1
00:00:02,520 --> 00:00:16,040
Speaker 1: Bloomberg Audio Studios, podcasts, radio news.

2
00:00:15,160 --> 00:00:17,759
Speaker 2: Single best idea. We'll be quick about it. On a Monday,

3
00:00:18,120 --> 00:00:20,279
Speaker 2: sort of an odd Monday to say the least. Some

4
00:00:20,360 --> 00:00:24,880
Speaker 2: merger activity, but just a really eclectic set of conversations.

5
00:00:25,040 --> 00:00:27,520
Speaker 2: We did the H one B debate. Boy, we went

6
00:00:27,560 --> 00:00:32,199
Speaker 2: on both sides, Presidents correct, bring it on American for

7
00:00:32,360 --> 00:00:37,200
Speaker 2: America jobs, and a whole other side saying, you know what,

8
00:00:37,760 --> 00:00:40,640
Speaker 2: there's not enough engineers in America for the need, and

9
00:00:40,760 --> 00:00:42,559
Speaker 2: on we went, That's what we want to do is

10
00:00:42,920 --> 00:00:47,440
Speaker 2: generate the conversation around some of these seismic events. Waylee

11
00:00:47,600 --> 00:00:51,120
Speaker 2: was in with Blackrock, I asked her just the mathematics

12
00:00:51,360 --> 00:00:56,320
Speaker 2: dynamics of the massive capex in artificial intelligence.

13
00:00:56,480 --> 00:00:59,560
Speaker 3: I would say that actually, it's remarkably hard to get

14
00:00:59,600 --> 00:01:03,400
Speaker 3: precise number written an investment for these capex because it's

15
00:01:03,480 --> 00:01:06,240
Speaker 3: quite well hidden and they're not obligated to report them

16
00:01:06,440 --> 00:01:09,840
Speaker 3: in a very precise form. But I would make the

17
00:01:09,920 --> 00:01:13,560
Speaker 3: general observation that markets are letting them off the hook

18
00:01:13,640 --> 00:01:17,600
Speaker 3: right now because it's really an existential build out race.

19
00:01:17,640 --> 00:01:21,399
Speaker 3: You're either spending and overspending to stay in the game

20
00:01:21,480 --> 00:01:24,840
Speaker 3: and stay on the table, or you will be viewed

21
00:01:24,840 --> 00:01:27,680
Speaker 3: as well, you won't be part of the future mix, right,

22
00:01:27,720 --> 00:01:31,000
Speaker 3: So I think markets are giving these tech companies some

23
00:01:31,240 --> 00:01:34,800
Speaker 3: leeway to spend and overspend. We pay attention to free

24
00:01:34,800 --> 00:01:37,040
Speaker 3: cash flow as a percentage of free cash flow. It's

25
00:01:37,040 --> 00:01:39,679
Speaker 3: gone up quite a bit in terms of the kapex spent,

26
00:01:39,840 --> 00:01:41,880
Speaker 3: but not to a level that they can't afford. Not

27
00:01:41,920 --> 00:01:45,560
Speaker 3: to mention, they can always having too funding market public

28
00:01:45,640 --> 00:01:49,600
Speaker 3: and private to raise additional cash to spend. Right So,

29
00:01:49,800 --> 00:01:51,920
Speaker 3: you know, like right now, it's still early in this

30
00:01:52,240 --> 00:01:56,120
Speaker 3: in this journey, and we see all systems go when

31
00:01:56,160 --> 00:01:57,640
Speaker 3: it comes to AI build out.

32
00:01:57,840 --> 00:02:00,840
Speaker 2: Really a black Recers thought that was really wonderful. I

33
00:02:00,880 --> 00:02:02,680
Speaker 2: do want to say if I go to the Bloomberg

34
00:02:02,760 --> 00:02:06,680
Speaker 2: terminal in the FA screen, I and I think all

35
00:02:06,720 --> 00:02:12,800
Speaker 2: of us underestimate the cash generation of these juggernauts. Wayley

36
00:02:12,880 --> 00:02:16,680
Speaker 2: alluded to that, but it's just jaw dropping to see

37
00:02:16,720 --> 00:02:21,440
Speaker 2: the ability to raise cash from profit at some of

38
00:02:21,440 --> 00:02:25,880
Speaker 2: these technology country companies. It was a tree today to

39
00:02:25,919 --> 00:02:29,280
Speaker 2: have David Weston in the studio, of course, the driving

40
00:02:29,280 --> 00:02:32,440
Speaker 2: force of Wall Street Week here at Bloomberg. We talked

41
00:02:32,480 --> 00:02:37,240
Speaker 2: to him about education, higher education, the struggles of the universities.

42
00:02:37,600 --> 00:02:40,720
Speaker 2: But they did an audible and he was wonderful. David

43
00:02:40,760 --> 00:02:45,880
Speaker 2: Weston is the former leader of ABC News. Michael Eisner

44
00:02:46,960 --> 00:02:51,600
Speaker 2: was out with a blistering critique of Disney and ABC

45
00:02:51,919 --> 00:02:54,400
Speaker 2: this weekend. Of course, he did so much to further

46
00:02:54,840 --> 00:02:57,880
Speaker 2: the career of mister Eiger. As an aside, I saw

47
00:02:57,960 --> 00:03:02,160
Speaker 2: Sarah mcglough from the Canadian singer Songwriter saying she's not

48
00:03:02,280 --> 00:03:06,240
Speaker 2: gonna do Lilith Fair project with Disney. Okay, fine. We

49
00:03:06,320 --> 00:03:10,600
Speaker 2: asked David Weston about this moment for Disney and ABC.

50
00:03:10,960 --> 00:03:13,919
Speaker 1: Bob has been a very powerful, very successful CEO, done

51
00:03:13,960 --> 00:03:16,640
Speaker 1: his way too soon, but is there a real issue

52
00:03:16,720 --> 00:03:20,080
Speaker 1: here for his long term reputation and brand. I would

53
00:03:20,120 --> 00:03:22,799
Speaker 1: have to say, as his friend, Yeah, you got a problem,

54
00:03:23,040 --> 00:03:24,840
Speaker 1: and I don't know exactly how you get out of this.

55
00:03:25,240 --> 00:03:27,360
Speaker 1: I don't think. I do think is I think Jimmy

56
00:03:27,440 --> 00:03:29,080
Speaker 1: Kimmel is going to have to sit down with somebody

57
00:03:29,120 --> 00:03:31,520
Speaker 1: and talk, and Bob Iger is going to have to

58
00:03:31,520 --> 00:03:33,799
Speaker 1: sit down with somebody, and mister.

59
00:03:33,600 --> 00:03:36,480
Speaker 2: Kimmel has to speak with ABC and Disney or talk

60
00:03:36,520 --> 00:03:37,360
Speaker 2: to somebody else.

61
00:03:37,560 --> 00:03:39,440
Speaker 1: They've got to figure out how to deal with the public.

62
00:03:39,480 --> 00:03:41,480
Speaker 1: I mean, Bob has got to explain what he did

63
00:03:41,520 --> 00:03:44,640
Speaker 1: at somewhere sometime, somehow, which he doesn't want to do.

64
00:03:44,680 --> 00:03:46,120
Speaker 1: I'm sure he's got to do.

65
00:03:46,080 --> 00:03:50,960
Speaker 2: That, completely unrehearsed and unplanned. David Weston of Wall Street.

66
00:03:51,440 --> 00:03:54,640
Speaker 2: We here at Bloomberg an event for a week. Here.

67
00:03:54,720 --> 00:03:56,840
Speaker 2: I have to try to get home in the un

68
00:03:56,920 --> 00:03:59,960
Speaker 2: traffic for all of us. It's a battle. Some of us.

69
00:04:00,200 --> 00:04:02,560
Speaker 2: We may sleep under a park bench at Central Park

70
00:04:02,840 --> 00:04:06,920
Speaker 2: on Tuesday or Wednesday. We're on a podcast Apple and

71
00:04:07,000 --> 00:04:17,080
Speaker 2: Spotify on YouTube podcasts at single best idea