5: my experience using autonomous vehicles. There's robotaxis. It's becoming a
Speaker 5: reality for thousands in this city. First, let's get to
Speaker 5: check on the market, so I want to get straight
Speaker 5: to the technology sector in equities. Then as that one
Speaker 5: hundred down this Friday, we're actually on track for our
Speaker 5: biggest weekly drop since March. That week in March where
Speaker 5: the banking crisis was unfolding.
Speaker 6: There's a story playing out here.
Speaker 5: You look at the performance of the NASA one hundred
Speaker 5: year to date, it's about a forty percent gain near that,
Speaker 5: echoing what we saw in nineteen ninety nine right before
Speaker 5: that bubble. We've got strategists by Bank of America writing
Speaker 5: that investors actually have started to flee technology stocks. They
Speaker 5: cite data from EPFR Global Data two billion dollars of
Speaker 5: outflows in the five trading days through June twenty first.
Speaker 5: So there could be a shift here when you extrapolate,
Speaker 5: when you zoom out and take a look at the
Speaker 5: nas that one hundred in the moment, most names on
Speaker 5: a single name basis in the red on that index.
Speaker 5: And breaking news at the top of this hour, Bitcoin
Speaker 5: has hit its highest level in one year. It's been
Speaker 5: a lot of momentum, but a sharp gain sees us
Speaker 5: above thirty one thousand, one hundred US dollars per token.
Speaker 5: Go back to June fifteenth and that surprise black Rock
Speaker 5: filing for a Bitcoin spot Exchange ETF. That's what a
Speaker 5: lot of the story has been about, and it's a
Speaker 5: remarkable turnaround for what we have seen in this particular
Speaker 5: digital asset or digital token, but crypto more broadly, given
Speaker 5: there are a number of structural and industry issues very quickly,
Speaker 5: some names that we're watching. We're going to bring you
Speaker 5: the details of that meeting between those technology CEOs, President
Speaker 5: Biden and Therendromodi, Prime Minister of India. To the downside,
Speaker 5: we see Apple a little softer alphabet off by a
Speaker 5: percentage point, Tesla actually Interesting down almost two percentage points,
Speaker 5: seeing a pretty marked decline. I think it's on track
Speaker 5: for his biggest weekly drop in around six weeks. And
Speaker 5: Nikola Interesting News down seven point six percent, the company
Speaker 5: tweeting about a fire at their facility in Phoenix and
Speaker 5: saying that they suspect foul play. Bloomberg is investigating that story.
Speaker 5: From public markets to a name in the private space
Speaker 5: and technology. Twitter needs to put more resources towards addressing
Speaker 5: sensitive content ahead of elections if it wants to comply
Speaker 5: with strict new European regulations ahead of a deadline in August.
Speaker 5: We discuss the matter with Heierry Breton, the EU's Internal
Speaker 5: Market Commissioner.
Speaker 3: Have a listen.
Speaker 7: He made very clear that he will he will comply
Speaker 7: with our regulation and that he believes that DSA is
Speaker 7: a good regulation. And this is what he wants to
Speaker 7: do so again, I proposed to all of them, including Twitter,
Speaker 7: to a a stress test in their headquarters to make
Speaker 7: sure that they will understand what they have to do
Speaker 7: to be ready. He accepted. He's the first one, by
Speaker 7: the way to accept it, which is of course a
Speaker 7: good time. And my team spent two days so and
Speaker 7: reviewed many many programs saone to put in place. Is
Speaker 7: going in the right direction. And of course I don't
Speaker 7: have to comment, but uh, there's some work to be done,
Speaker 7: but the programs are well identified. Of course you're mentioning
Speaker 7: the code of Conduct CONN of connects something different color
Speaker 7: conduct is a voluntary code. This is the difference between
Speaker 7: a law and a voluntary code. I know that when
Speaker 7: you don't have the time to make a law, you
Speaker 7: proposed a voluntary code. But a voluntary code, per definition,
Speaker 7: is voluntary. It's not biding.
Speaker 8: Uh.
Speaker 7: And and for this specificity in the digital space, it
Speaker 7: is important now to have biding rules. It's difficult because
Speaker 7: of course you need as a politician to convince everyone,
Speaker 7: to convince your house, your Senate is complex, but that's
Speaker 7: the only way to do.
Speaker 9: And what was your impression of Linda Ya Koreena The
Speaker 9: new CEO of Twitter.
Speaker 7: I think she was very engaged. Of course, I understand
Speaker 7: that it's her first month as a intraider as a CEO,
Speaker 7: but she was really and on and she was attending
Speaker 7: the meeting, and she gave me the feelings that she's
Speaker 7: definitely willing to do everything everything text to him to
Speaker 7: comply with our ours.
Speaker 5: That was the European Commission Internal Market Commissioner Briton.
Speaker 6: For more, we're joined by Bloomberg.
Speaker 5: Sarah Fryer, the editor that conducted that interview. In Sarah,
Speaker 5: thet's start with a stress test. You and I have
Speaker 5: been covering Twitter, the ins and outs for years.
Speaker 6: What is a stress test though?
Speaker 5: What is a stress test of a social media platform
Speaker 5: like Twitter?
Speaker 9: Commissioner Britton told me that he spent the last couple
Speaker 9: of days in his team as well, looking through and
Speaker 9: seeing what actually does Twitter have built into its systems
Speaker 9: to comply with the rules that will go into effect
Speaker 9: in August on disinformation on harmful content. And Twitter does
Speaker 9: not currently do that, by the way, and that doesn't
Speaker 9: matter to Briton, he says, I don't need I asked him,
Speaker 9: do you actually trust that, you know? Given how they've
Speaker 9: been so permissive of certain kinds of content since must
Speaker 9: take over. Do you actually trust that he is going
Speaker 9: to follow through with this? They have declined to comply
Speaker 9: with the Voluntary Disinformation Code as he was talking about,
Speaker 9: and he says, you know what, I don't have to trust.
Speaker 9: I just need them to be ready to follow the
Speaker 9: law when it goes into effect. That's all that matters.
Speaker 9: So basically his message is if they don't comply with
Speaker 9: this law, they don't get access to the EU market.
Speaker 9: And he thinks that that will be a big enough incentive,
Speaker 9: not just her Twitter, but for Meta, for the other
Speaker 9: social media companies that will be affected, to to follow
Speaker 9: through on what he's what he is coming here to
Speaker 9: San Francisco to say is going to be important.
Speaker 5: Sarah, My understanding is the Commission has been pretty busy
Speaker 5: while he's been out here in the Bay Area taking
Speaker 5: other meetings with other technology names.
Speaker 9: He's meeting today with Tam Altman of Open Ai. He's
Speaker 9: meeting Mark Zuckerberg of Meta, and Jensen Wang of Nvidia.
Speaker 9: So you know, Briton's not just talking about the Digital
Speaker 9: Services Act. He's talking about the the AI regulation that
Speaker 9: he wants to put into effect. Now that's not a
Speaker 9: law yet, but that's going to require companies to think
Speaker 9: about how they're building their AI. He wants to encourage
Speaker 9: them to not build it in directions that he thinks
Speaker 9: would be bad for society, such as social monitoring, you know,
Speaker 9: grading people based on their social media habits or facial recognition.
Speaker 9: There are some forms of AI that that he thinks
Speaker 9: will be harmful, and so if he can put those
Speaker 9: regulations into place early enough, then maybe when the companies
Speaker 9: decide where they want to invest going forward, they won't
Speaker 9: invest in those areas and they will put you know,
Speaker 9: and this race to build AI products, they will put
Speaker 9: their money into things that are a little bit better
Speaker 9: for society.
Speaker 5: Bloomberg's Big Tech editor Sarah for I thank you. It's
Speaker 5: not the EU just visiting these shores. We also have
Speaker 5: visitors from other nations. India Prime Minister or Andromody is
Speaker 5: wrapping up his time in the US with a state
Speaker 5: dinner at the White House, where tech leaders from Apple
Speaker 5: to Google to Microsoft descended on the president's home. From
Speaker 5: more that's bringing Bloomberg's Nick Wadhams out in Washington, d C.
Speaker 5: It's interesting the Biden administration pulling two things together Nearendromod's
Speaker 5: visit and technology executives.
Speaker 1: Well, it's pretty fascinating because what you're seeing in real
Speaker 1: time essentially is the entire tech sector saying, Oops, we
Speaker 1: need to protect ourselves given the geopolitical life that's happening
Speaker 1: with China, and hey, India looks like a really appealing alternative.
Speaker 1: Still pretty tentative steps right now, but you know, in
Speaker 1: all sorts of areas AI Semiconductor's defense, there are just
Speaker 1: all sorts of partnerships and deals where they're essentially looking
Speaker 1: to fulfill what they and the administration say as a
Speaker 1: push toward friends shoring, so instead of offshoring, sending all
Speaker 1: their production to China, cutting down some of their vulnerabilities
Speaker 1: and going to a country that looks a little more
Speaker 1: friendly to the US.
Speaker 5: It's interesting you have the dinner last night. Our understanding
Speaker 5: is that there'll be more meetings this morning with that
Speaker 5: group of technology CEOs. Some of them have an interest,
Speaker 5: right Sam Altman has been to India, the CEO of
Speaker 5: Open AI.
Speaker 6: There's been a.
Speaker 5: Big emphasis and what Apple is doing both in that
Speaker 5: market but also in its supply chains. It makes you
Speaker 5: think about the relationship between the US and India. Strategically, Nick,
Speaker 5: which is your domain, right, How does the US view
Speaker 5: India as a technology partner, a supply chain partner, a
Speaker 5: geo political partner in the context of Asia.
Speaker 1: Well, it's really confusing, and in some ways the ground
Speaker 1: is really shifting because for a while the US has
Speaker 1: wanted to approach India as much more of a strategic partner,
Speaker 1: partly as a counterbalance to China. But on the other hand,
Speaker 1: in a lot of ways, India has not necessarily been
Speaker 1: willing to play ball. So they're not willing to just say, hey,
Speaker 1: we're going to form some big strategic alliance with the
Speaker 1: United States. We have other interests. For example, they have
Speaker 1: not condemned Russia's invasion of Ukraine. They've taken a much
Speaker 1: more ambivalent stance. They see themselves in some way as
Speaker 1: sort of a representative of what Narendramot he called yesterday
Speaker 1: in his speech to Congress, the global South. So they
Speaker 1: are not necessarily interested in just being this shoulder to
Speaker 1: shoulder partner with the United States. But they do want
Speaker 1: to bring in US money, US business advance their own economy,
Speaker 1: so they are eager to play that role. And then
Speaker 1: you see these tech companies essentially coming in and saying, Okay, well, look,
Speaker 1: this is a partner where we could it could be
Speaker 1: a lot safer for us than China, given off of
Speaker 1: the problems that China has imposed on us companies, also
Speaker 1: the intellectual property theft, a whole other range of issues
Speaker 1: that's making them reconsider their connections to China.
Speaker 5: The most Nick wardams out in DC, fascinating that we
Speaker 5: have the EU here in the Bay Area, then DC,
Speaker 5: we have all the tech executives from the Bay Area
Speaker 5: in DC and President Biden really interacting with that sector.
Speaker 6: Thank you for your time.
Speaker 5: Pendulum Therapeutics is a biotech company specializing in metabolic health
Speaker 5: through its micro bio targeted product products. Academy Award winning
Speaker 5: actress Halle Berry joined the company as an equity investor
Speaker 5: and chief Communications officer, also a director earlier this year
Speaker 5: after prioritizing her own metabolic health with Pendulum's products. I
Speaker 5: caught up with both her and Pendulum co founder and CEO,
Speaker 5: doctor Colleen Cutliffe at the Bloomberg Technology Summit yesterday and
Speaker 5: it was an interesting conversation. I said to her, how
Speaker 5: did you get into this? And She basically is saying, well,
Speaker 5: I had some problems, I used a product, it worked,
Speaker 5: I became an investor. Now I'm all in. She described
Speaker 5: it to me as her second act. She's still acting,
Speaker 5: but now this is the first step into her becoming
Speaker 5: an investor, a director of a company, and maybe something more.
Speaker 6: She promises she'll come back.
Speaker 5: AI also very much at the center of the discussions
Speaker 5: we were having at the Bloomberg Technology Summit. Here's what's
Speaker 5: something the speakers weighing in on the future of AI
Speaker 5: had to say, from everything cybersecurity related to calling for
Speaker 5: democratization of the technology.
Speaker 10: We think this technology, the benefits that access to it,
Speaker 10: the governance of it, belongs to him and they as
Speaker 10: a whole.
Speaker 11: This genitive of AI opportunity is huge. We don't know
Speaker 11: yet all of the different applications that are going to
Speaker 11: come up. We're seeing that just we mean, the past
Speaker 11: six months is a revolution. The number of companies coming
Speaker 11: with use cases.
Speaker 12: We'll also see and I think people have heard a
Speaker 12: lot of this today. AI coming more and more to
Speaker 12: the forefront, both to help folks stay productive and from
Speaker 12: a security perspective.
Speaker 7: If we do our job right, I think it should
Speaker 7: buttress our existing leadership position.
Speaker 10: The cloud, it can detect a fair amount of stuff,
Speaker 10: but there's a lot of subtle stuff that humans detect
Speaker 10: that AI doesn't. And so I think we have to
Speaker 10: ask ourselves are we happy with the road we're going down,
Speaker 10: because we're about to accelerate that road, and if we
Speaker 10: want to maybe make some course correction, now is the
Speaker 10: time to do it. And this is why I think
Speaker 10: discussion shouldn't just be about AI, but should be about
Speaker 10: what kind of world.
Speaker 3: Do we want to live in?
Speaker 10: What do we want to do with this technology?
Speaker 5: You know what's get some more of the conversation and
Speaker 5: go back to that conversation with halle Berry and clean
Speaker 5: cut lift of Pendulum.
Speaker 3: Have a listen.
Speaker 6: What was it like launching.
Speaker 5: And growing a business at first, and including raising money
Speaker 5: from a big name bench capital firm. You know, in
Speaker 5: other even in the intersection of medicine and foods, you know,
Speaker 5: there is issues of regulation non regulation. They are often
Speaker 5: born out of academia. I'm just fascinated by the origin
Speaker 5: story of this company.
Speaker 4: Well, I think, as with any big initiative, when you started,
Speaker 4: you don't necessarily know what you're taking on, and so
Speaker 4: it's lessly ignorance and naivete that got us here. I
Speaker 4: think it's you know, we knew that the gut microbiome
Speaker 4: was a new frontier and science. Our first investors were
Speaker 4: not an ABC's, it was the Male Clinic because they
Speaker 4: agreed there's something really interesting about the gut and how
Speaker 4: we can taggle diseases around it, and that was it.
Speaker 2: It was a very simple premise. The gut microbiome is
Speaker 2: an entirely new.
Speaker 4: Organ that has never been targeting before that can help
Speaker 4: people with a myriad of diseases.
Speaker 2: And from there it just we step forward.
Speaker 4: And I think when you have a vision like that
Speaker 4: about looking at kind of shelves of probiotics and saying.
Speaker 2: We're not even in there.
Speaker 4: We're really a technology based company using DNA sequencing and
Speaker 4: metabolic maps and you know, this high end manufacturing that
Speaker 4: nobody else in the world is doing to create these products.
Speaker 4: We ended up attracting the kind of investors that like
Speaker 4: to see world changing in category creating products, and we
Speaker 4: attract the kind of talent that wants to get involved
Speaker 4: in something that they've seen that's different than anything else
Speaker 4: they've experienced.
Speaker 2: And so we've been very.
Speaker 4: Fortunate in that it seemed from a science standpoint, there
Speaker 4: was an obvious opportunity, and all along the way, we've
Speaker 4: just been surrounded by amazing people who see that vision too.
Speaker 5: You're part of your role is you know, thinking about
Speaker 5: future investors, but also growing the brand.
Speaker 6: It's a consumer product, right, so scale it for me.
Speaker 6: Tell me how you take the mess out.
Speaker 5: There but then get it in more lanes for sale
Speaker 5: and more consumers stomachs.
Speaker 13: Well, I think it all starts with, you know, communication,
Speaker 13: talking about it, getting them to get interested in the brand,
Speaker 13: getting them to go try it to see for themselves.
Speaker 13: Like Colleen and I always talk about, don't just take
Speaker 13: it because I say. What I would love people to
Speaker 13: do is go try it because I ask them to,
Speaker 13: and then they decide for themselves. And I think that's
Speaker 13: how you start to scale it because it really does work.
Speaker 2: You know, it's not one of these products that just
Speaker 2: has a pretty package.
Speaker 13: As a matter of fact, it didn't have such a
Speaker 13: pretty package when I came along and I said, you need.
Speaker 2: To put this product in a pretty package.
Speaker 13: Because what I find is things that often sometimes scale
Speaker 13: sometimes it's marketing.
Speaker 2: You know, they have a pretty.
Speaker 13: Bottle and it's marketed the right way, and as consumers,
Speaker 13: we're often drawn to that. So now, knowing that she's
Speaker 13: got this like old class product here, I said to her,
Speaker 13: now it has to look like that too, because that
Speaker 13: is very much a part of how we buy as consumers.
Speaker 5: What's the future IPO raise more money, sell to a
Speaker 5: bigger player in.
Speaker 6: An an analogous field.
Speaker 5: You know, how do you feel about that stage of
Speaker 5: the company's life cycle.
Speaker 4: I mean, from the day we started the company to
Speaker 4: today to what I hope is going to be true
Speaker 4: into the infinite future. The company has been centered and
Speaker 4: grounded in how do we help people?
Speaker 2: And so right now we're helping tens.
Speaker 4: Of thousands of people, And so when I think about
Speaker 4: the future is how do we get to hundreds of
Speaker 4: thousands of people to.
Speaker 2: Millions of people? And that's what it's all about.
Speaker 4: And I think if you create a product that people
Speaker 4: love and it's bringing benefits to the world, all of
Speaker 4: that other financial stuff will just go on a place.
Speaker 5: Cloud computing firm fastly holding its annual investor Day, with
Speaker 5: the company projecting up to nine hundred million dollars in
Speaker 5: twenty twenty six revenue for more. We're joined by Fastly
Speaker 5: CEO Todd nineteen Gale. We joined the company last September.
Speaker 5: We're going to go into some of what you discussed,
Speaker 5: but there's only one question. How does fastly use artificial
Speaker 5: intelligence to improve its products?
Speaker 14: That is a great question and then obviously super top
Speaker 14: of mind for everyone, of course, just like every other company,
Speaker 14: especially tech companies, we use artificial intelligence to improve our offerings,
Speaker 14: specifically in traffic engineering, which is really near and dear
Speaker 14: to how we deliver best in class performance.
Speaker 6: That's core to our value proposition.
Speaker 14: But I think what's really interesting for Fastly especially is
Speaker 14: the opportunity to bring our customers AI workloads into the edge.
Speaker 14: We partner closely with centralized cloud providers where those models
Speaker 14: are trains but trained, but running an inference model at
Speaker 14: the edge has the power to deliver best in class
Speaker 14: sort of next generation you know, AI user experience, and
Speaker 14: user experience is what we focus on a Fastly, So
Speaker 14: we're kind of super excited about this new focus on AI.
Speaker 5: So the edge cloud market, you know, we discussed this
Speaker 5: on the program all the time. Microsoft, Google AWS. It's
Speaker 5: going to be hard, like how much of that market
Speaker 5: are they going to allow you to have.
Speaker 6: AWS gcp azure.
Speaker 14: These are core cloud technology providers. I as providers that
Speaker 14: operate these massive core cloud technologies, and every one of
Speaker 14: our customers uses a central cloud provider. We don't compete
Speaker 14: against those folks, and largely that's great. We believe deeply
Speaker 14: in our customers, believe deeply in a multi cloud architecture
Speaker 14: where they use those resources in the core and they
Speaker 14: leverage the edge cloud for super low latency experiences to
Speaker 14: drive content where the user experience, the speed, the performance
Speaker 14: is important. That's why Fastly is focused on fast, safe,
Speaker 14: and engaging end user experiences.
Speaker 5: You know, the market love this number of putting out
Speaker 5: for twenty twenty six.
Speaker 6: It's a long way away.
Speaker 5: I want to hear about what you're saying right now.
Speaker 5: You know what's driving growth for you right now in.
Speaker 6: This core to next quarter.
Speaker 14: Yeah, we're really pivoting Fastly hard right now towards aggressive
Speaker 14: customer acquisition, towards driving growth across our business and really
Speaker 14: financial rigor not just top line growth, but improving our
Speaker 14: bottom line as well. But really, what's driving the change
Speaker 14: in so many ways is a refocus, a refocus on
Speaker 14: delivering the best user experience with platform unifications, so that
Speaker 14: our customers have a simpler experience end to end and
Speaker 14: they can really partner with Fastly, not just on one
Speaker 14: product line like content delivery, but across our portfolio. That
Speaker 14: makes our sales teams, land and expand motion so much
Speaker 14: easier as they expand from content delivery to security, to
Speaker 14: compute to observability. It's also amazing We've just launched a
Speaker 14: new partner program where our systems integrators systems integrator partners
Speaker 14: can take to market not just content, not just security,
Speaker 14: but our whole portfolio. That's driving amazing deal registration, which
Speaker 14: is filling the top of our pipeline and I think
Speaker 14: really setting us up to change the growth and the
Speaker 14: acceleration of the company.
Speaker 5: Todd, your core business is Content Delivery Network or CDN
Speaker 5: to all the CTOs that check into to our show.
Speaker 5: It's such a mature market. So how do you navigate
Speaker 5: a mature market?
Speaker 3: You know?
Speaker 6: I think innovation is the key.
Speaker 14: We're innovators at Fastly and CDN the kind of legacy
Speaker 14: CDN technology that that is not what's happening at Faster
Speaker 14: right now, That's not what customers come to Fastly for.
Speaker 14: We're delivering not just static content, but the most real
Speaker 14: time delivery, the most dynamic, the most engaging content in
Speaker 14: the world. It's why compute is such an important part
Speaker 14: of our business as well, and it's really always been
Speaker 14: embedded within content delivery. It's also why people who are
Speaker 14: streaming real time events have dynamic content. They want engaging
Speaker 14: application experiences. Those are the customers that come to fastly,
Speaker 14: and I believe over time, just about every organization in
Speaker 14: the world is going to fit in that category fastly.
Speaker 5: CEO, it's a nicey gale. Good to catch up out
Speaker 5: of New York. Thank you for your time. Welcome back
Speaker 5: to Bloomberg Technology. I'm ed Lovelow here in San Francisco,
Speaker 5: going to get quick check on the markets.
Speaker 6: The story of Friday tech lower.
Speaker 5: Look at the NASDAT one hundred, off by seven tenths
Speaker 5: of a percent as an index.
Speaker 6: It's on track for its.
Speaker 5: Biggest decline on a weekly basis since March when we
Speaker 5: had the banking crisis.
Speaker 6: That a lot of.
Speaker 5: Writing about how investors are pulling out of the technology sector.
Speaker 5: Look at the run up in that index year to
Speaker 5: date and the worries about what we saw in parallel
Speaker 5: with nineteen ninety nine.
Speaker 6: That's the narrative.
Speaker 5: Semiconductors also underperforming, down one point eight percent on the
Speaker 5: socks as yields come a little low. We're moving into
Speaker 5: bonds right three point seventy four percent on the US
Speaker 5: ten year, as we reported at the top of the show,
Speaker 5: and this.
Speaker 6: Is breaking news.
Speaker 5: Bitcoin now trading at its highest level in one year,
Speaker 5: almost thirty one thousand US dollars per token. A lot
Speaker 5: of that related to momentum in the ETF space and
Speaker 5: what black Rock did in the June fifteenth filing. In
Speaker 5: terms of the your name movers, there is some newsflow
Speaker 5: element to what's happening. But I'm taking a look at Tesla,
Speaker 5: down one point four three percent on the day. It's
Speaker 5: on track for its biggest weekly drop I think in
Speaker 5: six weeks. A lot of emphasis has been pulling back
Speaker 5: on the momentum in the AI context because that name
Speaker 5: was caught up in the rally, and also that it's
Speaker 5: coming off some significant highs. Less focus though on its
Speaker 5: energy business, and that's what I want to talk about
Speaker 5: a little bit. When Tesla's former head of energy founded
Speaker 5: startup Lunar Energy, he set out to bring sustainability and
Speaker 5: convenience to the average US household. Now, the company is
Speaker 5: launching its first product and all in one home energy
Speaker 5: system and it's taped sun Run to help with the
Speaker 5: solar panel installations. Joining us for more details on how
Speaker 5: this system works is Lunar Energy CEO canal Ji Rotra
Speaker 5: and Mary Powell, the CEO of sun Run. Two for one,
Speaker 5: both CEOs at the same time. Let me ask you
Speaker 5: this to start now, why did you need sun Run
Speaker 5: to make this happen?
Speaker 3: First of all, thank you for having me on the show.
Speaker 13: ED.
Speaker 15: It's a great opportunity. You know, sun Runs the largest
Speaker 15: solar installer in the country, and you know renewable energies
Speaker 15: on the rise and the future. Solar doesn't shine at night,
Speaker 15: so you need batteries to help with the transition from
Speaker 15: solar energy to battery energy.
Speaker 5: To me, it's also a technology question, right, So let's
Speaker 5: reflect on Tesla. Tesla's doing everything energy storage, solar. Was
Speaker 5: there a temptation to go down that route yourself?
Speaker 3: Yeah?
Speaker 15: So there are seventy five million homes in the country, ED,
Speaker 15: and only four million have solar and quarter million of
Speaker 15: those have home batteries. If you want to decarbonize homes
Speaker 15: which consume which emid twenty percent of greenhouse gas emissions.
Speaker 15: We need every home in the country to have solar
Speaker 15: and battery, and these products are not there today where
Speaker 15: they're plug in play, and there should be like consumer products.
Speaker 15: So Lunar Energy has design systems from the ground up
Speaker 15: to make every home go solar and battery in a
Speaker 15: very easy and seamless manner such that you know, consumers
Speaker 15: want affordable clean energy. Energy builds are rising, power outages
Speaker 15: are rising, but severe weather around the country. So consumers
Speaker 15: have spoken they want simple, affordable clean energy and Lunar's
Speaker 15: first system and all in one integrated solar battery load
Speaker 15: control system allows every homeowner in California and California and
Speaker 15: the rest of the country to avail this service. And
Speaker 15: we're excited to partner with sun Run, who's going to
Speaker 15: be our first installation partner, to install and bring these
Speaker 15: products to the masses in the country.
Speaker 5: Mary, welcome to the program, CEO of sun Run. From
Speaker 5: your perspective, how does it help you. You know it's
Speaker 5: going to customers and saying well, we'll give you the solar,
Speaker 5: but have you checked out the energy storage solution as well.
Speaker 3: Oh my goodness.
Speaker 8: Well, first of all, we are so excited about this
Speaker 8: opportunity to be partnering with Lunar. We are a strategic
Speaker 8: partner of Lunar. We were one of the original investors
Speaker 8: in Lunar because we see massive opportunity around storage in
Speaker 8: the United States of America. Sunrun is not just the
Speaker 8: leading solar company. We are actually the leading company in
Speaker 8: America that provides solar plus storage, you know, that can
Speaker 8: really help support not just our customers all around the country,
Speaker 8: but frankly the grid. One of the reasons I am
Speaker 8: so excited about what could All and his amazing team
Speaker 8: at Lunar have done is that they have really created
Speaker 8: that next level storage device that can also really integrate
Speaker 8: in a sophisticated way with the grid and help us
Speaker 8: make a more affordable, reliable grid for all of America.
Speaker 5: The frustration that some Americans have and plays out in
Speaker 5: jurisdictions all over the world, is that you install solar
Speaker 5: and often there's help to do its subsidy, and in
Speaker 5: you know, places like California where the sun does shine,
Speaker 5: it's great, but often the electricity goes back to the
Speaker 5: grid and you're compensated with a credit. It's not a
Speaker 5: self contained system, Mary, and so I wonder how quickly
Speaker 5: you see us moving to genuine households that can run
Speaker 5: independently from electricity perspective.
Speaker 8: Well, the cool thing is we're actually there, and I mean,
Speaker 8: this kind of technology just accelerates that capability. But you know,
Speaker 8: at the end of the day, one of the things
Speaker 8: that we're most excited about isn't about providing opportunities for
Speaker 8: customers to fully defect from the grid, which is sort
Speaker 8: of what your question implies. You know, what is way
Speaker 8: more powerful and what Canal and I were able to
Speaker 8: prove so many years ago in Vermont, is that we
Speaker 8: can create a more affordable, resilient grid for all of
Speaker 8: Americans by leveraging the assets on so many roofs around America,
Speaker 8: by harnessing that solar energy, storing it, and then dispatching.
Speaker 3: It when the grid needs it the most.
Speaker 8: I mean, look at what's happening in Texas real time
Speaker 8: right now, and imagine a future as we dramatically accelerate
Speaker 8: where all of those homes in Texas can be helping
Speaker 8: to support the grid and make it more affordable and
Speaker 8: reliable for all so you know, one Canel and I
Speaker 8: go way back innovating in this space, and you know
Speaker 8: he's just been, you know, just put together an amazing
Speaker 8: team that is going to really help accelerate this customer
Speaker 8: led revolution to a way more affordable, resilient way to
Speaker 8: power homes and the American grid.
Speaker 15: Yeah, and just just to add to that, you know,
Speaker 15: imagine a future where you have a million homes with
Speaker 15: home batteries. You know, each battery is about ten kilowatts.
Speaker 15: You suddenly have ten gigawatts of power available for the
Speaker 15: grid at any given point of time time when the
Speaker 15: grid needs it.
Speaker 3: What does that mean for the grid.
Speaker 15: The grid doesn't need to build dirty, fossil fuel based
Speaker 15: peaker plans to provide peak energy, which is when energy
Speaker 15: crisis is the most.
Speaker 3: So think of solar and home batteries.
Speaker 15: We're gunning for the future where every home in America
Speaker 15: has solar in battery and it is part of a
Speaker 15: distributed and decentralized grid and the technologies there.
Speaker 3: We need to get the product simple and easy and.
Speaker 15: As fast as possible in consumers' homes, and you'll see
Speaker 15: that we can. It's a win win for the planet.
Speaker 15: It's a wind win for the consumers and it's wind
Speaker 15: win for the electric grid.
Speaker 5: Tesla is the market opportunity big enough such that a
Speaker 5: Lunar Sunrun partnership can grow a business alongside Tesla offering
Speaker 5: essentially the same thing.
Speaker 15: I think so Again, I said, there are seventy five
Speaker 15: million homes just in the US, and only four million
Speaker 15: have solar and quarter million have battery. And Tessa is
Speaker 15: a great company. Lunar is going to be great, and
Speaker 15: I think we need a lot more companies innovating. The
Speaker 15: reason we started Lunar ED is because you know, three
Speaker 15: years back, I was looking around the space. There were
Speaker 15: so many companies providing the next best electric car and
Speaker 15: very few companies focused on the home. And that's why
Speaker 15: the opportunity was so great. I think Sun Runs a
Speaker 15: fantastic partner to start our relationship with, and we'll be
Speaker 15: enrolling a lot of other partners as we expand in
Speaker 15: the coming years.
Speaker 5: All Right, Well, thanks to the CEO of Lunar Energy,
Speaker 5: Canal Girotra and the CEO some run out of New York,
Speaker 5: Mary Pal, thank you for your time.
Speaker 3: Thank you.
Speaker 6: Ed all right, So coming up, which.
Speaker 5: Companies were really saved after the FDIC stepped in to
Speaker 5: backstop Silicon Valley Banks deposits. A new document tells us
Speaker 5: more about the top ten customer balances at that failed lender,
Speaker 5: plus our conversation about Generative AI's impact on healthcare with
Speaker 5: VJ Panda, General.
Speaker 6: Park At Andresen Horowitz.
Speaker 5: I've got to go back to bitcoin, so we've been
Speaker 5: talking all throughout Bloomberg Technology. We are at the highest
Speaker 5: level in around a year on bitcoin, just below thirty
Speaker 5: one thousand US dollars per token, as Bloomberg's writing about
Speaker 5: on the terminal on dot com. Part of this story
Speaker 5: is a recovery from the scandals in that industry. Some
Speaker 5: of it is more short term momentum. Go back to
Speaker 5: June fifteenth and Black Rocks filing on a bitcoin related
Speaker 5: ETF that seems to be adding some momentum as well,
Speaker 5: but a pretty sharp jump. This morning, we're at thirty
Speaker 5: eight hundred and ninety US dollars per token.
Speaker 6: This is Bloomberg.
Speaker 5: A document from the FDIC, which the agency said it
Speaker 5: mistakenly released unre adapted in response to a Bloomberg News
Speaker 5: Freedom of Information Act request, provides one of the most
Speaker 5: detailed glimpses yet into the bank's biggest customers. And it
Speaker 5: turns out the decision to guarantee all accounts above the
Speaker 5: two hundred and fifty thousand Federal Deposit Insurance limit also
Speaker 5: helped bigger companies that were in no real danger, like
Speaker 5: Soquoia Capital. That's bringing Bloomberg's Hannah Miller to go over this.
Speaker 5: What did the document we obtained for the FDIC actually
Speaker 5: tell us.
Speaker 16: Yes, So it listed out who the top depositors were
Speaker 16: with Silicon Valley Bank, and it's a reminder that it
Speaker 16: wasn't just fledgling startups that got helped out here, it
Speaker 16: was big companies that really didn't actually need that kind
Speaker 16: of aid.
Speaker 2: So the top of the list was Circle.
Speaker 16: They had three point three billion dollars of their reserves
Speaker 16: for their USDC stable coin with SVB, so they topped
Speaker 16: the list. And you also, like you mentioned, had Sequoia
Speaker 16: with one billion dollars and they have eighty five billion
Speaker 16: dollars dollars in assets under management, so that's just a
Speaker 16: small fraction of what they had at SVB.
Speaker 5: You know, it's one of the most read stories on
Speaker 5: the Bloomberg terminal on dot com for obvious.
Speaker 6: Reasons, even though it happened in the past.
Speaker 5: We're learning so much about what happened, but why does
Speaker 5: it matter what's contained within that?
Speaker 16: Yeah, so this is a reminder that the tech industry
Speaker 16: is still feeling the effects of the collapse of Silicon
Speaker 16: Valley Bank, that essential changes have been made here, that
Speaker 16: it's not going to be the same. They're not going
Speaker 16: to have those same comfortable banking relationships that they had
Speaker 16: prior to svb's collapse. So I think this is you know,
Speaker 16: even though this happened in March, this shows the impact here.
Speaker 16: It tells us that this is something that we need
Speaker 16: to be we need to keep tracking, and that the
Speaker 16: tech industry isn't going to be the same moving forward.
Speaker 5: You and I were at the Bloomberg Technology Summit yesterday
Speaker 5: and you know, this, the SVB story area in the
Speaker 5: year kind of put into question the health of Silicon
Speaker 5: Valley so to speak. What did you make of the
Speaker 5: health as the can Valley that I had a lot
Speaker 5: of interesting conversations where people are saying, like talents here,
Speaker 5: all the access to money is here, this is great,
Speaker 5: and others that were saying San Francisco is dead. You know,
Speaker 5: it was very difficult to discern the mood music.
Speaker 16: Yes, I mean it was really refreshing to see people
Speaker 16: at a conference. You know, there were some great conversations.
Speaker 16: You know, I think people were excited and happy to
Speaker 16: be there. But I think there's still this tense undercurrent.
Speaker 16: You know, people are worried about the fate of San Francisco.
Speaker 16: There are people who are not back to work or
Speaker 16: they've moved out of the city, including the talent that
Speaker 16: powers the tech industry. So I think there are still
Speaker 16: some questions ahead as to you know, how Aseppa's going
Speaker 16: to fare moving forward.
Speaker 5: Bloomberg's Hannah Miller terrific reporting. Great to be out and
Speaker 5: about with you in San Francisco talking all things tech now.
Speaker 5: Generative AI is the latest craze in the tech world,
Speaker 5: but not necessarily in the healthcare industry. VJ Pandey general
Speaker 5: partner in Dreesen Horowitz is trying to change that. He's
Speaker 5: been thinking about AIS for ten impact in health and
Speaker 5: medicine for years. We sat down with him earlier this
Speaker 5: week to discuss the intersection of artificial intelligence and health.
Speaker 3: Have a listen.
Speaker 17: Prior to joining Andrews and Horowitz, I was a professor
Speaker 17: at Stanford in actually many departments in chemistry, computer science,
Speaker 17: structure biology, and ours ter biophysics. And the result of
Speaker 17: that actually was almost four hundred papers, seven patents, three
Speaker 17: books at this intersection. So what we're seeing today is
Speaker 17: something that in some ways I've been waiting for for decades.
Speaker 5: The cynic and the skeptic says, you're jumping on the bandwagon.
Speaker 5: Now you yourself have been looking at this area for
Speaker 5: a while. But give me some concrete examples in the
Speaker 5: theater of healthcare, the area of healthcare where a large
Speaker 5: language model or a foundation model can improve a process
Speaker 5: of products, whatever it may be.
Speaker 17: Yeah, to kick it off, I think these large language
Speaker 17: models are very exciting, and what they can do is
Speaker 17: they can act as an interface where you can finally
Speaker 17: talk to the computer in a way that you couldn't before.
Speaker 17: But it's worth emphasizing that AI is much more broad
Speaker 17: than that. AI is something where it can impact drug design,
Speaker 17: where we can develop new drugs faster. It can impact
Speaker 17: how we think about healthcare, how we allocate healthcare resources.
Speaker 3: These are things that go beyond the LMS. As exciting
Speaker 3: as lllms are, I.
Speaker 5: Believe you phrase it as specialist ais. Yes, but is
Speaker 5: that going as far as to say an AI doctor
Speaker 5: or are we talking about an AI back office?
Speaker 8: Yeah?
Speaker 17: I think you'd want both, right, And so the beauty
Speaker 17: of AI back office today is that you can solve
Speaker 17: problems that are not clinically relevant but are still very
Speaker 17: important and still huge top line and bottom line issues
Speaker 17: for companies. But in time, as AI gets smarter, it
Speaker 17: becomes a specialist. We can get to the more critical
Speaker 17: clinical areas where maybe it's not an AI doctor at first,
Speaker 17: maybe it's someone who helps the doctor, who scales the doctor.
Speaker 17: Instead of one doctor seeing eight patients a day, maybe
Speaker 17: they could see ten or twenty or eighty. That scaling
Speaker 17: alone would be exciting and also it up levels the
Speaker 17: quality that perhaps we can all get the best doctors
Speaker 17: because now AI is helping everybody.
Speaker 5: How does vj, PUANDATE make money? Like, what is the
Speaker 5: exit strategy in this world? Because you quickly encounter regulatory headwinds,
Speaker 5: the need for approvals and if we think about in
Speaker 5: the context of drugs, medicines, trials, yes, how does that
Speaker 5: all square as a bench capitalist?
Speaker 17: Well, what's interesting for AI in life sciences and healthcare
Speaker 17: is that we have this very robust regulatory infrastructure already there.
Speaker 6: You know what you're going to get.
Speaker 3: We know what we're going to get.
Speaker 17: And actually, the amazing thing is that the regulators are
Speaker 17: excited about AI when we talk to them. They see
Speaker 17: that AI can do things for human health. They want
Speaker 17: to see how they can change regulations to allow AI
Speaker 17: to be able to have its greatest impact.
Speaker 5: So you're in recent Horowitz and big firm. That's not
Speaker 5: understating it really, but there are many partners who are
Speaker 5: interest in artificial intelligence. How do you all work together
Speaker 5: and how do you stay in your lane thematically in
Speaker 5: this case bio and health.
Speaker 17: Yeah, so we're broken into a series of funds, and
Speaker 17: so I founded the Life Sciences and Healthcare Fund, and
Speaker 17: so for anything that's in the area of life science
Speaker 17: and healthcare with AI, that would fall to our team.
Speaker 17: And what I'm excited about that combination is that that
Speaker 17: space has been so resistant to tech for decades and
Speaker 17: AI is making such a dramatic change that it could
Speaker 17: have some of it's biggest impacts on that space.
Speaker 6: That was VJ.
Speaker 5: Punday, General partner at Indres and Horoitz. I want to
Speaker 5: go back really quickly and correct something that I said
Speaker 5: earlier in the program. I said that Tesla on a
Speaker 5: weekly basis had its biggest decline in six weeks. It's
Speaker 5: down modestly on the week, just a tenth of a
Speaker 5: percent at current levels. But what I should have said
Speaker 5: is that it is down on a weekly basis for
Speaker 5: the first time in six weeks. In other words, it
Speaker 5: is snapped a five week gain streak. And there's still
Speaker 5: some of the sessions a go, so a little clarification
Speaker 5: on that one.
Speaker 6: This is Bloomberg time for talking tech.
Speaker 5: First up TikTok's political troubles seemed far away in can At.
Speaker 5: Executives swarmed the company's glitzy pop up stage during a
Speaker 5: week long industry extravaganza in southern France, and many said
Speaker 5: they actually planned to send more business to the platform.
Speaker 5: And Deloitte, the auditor of Indian tech firm by Jews quit.
Speaker 5: That's according to a letter seen by Bloomberg and confirmed
Speaker 5: by officials. This is the latest setback for the once
Speaker 5: high flying startup that's had its offices searched by anti
Speaker 5: money laundering officials and is embroiled in a tussle with
Speaker 5: creditors over a one point two billions doll alone, plus
Speaker 5: an early morning fire that broke out at Nikola's Phoenix headquarters,
Speaker 5: affecting several of its battery electric big rigs. More than
Speaker 5: fifty firefighters were dispatched at the scene. The company, which
Speaker 5: suspects foul play, said today in a tweet that no
Speaker 5: one was injured in the blaze and that an investigation
Speaker 5: is underway after a vehicle was seen in the area
Speaker 5: of the trucks prior to the incident. Now, San Franciscans
Speaker 5: are finally getting used to seeing electric cars cruising along
Speaker 5: the streets with no one in the driver's seat.
Speaker 6: Of course, i'd see it myself.
Speaker 5: This past week, I've been making my way around, using
Speaker 5: mostly rides from Alphabet's Weimo and its ride heading service.
Speaker 6: Here's how it went.
Speaker 5: So, seeing a driverless car in San Francisco with no
Speaker 5: one in the front seat is kind of becoming normal.
Speaker 6: But what about riding in one.
Speaker 5: This was my first time in a driverless Weymo Step
Speaker 5: one hailer ride via the weimo one app form minute
Speaker 5: wait time not bad. You can track the car's progress
Speaker 5: it arrives and next unlock the doors with the app
Speaker 5: and get in don't forget seat belt. The ride is
Speaker 5: started by touching a screen in the car or in
Speaker 5: the app. Hello, look along the way, it's pretty smooth.
Speaker 5: Remember Cruise is also offering driverless rides in SF, and
Speaker 5: Bloomberg's Emily Chang has done that.
Speaker 3: This is actually my very first time without a human driver.
Speaker 6: Back to Weimo.
Speaker 5: At times the car plays it's safe, it travels below
Speaker 5: the speed limit, and sometimes it takes unusually wide berth.
Speaker 5: Sometimes it signals randomly to change lanes or even tries
Speaker 5: to change lanes for no clear reason, and a lot
Speaker 5: of road users around You do get frustrated and honk
Speaker 5: at the Weimo, but pedestrians don't seem to even notice
Speaker 5: that no one's in the driver's seat, or they just
Speaker 5: don't care. So last minute, I get to Ocean Beach
Speaker 5: and I decide it's too cold, so we change plans,
Speaker 5: go to the app.
Speaker 6: Let's go to Twin Peaks.
Speaker 5: Get dropped off, but there's a limitation WAYMO can't go
Speaker 5: all the way, so it drops me near and the
Speaker 5: app tells me how to walk the extra part time
Speaker 5: to go back home. Wait times do vary depending on
Speaker 5: where you are. Right now, there's no fee in SF,
Speaker 5: but weaimo shows us what the trip would have cost,
Speaker 5: also doesn't ask for a tip. The service runs twenty
Speaker 5: four to seven in SF, where weimo has around two
Speaker 5: hundred cars, but the waitlist for San Francisco more than
Speaker 5: eighty thousand people. You can read more about my story
Speaker 5: and what it's like to ride in an autonomous car
Speaker 5: on the Bloomberg tamoan, of course, on Bloomberg dot com.
Speaker 5: Let's get a final check in on bitcoin throughout Bloomberg Technology.
Speaker 5: This how we've been talking about bitcoin trading at its
Speaker 5: highest level in a year now, back above thirty one
Speaker 5: thousand US dollars per token. The longer term story that
Speaker 5: Bloomberg's writing about on this Friday morning is getting over
Speaker 5: some of the scandal in the industry. That we've seen
Speaker 5: some kind of longer term momentum shorter term. That June
Speaker 5: fifteenth regulatory filing from black Rocks seeking an ETF product
Speaker 5: in the bitcoin domain a pretty sharp spike though at
Speaker 5: one point in Friday session, no headline or catalyst per se,
Speaker 5: but we do see these kind of timed swings.
Speaker 6: In the price of bitcoin. What a week that does
Speaker 6: it for this edition of Bloomberg Technology. Don't forget.
Speaker 5: You can recap everything from this show in our podcast.
Speaker 5: Wherever you get your podcast. We're on Apple, we're on Spotify,
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Speaker 5: Bloomberg dot com and the Bloomberg Business app.
Speaker 6: San Francisco. This is Bloomberg Technology m