WEBVTT - Microsoft's UK Talks and Hollywood's Actors on Strike 0:00:01.480 --> 0:00:06.720 From Mahard where Innovation, Money and power Collie in Silicon Valley, NBR. 0:00:07.120 --> 0:00:11.160 This is Bloomberg Technology with Caroline Hyde and Ed Ludlow. 0:00:25.239 --> 0:00:27.400 I'm Caroline Had of Lumberg's weldad quarters in New. 0:00:27.360 --> 0:00:30.600 York, and I'med Ludlow here in San Francisco. This is 0:00:30.600 --> 0:00:32.400 Bloomberg Technology coming up. 0:00:32.479 --> 0:00:36.240 Microsoft meets with UK regulators to try clear the final 0:00:36.320 --> 0:00:39.200 hurdle in its sixty nine billion dollar takeover of Activision. 0:00:39.400 --> 0:00:41.800 We'll read the latest from the productive talks. 0:00:42.800 --> 0:00:45.240 Plus we'll look at the sticking points in the strikes 0:00:45.280 --> 0:00:48.600 to the shut down Hollywood and how AI could transform 0:00:48.640 --> 0:00:50.080 Tenttaltown as we know it. 0:00:50.320 --> 0:00:54.160 And from AI to vr US aviation regulators and turning 0:00:54.200 --> 0:00:57.520 to a small Swiss tech startup to rethink how helicopter 0:00:57.560 --> 0:00:59.920 pilots and others are trained using virtual. 0:00:59.680 --> 0:01:05.000 Reality Microsoft Activision. The situation is this Right now as 0:01:05.040 --> 0:01:09.880 we speak, there is a hearing at the Competition Anti Trust. 0:01:09.680 --> 0:01:11.319 Tribunal in the UK. 0:01:12.000 --> 0:01:14.680 All they are deciding is an ask from all the parties, 0:01:14.720 --> 0:01:19.840 the UKCMA, Microsoft and Activision to stay legal proceedings so 0:01:19.920 --> 0:01:22.319 that they can find a solution. They can find a 0:01:22.319 --> 0:01:25.560 way of moving forward. The deal deadlines July eighteenth, as 0:01:25.600 --> 0:01:29.000 per the original merger agreement. It's now crunch time. Does 0:01:29.000 --> 0:01:32.920 this happen? Activision up three percent the market soft proxy, 0:01:32.959 --> 0:01:35.399 but the stock seems to suggest there's confidence that we're 0:01:35.440 --> 0:01:36.679 moving forward towards a solution. 0:01:37.440 --> 0:01:40.880 All about that competition and pel tribunal and all about well, 0:01:40.920 --> 0:01:44.240 those productive talks we understand thus far, Microsoft kicking off 0:01:44.240 --> 0:01:47.600 that hotly anticipated court hearing, with the discussions with the 0:01:47.640 --> 0:01:50.520 agency today. It's desperately trying, as you say, just to 0:01:50.520 --> 0:01:52.600 get this deal done sixty nine billion, and we know 0:01:52.680 --> 0:01:55.520 the clock is sticking on July the eighteenth for Activision Blizzard. 0:01:55.600 --> 0:01:57.600 Let's get to Brodie Ford, who's been across this, And 0:01:58.320 --> 0:02:01.000 I mean, UK is the hurdle, it really is. 0:02:01.080 --> 0:02:03.680 Yep, yeah, that's right. I mean, as you said, it's 0:02:03.680 --> 0:02:07.200 down to the wire tomorrow. If Microsoft doesn't close it, 0:02:07.240 --> 0:02:09.320 they'd pay three billion dollars. I'm sure they don't want 0:02:09.320 --> 0:02:11.160 to do it, or they could go ahead and close 0:02:11.200 --> 0:02:13.639 it and risk further out from UK regulators. 0:02:13.680 --> 0:02:16.760 So I mean, the market seems to think this is closing. 0:02:16.760 --> 0:02:18.560 I mean, I saw a note coming in here that 0:02:19.000 --> 0:02:21.400 the word imminently is being thrown around a lot, right, 0:02:21.400 --> 0:02:23.480 So could we see a decision from the UK today 0:02:23.520 --> 0:02:24.919 and see it all close wrapped up? 0:02:25.280 --> 0:02:25.919 Absolutely? 0:02:25.960 --> 0:02:28.440 But you see that you know there's still that what 0:02:28.680 --> 0:02:31.760 three four percent deal spread? Some people think there's still 0:02:31.800 --> 0:02:33.800 a risk, so down to the wire. 0:02:36.400 --> 0:02:39.359 When I spoke to sources at both companies Friday, there 0:02:39.400 --> 0:02:42.120 was a lot of confidence that this deal would close 0:02:43.000 --> 0:02:46.880 before or on July eighteenth, tomorrow, the deadline as per 0:02:46.919 --> 0:02:49.520 the merger agreement. But what you have is so many 0:02:49.520 --> 0:02:52.720 things in parallel. All the Appeals Tribuno is looking at 0:02:53.040 --> 0:02:56.240 is whether to allow the parties to go away and 0:02:56.400 --> 0:02:59.600 find some compromise between the two of them. The UKCMA 0:02:59.760 --> 0:03:03.400 stay and did its regulatory process till August twenty ninth. 0:03:03.800 --> 0:03:07.960 There is still an Appeals Tribunal trial scheduled for July 0:03:08.040 --> 0:03:13.400 twenty eighth, So so many moving pieces. Brody, What is 0:03:13.400 --> 0:03:16.480 the request here? What is it that Microsoft and Activision 0:03:16.639 --> 0:03:19.519 want to happen in between all of these dates? 0:03:20.240 --> 0:03:22.799 Yeah, well they wanted to close, and I think maybe 0:03:22.800 --> 0:03:24.919 what we should asking is what does the UK want 0:03:24.960 --> 0:03:27.680 to see. We saw Microsoft over the weekend make some 0:03:27.720 --> 0:03:30.560 concessions with Sony and say that look, we will agree 0:03:30.600 --> 0:03:33.880 that Call of Duty will remain on your platform for 0:03:33.919 --> 0:03:36.400 at least the next ten years. This is an agreement 0:03:36.440 --> 0:03:38.680 they tried to make previously, and Sony was actually the 0:03:38.680 --> 0:03:40.720 one that rejected it. So I think Sony coming to 0:03:40.760 --> 0:03:43.240 the table as an indicator that you know, they see 0:03:43.240 --> 0:03:46.560 the writing on the wall. Some of my colleagues have reported, 0:03:46.680 --> 0:03:51.040 including you, that you know, Microsoft has considered selling off 0:03:51.080 --> 0:03:53.240 some of its rights to cloud gaming in the UK, 0:03:53.360 --> 0:03:56.120 which was a point of concern for regulators. So I 0:03:56.160 --> 0:03:58.800 think we could see some concessions like this and just 0:03:59.160 --> 0:04:02.680 you know whatever that as little closing deal is needed 0:04:02.720 --> 0:04:03.760 to get it through the edge. 0:04:05.160 --> 0:04:07.280 Have we seen much like this before? 0:04:07.520 --> 0:04:10.400 Do we ultimately always get down to the wire when 0:04:10.440 --> 0:04:12.840 it comes to these sort of regulatory headaches and when 0:04:12.880 --> 0:04:16.120 we have such clear cut dates that yeah to be 0:04:16.120 --> 0:04:16.480 done by it? 0:04:16.560 --> 0:04:18.839 Well, I don't think so, because I think what's different 0:04:18.880 --> 0:04:21.320 here is the regulators are newly empowered to try to 0:04:21.400 --> 0:04:23.760 challenge these mergers, right. I mean, we had a regulatory 0:04:23.800 --> 0:04:26.600 regime in the US for many decades that allowed most 0:04:26.640 --> 0:04:29.440 mergers to go through, maybe with some concessions, but these 0:04:29.440 --> 0:04:33.600 things happened in a pretty more predictable way. I would say, 0:04:33.920 --> 0:04:36.839 I think this has been uncharted territory for the acquirer, 0:04:37.000 --> 0:04:38.480 the acquiree. 0:04:37.839 --> 0:04:38.640 The regulators. 0:04:38.680 --> 0:04:41.680 I mean, I think it's been an uncharacteristically wild ride 0:04:41.720 --> 0:04:43.640 as it relates to large mergers. 0:04:44.080 --> 0:04:46.440 I like that uncharacteristically wild rided. 0:04:47.720 --> 0:04:50.320 Yeah, I mean, we're all assuming that this does go smoothie, 0:04:50.320 --> 0:04:52.720 and my question is what happens if it doesn't. We'll 0:04:52.720 --> 0:04:55.640 save that for tomorrow. Blim bugs, Brady Ford, thank you 0:04:55.760 --> 0:04:57.920 very much. Just stick in the world of tech media 0:04:57.960 --> 0:05:01.360 and telecoms. We're talking about AI swiftly changing the way 0:05:01.760 --> 0:05:04.800 Hollywood operates and why it's holding up talks in the 0:05:04.839 --> 0:05:09.680 actor and writers' strikes really quickly. Also watching shares of Paramount, 0:05:09.720 --> 0:05:13.880 this is where Mission Impossible dead Reckoning Part one has 0:05:14.000 --> 0:05:17.719 missed the mark against estimates over the weekend down four percent. 0:05:17.760 --> 0:05:19.880 Really interesting. So when I spoke to Paramount CEO got 0:05:19.920 --> 0:05:24.480 backish last week. He was very confident that opening weekend 0:05:24.520 --> 0:05:27.080 would be a success for the new Mission Impossible. But 0:05:27.160 --> 0:05:30.479 the data fifty six point two million dollars across theaters 0:05:30.520 --> 0:05:32.839 this weekend, it's not what we wanted to see. 0:05:33.080 --> 0:05:35.720 Shares down four percent. This is Bloomberg Technology. 0:05:45.120 --> 0:05:49.240 Hollywood actors and writers continue their strike, demanding pay increases 0:05:49.279 --> 0:05:53.200 and residuals in streaming, plus assurances their work will not 0:05:53.440 --> 0:05:57.280 be replaced by artificial intelligence. More as bringing in Bloombergs 0:05:57.320 --> 0:06:00.000 Lucas Shaw, who leads our coverage of all things entertained, 0:06:00.160 --> 0:06:01.800 and Lucas, you've been out on the street, You've been 0:06:01.839 --> 0:06:04.280 tracking on the ground these strikes. 0:06:04.720 --> 0:06:06.320 Are they close to getting what they want? 0:06:07.760 --> 0:06:09.880 It doesn't seem that way. I mean, look, the actors 0:06:10.040 --> 0:06:14.159 just went on strike mid to late last week. I 0:06:14.200 --> 0:06:17.839 don't expect intense negotiations this week. You know they're going 0:06:17.920 --> 0:06:19.200 to want to be on the picket line trying to 0:06:19.240 --> 0:06:21.599 make their point. Have a couple of weeks at least 0:06:21.600 --> 0:06:23.200 where they make the studios sweat. 0:06:23.880 --> 0:06:24.080 You know. 0:06:24.360 --> 0:06:26.760 I may hear different, as I talked two more sources 0:06:26.760 --> 0:06:29.080 in the week pick up, but at this point I 0:06:29.080 --> 0:06:31.520 think most folks are expecting this will drag into the 0:06:31.839 --> 0:06:33.400 ball at the absolute earliest. 0:06:33.880 --> 0:06:36.279 How much can they make the studios sweat? Here, Lucas, 0:06:36.320 --> 0:06:38.560 how important is it and they get them back to 0:06:38.600 --> 0:06:41.760 work in some sort of time frame post labor Day In. 0:06:41.800 --> 0:06:43.560 The short term, not a ton. 0:06:43.720 --> 0:06:46.160 You know, it'll impact the release of some movies because 0:06:46.200 --> 0:06:48.640 now talent can't do can't do promo. You know, you 0:06:48.720 --> 0:06:52.560 have any titles coming out in July, August, early September, 0:06:52.600 --> 0:06:54.200 they're not going to be on the talk shows, They're 0:06:54.240 --> 0:06:57.120 not going to be doing podcasts, all those things. You know, 0:06:57.320 --> 0:07:01.159 most TV networks will be fine. You know, August and 0:07:01.200 --> 0:07:04.159 summer is kind of slow. Streaming services have banked a 0:07:04.160 --> 0:07:06.920 lot of programming for the next several months, So I 0:07:06.920 --> 0:07:09.880 don't think you're going to see dramatic impact right away. 0:07:10.200 --> 0:07:11.880 But where it does start to hurt them is I 0:07:11.880 --> 0:07:15.440 think if this drags on certainly into September, you're going 0:07:15.520 --> 0:07:18.440 to have a lot of companies that you are looking 0:07:18.440 --> 0:07:20.679 at a pretty bare slate next year because they can't 0:07:20.680 --> 0:07:23.560 finish work on projects, they can't start work on projects, 0:07:23.800 --> 0:07:26.120 and you'll have some people maybe move movies because they 0:07:26.120 --> 0:07:28.240 don't want to release a big tenth pole that they 0:07:28.280 --> 0:07:31.360 can't use the starts to promote it all. 0:07:31.560 --> 0:07:37.040 Lucas, Hollywood has found the perfect villain in artificial intelligence. 0:07:37.040 --> 0:07:41.320 Our boss Bradstone rights in a newsletter, just explain the 0:07:41.360 --> 0:07:45.320 AI villainy at the heart of this actors strike, because 0:07:45.320 --> 0:07:47.720 it's already come up in the right to strike. 0:07:48.400 --> 0:07:51.480 Yeah, I mean it's important to note that things like 0:07:51.720 --> 0:07:54.040 you know, residuals, which is being paid for reruns and 0:07:54.120 --> 0:07:57.920 minimum salaries and being rewarded in success. All of those, 0:07:57.960 --> 0:08:00.400 I'd say, are the sort of the meat and potato issues, 0:08:00.440 --> 0:08:03.040 the ones that are most important to resolve. But AI 0:08:03.160 --> 0:08:06.520 has become something, whether it's writers or actors, that everyone 0:08:06.600 --> 0:08:09.680 is a little scared about because they already feel as 0:08:09.720 --> 0:08:12.400 if streaming and sort of the onset of the internet 0:08:13.240 --> 0:08:17.400 has hurt their pay and given corporations too much power, 0:08:17.800 --> 0:08:20.720 and they see an AI a real existential threat that 0:08:20.760 --> 0:08:21.920 could hollow out sort of. 0:08:21.920 --> 0:08:23.239 The middle and lower class. 0:08:23.240 --> 0:08:24.720 Because it's not like you know, you're going to use 0:08:24.800 --> 0:08:27.640 artificial intelligence likely to a place a Margo Robbie or 0:08:27.680 --> 0:08:30.720 a Brad Pitt or the single greatest screenwriter in the world. 0:08:30.960 --> 0:08:34.600 But you could see artificial intelligence reduce the amount of 0:08:34.600 --> 0:08:38.320 work that people have or eliminate much smaller roles that 0:08:38.400 --> 0:08:40.520 could be replicated with a computer. 0:08:41.559 --> 0:08:44.280 And or for a writer. 0:08:44.320 --> 0:08:46.520 You could see AI come up with an idea, and 0:08:46.559 --> 0:08:49.520 a writer who writes an adapted screenplay gets paid less 0:08:49.559 --> 0:08:52.200 often than someone with a wholy original idea. So there's 0:08:52.240 --> 0:08:54.600 just a lot of anxiety and uncertainty because nobody really 0:08:54.640 --> 0:08:56.480 knows where this is going, and they feel like the 0:08:56.520 --> 0:08:58.680 studios have not really met them halfway. 0:08:59.160 --> 0:09:02.160 Luca schul, we thank you. It's been brilliant coverage throughout. 0:09:02.240 --> 0:09:05.480 Let's just think about how we could see some sort 0:09:05.480 --> 0:09:08.880 of equitable or in equitable future of how Ai and 0:09:08.920 --> 0:09:10.160 the workers team together. 0:09:10.679 --> 0:09:13.000 We're delighted to welcome Sunny Dill and he's a partner 0:09:13.000 --> 0:09:14.200 at Kaiba Night Capital. 0:09:14.480 --> 0:09:16.360 I mean, and Sonny, you're steeped in the world of 0:09:16.400 --> 0:09:20.440 how Ai and movie making and creation really come together. 0:09:21.280 --> 0:09:25.000 Capital course backed by some previous CEOs of some of 0:09:25.040 --> 0:09:27.400 the studios out there. I know that you've worked before 0:09:27.400 --> 0:09:30.280 with Warner Brothers and Strategy, been thinking about spinoffs and 0:09:30.360 --> 0:09:33.720 venture and cinema. What do you think artificial intelligence is 0:09:33.720 --> 0:09:34.920 going to do to content creation? 0:09:37.160 --> 0:09:42.920 I think artificial intelligence is better referred to as augmented intelligence. 0:09:43.920 --> 0:09:48.240 It's actually a democratizing force to allow creators of all 0:09:48.320 --> 0:09:52.000 kinds to be able to produce work at a larger 0:09:52.160 --> 0:09:55.960 quantity and a quicker pace than they ever were before. 0:09:56.840 --> 0:10:00.560 I think it's really exciting to bring character to light 0:10:01.720 --> 0:10:06.320 using technologies such as deep fakes for one's voice or 0:10:06.400 --> 0:10:11.040 one's base and likeness, bringing characters to like that otherwise 0:10:11.240 --> 0:10:14.720 would have have been retired. For example, one of my 0:10:14.840 --> 0:10:19.520 favorites is the new Obi Wan Kenobi series on Disney Plus. 0:10:20.640 --> 0:10:25.280 It's a great example of using James Earl Jones's voice. 0:10:25.360 --> 0:10:27.640 He's a ninety two year old actor, but there was 0:10:27.679 --> 0:10:31.840 a licensed use, a deep fake use of his voice 0:10:32.320 --> 0:10:36.560 to be recast as Dark Vader in that program, which 0:10:36.600 --> 0:10:39.600 I thought was truly a magical experience to re immerse 0:10:40.000 --> 0:10:42.120 in some of the great work that Star Wars. 0:10:41.920 --> 0:10:42.720 Was known for us. 0:10:42.720 --> 0:10:46.160 Sunny that that magic must come at a cost and 0:10:46.200 --> 0:10:49.200 a price ultimately, And do you think movie studios are 0:10:49.240 --> 0:10:51.160 ultimately going to be able to get their head around 0:10:51.240 --> 0:10:52.800 where that cost eventually goes. 0:10:52.920 --> 0:10:55.040 Can they see round corners to be able to ensure 0:10:55.080 --> 0:10:55.760 that well. 0:10:55.800 --> 0:10:59.160 The fears of the actors the writers is that they're 0:10:59.160 --> 0:11:00.400 recompensed in the right way. 0:11:01.559 --> 0:11:04.800 I think that's really a separate conversation from the core 0:11:04.840 --> 0:11:09.600 technology being an enabling one and creating content that's really 0:11:09.679 --> 0:11:14.160 truly magical. As I said, compensation and revenue splits are 0:11:14.440 --> 0:11:17.680 absolutely something that needs to accompany this, But I don't 0:11:17.720 --> 0:11:21.800 think that the technology itself ought to be demonized because 0:11:21.800 --> 0:11:23.560 I do think it's going to be a rallying cry 0:11:23.640 --> 0:11:26.440 for many would be creators out there. I do think 0:11:26.559 --> 0:11:31.800 backhand splits, usage of one's likeness, being able to leverage 0:11:31.800 --> 0:11:36.160 that likeness, and exciting ways in collaboration with the IP owner, 0:11:36.520 --> 0:11:39.000 these are things that absolutely need to be handled. 0:11:39.640 --> 0:11:40.120 I think the. 0:11:40.080 --> 0:11:44.360 Same way that MP three's changed the music business in 0:11:44.400 --> 0:11:47.480 many ways and created new revenue opportunities, there was a 0:11:47.520 --> 0:11:49.960 lot of fear that kind of accompanied the onset of 0:11:49.960 --> 0:11:53.920 that new technology at the beginning. I think augmented reality 0:11:53.960 --> 0:11:56.120 in the future will usher in another wave of a 0:11:56.160 --> 0:11:58.920 new business model that needs to emerge to barely compensate 0:11:58.960 --> 0:12:04.160 creators whose artwork or IP is being leveraged on this 0:12:04.200 --> 0:12:07.199 new technology medium. So yes, it's a conversation that needs 0:12:07.240 --> 0:12:10.360 to be had. And I do want to say though 0:12:10.360 --> 0:12:13.240 that I think the technology itself is a very positive thing. 0:12:13.360 --> 0:12:14.520 That's really where we stand. 0:12:16.280 --> 0:12:20.199 Sonny your fund kiber Knight Capital. It's backed by CEOs 0:12:20.280 --> 0:12:23.400 executives who have spent a lot of time at studios. 0:12:24.000 --> 0:12:27.920 Whose side are you on, I'm on the side of 0:12:27.920 --> 0:12:28.640 the technology. 0:12:29.400 --> 0:12:33.200 I think that the technology is a very exciting thing. 0:12:33.760 --> 0:12:36.120 It's going to change lives in a very positive way. 0:12:36.840 --> 0:12:40.720 The business and monetization around it is absolutely something that 0:12:40.760 --> 0:12:46.160 I think the studio executives absolutely must figure out because 0:12:46.200 --> 0:12:49.160 fairness and equal compensation here is a very important aspect 0:12:49.200 --> 0:12:49.880 of the conversation. 0:12:51.000 --> 0:12:53.760 You know, one of the companies we track is Runway 0:12:53.960 --> 0:12:57.720 right text to video on this program, and if their 0:12:57.800 --> 0:13:01.760 concept and technology proves to be a value add to 0:13:01.800 --> 0:13:06.480 making films, then the actors who are striking will be concerned. 0:13:06.640 --> 0:13:06.840 Right. 0:13:07.360 --> 0:13:11.040 Do you see a situation where we find a resolution 0:13:11.200 --> 0:13:14.240 where the actors are happy and we keep investing in 0:13:14.280 --> 0:13:17.400 technology that can potentially displace jobs. 0:13:19.080 --> 0:13:23.600 Yeah, I think that Runway mL gent to text video 0:13:23.640 --> 0:13:26.520 that you're describing is probably one of the most exciting 0:13:26.559 --> 0:13:29.600 things to happen in this whole category. Since we've been 0:13:29.640 --> 0:13:32.280 following generals of artificial intelligence over the last few years, 0:13:33.160 --> 0:13:36.000 and it's truly amazing what you've been able to see 0:13:36.080 --> 0:13:38.040 out there with some of the you know, Pizza Hut 0:13:38.040 --> 0:13:41.240 and Pepsi and Budweiser commercials that have been generated entirely 0:13:41.280 --> 0:13:43.760 by text fonts, and you'd think it was just any 0:13:43.760 --> 0:13:48.640 standard nineteen eighties American TV commercial. I think that when 0:13:49.000 --> 0:13:51.720 you see it with people with seven fingers and you 0:13:51.760 --> 0:13:56.440 know them gulping down, you know, uh thout something that 0:13:56.480 --> 0:14:00.559 looks far like anything besides a beer, can you get 0:14:00.600 --> 0:14:02.640 to a point of seeing just how rudimentary and early 0:14:02.720 --> 0:14:06.320 we are with this technology. I don't think it's right 0:14:06.360 --> 0:14:08.840 to think that it will be replacing people, because you 0:14:08.880 --> 0:14:12.000 could argue that epics unreal engine being used to shoot 0:14:12.040 --> 0:14:15.800 the Mandalorian could have displaced you know, certain crew members 0:14:15.800 --> 0:14:19.240 who were working in visual effects before. It's simply putting 0:14:19.240 --> 0:14:23.080 out better content that audiences want. When it comes down 0:14:23.120 --> 0:14:27.720 to Runway mL in particular, I think of it more 0:14:27.800 --> 0:14:30.960 as an editing and storyboarding kind of component of the 0:14:31.000 --> 0:14:33.640 green lighting process. I don't think it's in a place 0:14:33.720 --> 0:14:37.120 to be able to fully generate a film anytime soon 0:14:37.480 --> 0:14:41.120 that would replace even the most basic, you know, kind 0:14:41.120 --> 0:14:45.880 of roles in the entertainment industry. It's just a storyboarding 0:14:46.080 --> 0:14:49.440 component to getting to the final product. It's a stepping 0:14:49.440 --> 0:14:51.520 stone the kind of way that you would be using 0:14:51.960 --> 0:14:55.360 a variety of Adobe after effects kind of tools or 0:14:55.400 --> 0:14:58.240 storyboarding tools to kind of put before a producer for 0:14:58.280 --> 0:14:59.440 green lighting in the first place. 0:14:59.600 --> 0:15:02.080 Sonny another way you say you, Well, if you're on 0:15:02.120 --> 0:15:04.920 the side of technology, you don't want to be seeing demonized. 0:15:05.280 --> 0:15:06.480 Where are you seeing the excitement? 0:15:06.480 --> 0:15:09.120 Then let's go in on the silver lining to some 0:15:09.160 --> 0:15:12.040 of the clouds and the fears. You're looking at writing checks, 0:15:12.040 --> 0:15:15.520 you're looking at backing some of the most revolutionary types 0:15:15.560 --> 0:15:16.680 of technology in this space. 0:15:17.000 --> 0:15:19.280 Where is it being built? Who by? What sort of 0:15:19.320 --> 0:15:20.240 companies are interesting you? 0:15:21.480 --> 0:15:25.960 Yeah, So I think that using deep fake technology is 0:15:26.120 --> 0:15:29.800 incredibly exciting for a multitude of applications, entertainment being one 0:15:29.840 --> 0:15:34.880 of them. Bringing voices, cloning voices and bringing characters to 0:15:34.920 --> 0:15:37.240 life is something I described with the Obi wan kenob 0:15:37.440 --> 0:15:40.720 deep fake for voice kind of applications. There's a great 0:15:40.720 --> 0:15:46.120 company called Resemble AI that's doing things like that. There's 0:15:46.120 --> 0:15:50.280 another company that's out there doing it for dubbing when 0:15:50.320 --> 0:15:54.560 it comes to international language localization called Synesthesia, based out 0:15:54.600 --> 0:15:58.520 of London. It allowed David Beckham to film one commercial 0:15:58.600 --> 0:16:01.760 one time in English and his face and voice with 0:16:01.880 --> 0:16:05.280 his authorization, of course, you will be dubbed into local 0:16:05.720 --> 0:16:08.840 local languages completely seamlessly, and I think that's a very 0:16:08.840 --> 0:16:13.320 interesting application for advertising. I think another really interesting applic 0:16:13.600 --> 0:16:16.800 that speaks to me is in the gaming industry where 0:16:16.800 --> 0:16:20.000 you can have generative AI and chat. GBT actually be 0:16:20.200 --> 0:16:25.120 used to generate decision trees and dialogue with NPC's non 0:16:25.160 --> 0:16:28.800 playable characters. Yea on the as you're navigating quests. I 0:16:28.840 --> 0:16:31.240 think that's another really interesting space we're looking at right now. 0:16:31.920 --> 0:16:36.040 Sunny Dylan Kyba nightcaps are also dropped a few knowledge bombs. 0:16:36.040 --> 0:16:38.040 There a lot of streaming. You've got a lot of 0:16:38.040 --> 0:16:40.440 streaming on your mind. I like that Star War as well. 0:16:49.520 --> 0:16:52.400 Time for talking tech. First up, China's top chip maker 0:16:52.800 --> 0:16:56.280 has resigned about a year after formally assuming his role, 0:16:56.520 --> 0:16:59.320 so the latest high profile departure from a company there's 0:16:59.360 --> 0:17:03.760 been rocked by US chip sanctions, and two major Chinese 0:17:03.840 --> 0:17:07.480 chip equipment makers are predicting a doubling in profits after 0:17:07.520 --> 0:17:11.080 the US clamped on exports of American technology. Homegrown gear 0:17:11.160 --> 0:17:15.440 suppliers are benefiting from this self sufficiency push, with Beijing 0:17:15.560 --> 0:17:20.159 vowing to replace foreign tech with local options. Plus, America's 0:17:20.240 --> 0:17:23.080 largest semi conductor companies are launching an effort to head 0:17:23.080 --> 0:17:26.200 off new curbs on their sales to China. Senior executives 0:17:26.240 --> 0:17:29.919 are traveling to Washington next week to lobby against restricting 0:17:29.960 --> 0:17:34.400 sales of semiconductors and certain chips Caroline. 0:17:33.760 --> 0:17:36.440 And just speaking of chips, let's turn to their application 0:17:36.520 --> 0:17:39.360 in evs for example. More so specifically, let's talk about Tesla, 0:17:39.440 --> 0:17:42.480 because can it protect us lead in that market or 0:17:42.600 --> 0:17:45.840 easier law Musk losing his head start, We're all looking towards. 0:17:45.880 --> 0:17:48.880 Of course, Tesla's numbers coming out Wednesday, and Lumberg went 0:17:48.920 --> 0:17:51.639 to its professional retail investors with a question from our 0:17:51.720 --> 0:17:55.000 latest they're called an end Live Pulse survey mos esher 0:17:55.080 --> 0:17:57.600 days here with the highlights and basically we're asking our 0:17:57.680 --> 0:18:01.280 audience on the terminal, do you have faith that al 0:18:01.400 --> 0:18:05.440 Musk and Tesla can keep winning against the competition? You 0:18:05.560 --> 0:18:08.720 worried about distractions? What really is the is the investor 0:18:08.760 --> 0:18:09.879 telling us right now about that war? 0:18:10.040 --> 0:18:10.600 Is the Tesla? 0:18:11.680 --> 0:18:14.399 Hi, and thanks for having me. Yeah, So that was 0:18:14.480 --> 0:18:17.640 essentially the biggest question that we asked in the survey. 0:18:18.000 --> 0:18:19.960 You know, what you think are the biggest risks for 0:18:20.080 --> 0:18:23.879 Tesla in the next two years. And the and the 0:18:23.960 --> 0:18:27.320 resounding answer, I would say was rivals. You know, the 0:18:27.320 --> 0:18:32.159 competition that's coming in from rival automakers, we startups be it, 0:18:32.400 --> 0:18:35.680 you know, the gms and folds of the world. That's 0:18:35.720 --> 0:18:38.960 what investors are watching out for. They think that is 0:18:39.040 --> 0:18:43.800 like the biggest risk facing the company. About fifty percent 0:18:43.960 --> 0:18:47.400 of the six hundred and thirty responders, which is sort 0:18:47.400 --> 0:18:51.040 of a mix of both professional and retailed investors, said 0:18:51.080 --> 0:18:53.960 that rivals are the biggest risk for this company. And 0:18:54.000 --> 0:18:56.040 the second one that I definitely want to talk about 0:18:56.119 --> 0:18:59.639 here is Eon Musk himself. The behaviors and some of 0:18:59.680 --> 0:19:03.920 the un predictability that Elon Musk brings with his leadership, 0:19:03.920 --> 0:19:07.360 which is also something that Tesla cannot be successful without, 0:19:07.760 --> 0:19:11.040 is something that investors flagged as one of the big 0:19:11.160 --> 0:19:12.200 risks for the company. 0:19:13.200 --> 0:19:14.240 So a lot of complaints. 0:19:14.320 --> 0:19:16.080 I mean, the stock's up one hundred and thirty three 0:19:16.080 --> 0:19:19.640 percent so far this year. Two thirds of respondents want 0:19:19.680 --> 0:19:22.600 Musks to do what esher spend more time just on 0:19:22.640 --> 0:19:25.160 that that stock that's had a good run. 0:19:26.480 --> 0:19:30.080 That's correct, Yes, it's had a really great run, but 0:19:30.240 --> 0:19:32.879 it's still far it's quite far away from you know, 0:19:32.960 --> 0:19:35.840 that one point two one point three trillion mark that 0:19:35.880 --> 0:19:38.920 it touched last year. It's I think Tesla's market cap 0:19:39.080 --> 0:19:42.639 is houring around eight hundred and nineteen nine hundred billion 0:19:42.760 --> 0:19:45.840 right now. So you know, people who who are believers 0:19:45.840 --> 0:19:47.720 in Tesla, they think, you know, this is a stock 0:19:47.760 --> 0:19:50.879 that can run much further and it's not just an 0:19:50.960 --> 0:19:54.280 EV play anymore. It's now an AI place. So you know, 0:19:55.440 --> 0:19:57.800 as we know with Tesla investors, the sky is the limit. 0:19:57.880 --> 0:20:01.040 And we saw like a sixty seven percent of the 0:20:01.080 --> 0:20:06.600 Servie responders said that Mosk needs to focus more on Justina. Yeah, 0:20:06.720 --> 0:20:08.080 so there we have. 0:20:08.119 --> 0:20:12.600 It all right day, who has the polse on Wall Street? 0:20:12.640 --> 0:20:13.360 Thank you so much. 0:20:21.160 --> 0:20:22.440 Welcome back to Bluemo Technology. 0:20:22.440 --> 0:20:25.040 I'm Karen Hide in New York and Ed Ludlow here 0:20:25.080 --> 0:20:28.239 in San Francisco, a small Swiss technology startup. It's been 0:20:28.320 --> 0:20:32.040 chosen to rethink how helicopter pilots are trained in the 0:20:32.119 --> 0:20:36.320 US with VR headsets. The FAA will evaluate the technology 0:20:36.359 --> 0:20:39.560 in flight simulators for the first time, taking delivery of 0:20:39.600 --> 0:20:44.560 systems from Zurich based Loft Dynamics and its CEO, Faby Reasons, 0:20:44.640 --> 0:20:48.800 joins US now from Zurich. So what's the scale of 0:20:48.840 --> 0:20:51.520 this agreement, Faby? How many units did you agree with 0:20:51.560 --> 0:20:54.040 the FAA and what does this represent. 0:20:53.640 --> 0:20:54.160 For your tech? 0:20:56.160 --> 0:20:58.560 Thanks? Thanks a lot for having me. Yeah, right, now 0:20:59.320 --> 0:21:03.600 is having units to evaluate the technology, so we are 0:21:03.600 --> 0:21:07.159 building them since twenty and sixty informally known as vrmswitz 0:21:07.200 --> 0:21:10.199 a Land and basically the whole trick caase that we 0:21:10.280 --> 0:21:14.840 are improving the visual projection by using VR headset. I 0:21:14.880 --> 0:21:18.040 mean traditional fly simulators full flight simulators are using dome 0:21:18.119 --> 0:21:22.960 projection and they are actually missing the three D perception 0:21:23.560 --> 0:21:26.639 and with we altual reality, the whole thing gets improved. 0:21:26.800 --> 0:21:30.439 So based on that, we also make it possible for 0:21:30.560 --> 0:21:33.800 pilots fly close to the ground. In addition, it is 0:21:33.920 --> 0:21:37.880 enabling the visual three hundred and sixty degrees around full 0:21:37.920 --> 0:21:42.040 panoramic fuel. And because we're using VR headset instead of 0:21:42.040 --> 0:21:47.239 those gigantic dome projection, the whole thing gets smaller and 0:21:47.520 --> 0:21:50.600 we can move it much more dynamic, improving the fidelity 0:21:50.680 --> 0:21:53.520