WEBVTT - Verizon CEO Dan Schulman Talks Using Tech to Transform Telecom 0:00:02.520 --> 0:00:07.840 Bloomberg Audio Studios, podcasts, radio news. 0:00:07.920 --> 0:00:10.000 It's always great to have the CEO of a company 0:00:10.039 --> 0:00:12.520 that you've been a customer of for like most of 0:00:12.560 --> 0:00:15.640 my adult life. So all my grievances, I'm just going 0:00:15.720 --> 0:00:17.960 to bring them to the to the to the to 0:00:18.000 --> 0:00:21.520 the table here in all seriousness, you've been CEO of 0:00:21.600 --> 0:00:26.560 Verizon since October, something of a homecoming for you, having 0:00:27.040 --> 0:00:30.480 having grown up at AT and T getting Virgin Mobile 0:00:30.520 --> 0:00:34.879 off the ground when it comes to running a wireless company, 0:00:34.920 --> 0:00:38.279 and you had that long interlude in the middle at PayPal. 0:00:38.360 --> 0:00:41.000 So we'll talk about that later. But what are the 0:00:41.080 --> 0:00:43.480 old rules no longer? Reply? 0:00:46.080 --> 0:00:50.400 Well, I think we live in a time right now 0:00:50.760 --> 0:00:56.440 of change that I've really never seen before. The pace 0:00:56.480 --> 0:01:00.720 of change is dramatic, I say, inside company right now, 0:01:00.720 --> 0:01:04.480 anytime the pace of change outside is greater than the 0:01:04.480 --> 0:01:08.800 pace of change inside, we're falling behind. And that's a 0:01:08.880 --> 0:01:12.520 that's a really high bar to get over. I think 0:01:12.680 --> 0:01:17.039 there's some similarities and some differences. I mean, way back 0:01:17.200 --> 0:01:21.039 when when I was at AT and T. You know, 0:01:21.480 --> 0:01:30.000 we're a big bureaucratic company. Verizon is a big bureaucratic company. 0:01:30.200 --> 0:01:33.640 It loves its processes, it loves to show its work, 0:01:34.520 --> 0:01:39.200 but like I'm about outcome and how fast can we 0:01:39.280 --> 0:01:44.399 move the company forward. We're very risk averse, and I 0:01:44.440 --> 0:01:47.360 get that, like there should be places where we are 0:01:47.520 --> 0:01:50.320 risk averse when it comes to cybersecurity, when it comes 0:01:50.400 --> 0:01:55.320 to the integrity of our financial numbers, Like, my tolerance 0:01:55.320 --> 0:01:58.120 for risk is like a one. But for the most part, 0:01:58.240 --> 0:02:01.680 my tolerance for risk for trying things and failing fast 0:02:01.720 --> 0:02:04.720 and then learning from it and moving forward is like 0:02:04.760 --> 0:02:07.000 an eight or nine. And I think in general the 0:02:07.040 --> 0:02:11.440 company's probably had a two to three. We're very hierarchical. 0:02:11.680 --> 0:02:14.200 I need to be very careful what I say, yeah, 0:02:14.280 --> 0:02:19.240 because it's taken as gospel, and the truth of the 0:02:19.280 --> 0:02:22.840 matter is things are changing so fast. Like yeah, I'm 0:02:22.880 --> 0:02:26.880 always learning. I can't predict the future. I can try 0:02:26.919 --> 0:02:30.680 and do my best to ascertain like the direction of it, 0:02:30.760 --> 0:02:33.880 but I'll frequently be wrong on that as well. 0:02:34.000 --> 0:02:36.200 It's still less than a year that you've been there. 0:02:36.240 --> 0:02:39.120 But how do you get from that? You said round 0:02:39.160 --> 0:02:42.040 two in those areas of eight areas where you want 0:02:42.080 --> 0:02:44.320 to see people take more risks, how do you get 0:02:44.320 --> 0:02:46.720 closer to that eight to nine level of tolerance? 0:02:49.000 --> 0:02:52.760 Well, I think you or I. I don't know if 0:02:52.760 --> 0:02:57.960 you would, but you know, I think leadership is like 0:02:58.200 --> 0:03:02.840 three things in my view. The first is to clearly 0:03:03.840 --> 0:03:08.480 define reality. And nobody really wants to hear that, to 0:03:08.520 --> 0:03:14.080 tell you, certainly. My first coming on stage in front 0:03:14.120 --> 0:03:19.440 of all the employees of Verizon, yeah, I had no slides, 0:03:20.120 --> 0:03:24.120 no nothing on screen, no talk track, just kind of 0:03:24.160 --> 0:03:27.920 like what I saw. And what I saw was a 0:03:27.960 --> 0:03:32.520 company that was losing in the market. We had lost 0:03:32.600 --> 0:03:36.920 market share for five straight years. We had gone from 0:03:36.960 --> 0:03:40.680 being number one in market cap to being last or 0:03:40.760 --> 0:03:46.960 forward P was last in the market and terrible, and 0:03:49.800 --> 0:03:54.160 so you know, I kind of laid that out for everybody, 0:03:54.480 --> 0:03:58.160 and I think we had just gotten used to gently 0:03:58.280 --> 0:04:01.840 seething market share. I suppose to playing to win. That 0:04:01.960 --> 0:04:03.840 just doesn't work for me. I mean, that's just not 0:04:03.880 --> 0:04:06.800 who I am. You know, when I first came in, 0:04:06.880 --> 0:04:09.400 I think people were scared because I said that, you know, 0:04:09.760 --> 0:04:12.520 we wanted to play to win. We wanted to stop 0:04:12.600 --> 0:04:15.240 losing market share and start gaining market share, and people 0:04:15.240 --> 0:04:18.240 were worried that was going to lead to, you know, 0:04:18.360 --> 0:04:21.680 a price war. But that's not the way that you compete, 0:04:21.800 --> 0:04:25.479 Like anybody can compete on price. Price is easy. It's 0:04:25.520 --> 0:04:29.120 about competing on other parts of the value proposition where 0:04:29.120 --> 0:04:33.560 you can actually differentiate yourself and create lasting value. Like 0:04:33.640 --> 0:04:36.080 if somebody puts some promotion out there, like I can 0:04:36.120 --> 0:04:39.120 match it now in two hours, so's there's no competitive 0:04:39.120 --> 0:04:43.200 advantage to that. So I think it's really about laying 0:04:43.240 --> 0:04:46.679 out the reality of where you are, and people don't 0:04:46.680 --> 0:04:48.960 want to be part of a losing team. And then 0:04:49.200 --> 0:04:52.400 the second thing a leader needs to do is inspire, 0:04:53.120 --> 0:04:55.080 lay out a vision of what you want to do. 0:04:55.200 --> 0:04:58.359 How are you going to reclaim your market leadership, and 0:04:58.440 --> 0:05:03.279 then clearly out the path between reality and that vision, 0:05:03.480 --> 0:05:05.080 and like how are we going to get there and 0:05:05.160 --> 0:05:08.240 over what time frame and what things are we going 0:05:08.279 --> 0:05:12.040 to chew off first and start to work on. So 0:05:12.800 --> 0:05:21.400 it is going probably faster than I imagine. I'm proud 0:05:21.440 --> 0:05:26.560 of the team. I don't like giving out compliments that easily, 0:05:26.640 --> 0:05:29.520 but I am proud of where they are. There's a 0:05:29.560 --> 0:05:30.400 lot more work to. 0:05:30.360 --> 0:05:33.200 Do, so you've talked about you've given hints on some 0:05:33.240 --> 0:05:34.920 of that work that you want to do. Moving away 0:05:34.920 --> 0:05:39.880 from low margin, highly promotional activity, simplify promotions, simplify plans, 0:05:40.400 --> 0:05:42.080 put some more flesh on those bones. 0:05:42.120 --> 0:05:45.839 For us, what does that look like? Well, I think 0:05:45.880 --> 0:05:51.840 at the end of the day, the reason people leave 0:05:52.520 --> 0:05:58.279 of Verizon is one when we price up with no 0:05:58.440 --> 0:06:04.240 incremental value, and we have done that for three years 0:06:04.279 --> 0:06:07.440 in a row. We have done something like thirty price 0:06:07.520 --> 0:06:13.680 ups with no incremental value, and that obviously distresses customers. 0:06:13.720 --> 0:06:16.800 And so we had started to see our churn go up, 0:06:17.360 --> 0:06:22.480 and I told the company, like, the first roll a 0:06:22.600 --> 0:06:24.920 rule of getting out of a hole is stop digging, 0:06:25.960 --> 0:06:28.680 and so we're just not going to raise prices without 0:06:29.480 --> 0:06:33.000 any corresponding value. And I'm beginning to see that as 0:06:33.040 --> 0:06:36.960 our churn starts to come down. The second is friction 0:06:37.800 --> 0:06:40.480 in the process. When you come into our store, How 0:06:40.560 --> 0:06:43.200 quickly can we help you when we sell you something? 0:06:43.839 --> 0:06:46.560 Is that reflected on your first bill? When you call 0:06:46.600 --> 0:06:50.920 in a customer service, you get somebody who's empathetic, does 0:06:51.560 --> 0:06:54.560 do what they see match with what you heard in 0:06:54.640 --> 0:06:58.200 the store and on your bill? And that's really really difficult. 0:06:58.200 --> 0:07:02.520 That's the end to end customer experience, and that's hundreds, 0:07:02.520 --> 0:07:05.559 if not thousands of things that you need to do better, 0:07:06.080 --> 0:07:09.680 and we are focused on every single one of those 0:07:09.840 --> 0:07:13.600 is incrementally getting better because I feel if we can 0:07:13.680 --> 0:07:17.040 have the best end to end customer experience, that's real 0:07:17.080 --> 0:07:21.600 differentiation because it's very hard to imitate and it's extremely 0:07:22.480 --> 0:07:26.000 hard to do, but extremely appreciated by customers. 0:07:25.760 --> 0:07:28.080 It's going to be hard for me, as a customer 0:07:28.120 --> 0:07:30.480 who's been with Verizon for a very long time, to 0:07:30.800 --> 0:07:36.440 notice even many incremental things. I might understand, Okay, yeah 0:07:36.480 --> 0:07:38.280 I do have a better but is it a better 0:07:38.280 --> 0:07:42.000 customer experience? But there's something concrete that I should look 0:07:42.040 --> 0:07:46.120 forward to to keep me from taking that offer from 0:07:46.480 --> 0:07:47.600 T Mobile or whatever. 0:07:48.560 --> 0:07:50.600 Yeah, there will be. 0:07:53.080 --> 0:07:57.200 Can you give us a little bit more of an indication? No, 0:07:59.720 --> 0:08:02.640 I want to be conscious for your point. 0:08:03.000 --> 0:08:06.960 I mean, I mean the answer still is no, I won't. 0:08:08.040 --> 0:08:13.520 But I think that when we talk about kind of 0:08:13.520 --> 0:08:18.400 this end to end value proposition, there are little things, 0:08:18.440 --> 0:08:22.080 there are bigger things, or how do you simplify things, 0:08:22.120 --> 0:08:26.000 how do you add elements of loyalty into what you're 0:08:26.040 --> 0:08:28.880 trying to go do? And so you know, my view 0:08:29.080 --> 0:08:32.440 is there's never a big bang in what you're going 0:08:32.520 --> 0:08:35.600 to do in front of customers, because if you can 0:08:35.640 --> 0:08:37.800 do a big bang, then your competitors can do a 0:08:37.800 --> 0:08:43.600 big bank. It's really it's unfortunately, it is like having 0:08:43.600 --> 0:08:47.680 a long term plan and every as I say inside 0:08:47.679 --> 0:08:50.360 the company, every single day matters, like I want to 0:08:50.400 --> 0:08:55.800 see incremental improvement every single day, and so learning to 0:08:56.000 --> 0:08:59.160 use the tools of our time, whether that be AI, 0:09:00.080 --> 0:09:03.880 and how we serve customers much better, whether it be 0:09:04.240 --> 0:09:08.199 specifical offers we put in front of you elements of 0:09:08.240 --> 0:09:14.079 the value proposition. So when you see things, expect that 0:09:14.120 --> 0:09:16.600 there will be other things a month from now, the 0:09:16.679 --> 0:09:19.040 next month, the month after, because it's got to be 0:09:19.640 --> 0:09:22.040 a steady drumbeat of improvements. 0:09:22.320 --> 0:09:25.439 When it comes to using encouraging your staff to use 0:09:25.480 --> 0:09:29.920 AI tools, what's your stature, what's your stance on that? 0:09:30.120 --> 0:09:34.160 And specifically, I think early on a lot of businesses 0:09:34.200 --> 0:09:36.760 were saying, hey, get out there, use as much as 0:09:36.760 --> 0:09:43.320 you want, create things, create chatbots, build agents. Have you 0:09:43.400 --> 0:09:45.959 had to become more disciplined about that? And what are 0:09:46.000 --> 0:09:48.240 your what are your marching orders when it comes to 0:09:48.320 --> 0:09:51.720 using AI tools to make either the workplace or the 0:09:51.720 --> 0:09:52.959 customer experience better. 0:09:56.400 --> 0:10:01.080 Well, I'm pretty outspoken on a as some of you 0:10:01.120 --> 0:10:09.200 may know, and I think as leaders of companies, I 0:10:09.200 --> 0:10:15.360 think we have a responsibility to talk about what could 0:10:15.400 --> 0:10:21.840 happen as a result of implementing AI. It's clear to 0:10:22.040 --> 0:10:29.160 me that whatever we have right now, these are the 0:10:29.240 --> 0:10:32.560 worst models that we will ever have in our lifetime. 0:10:33.480 --> 0:10:40.440 Because yeah, she knows it, like she'd be the first second. Yeah. 0:10:40.679 --> 0:10:45.920 Open AI is going to release four models, new models 0:10:45.960 --> 0:10:48.400 between now and the end of the year. Each one 0:10:48.440 --> 0:10:50.680 of them will be a step function improvement from where 0:10:50.720 --> 0:10:57.720 they are today. And so it's clear to me that 0:10:59.040 --> 0:11:03.480 AI will do at least three things inside the company. 0:11:03.679 --> 0:11:12.160 It will dramatically improve our productivity levels. It will dramatically 0:11:12.200 --> 0:11:16.920 improve our ability to satisfy customers. You know, in the 0:11:17.000 --> 0:11:24.200 last three months, we've been experimenting with agents that are 0:11:24.240 --> 0:11:29.199 replacing some of our customer service reps, and those agents 0:11:30.160 --> 0:11:36.439 their customer satisfaction rate is one thousand, two hundred and 0:11:36.480 --> 0:11:43.360 eighty basis points better than what we had before. Think 0:11:43.360 --> 0:11:46.040 about that, if it was fifty basis points, that'd be 0:11:46.040 --> 0:11:50.120 a big improvement. So our ability to satisfy customers, our 0:11:50.200 --> 0:11:54.240 ability to ingest all of the data around you. Like 0:11:55.679 --> 0:11:57.920 you may think of yourself as one customer, we think 0:11:57.920 --> 0:12:00.199 of you as kind of like the some total of 0:12:01.120 --> 0:12:04.440 who what lines you know, are under your account? Your 0:12:04.520 --> 0:12:07.040 kids aren't your account? Where do they call? How do 0:12:07.120 --> 0:12:09.880 you use it? Do you have a nest associated with 0:12:10.000 --> 0:12:12.720 your broadband service? And so we need to see all 0:12:12.760 --> 0:12:15.880 of that to be able to satisfy you. And then finally, 0:12:16.360 --> 0:12:19.960 AI is going to radically redefine our value proposition. I mean, 0:12:20.600 --> 0:12:25.160 my view of this is that we have an initiative 0:12:25.160 --> 0:12:28.560 inside the company called every Customer has a name, and 0:12:28.559 --> 0:12:31.880 that means every customer's individual. How we respond to you 0:12:31.880 --> 0:12:34.720 it should be empathetic, but every part of our value 0:12:34.760 --> 0:12:41.240 proposition should be tailored to the three hundred plus different 0:12:42.120 --> 0:12:45.960 ways that we can look at you and tailor or 0:12:46.000 --> 0:12:46.920 proposition to you. 0:12:47.440 --> 0:12:50.719 To what extent does AI just completely replace if they're 0:12:50.760 --> 0:12:54.480 so much better, To what extent does AI replete replace 0:12:54.880 --> 0:12:57.640 human customer service agents completely? 0:13:00.600 --> 0:13:08.600 For sure, you're going to see disruption in with AI 0:13:08.880 --> 0:13:13.840 in certain job functions. I don't see how that's not possible, 0:13:14.880 --> 0:13:17.840 And I don't see how anybody can look people in 0:13:17.880 --> 0:13:19.720 the eye and say that's not impossible. 0:13:19.760 --> 0:13:22.560 What percentage of customer service gets displaced? 0:13:26.160 --> 0:13:28.720 It can be a large percentage of customer service. I 0:13:28.760 --> 0:13:37.959 think that function, you know, is a function that has 0:13:38.000 --> 0:13:40.560 a lot of route parts of it. I forgot my 0:13:40.640 --> 0:13:44.199 past word. You know what's my billing amount? Those are 0:13:44.240 --> 0:13:47.200 all simple and easy things for an agent to go do. 0:13:47.760 --> 0:13:51.760 More complex things will be a combination of human and 0:13:51.840 --> 0:13:57.760 machines working together to satisfy what that doesn't mean like 0:13:57.920 --> 0:14:01.320 you will have functions that will be disrupted for sure, 0:14:01.760 --> 0:14:05.760 And I don't see how anyone again could say that 0:14:05.840 --> 0:14:09.160 they won't be, but you will have Like what we're 0:14:09.160 --> 0:14:13.280 seeing in our customer service right now is the road. 0:14:13.360 --> 0:14:17.360 Stuff can be done by agents more complex as a 0:14:17.400 --> 0:14:22.120 combination of an agent and a human working hand in 0:14:22.200 --> 0:14:25.840 hand to be able to satisfy that customer much better 0:14:25.840 --> 0:14:28.480 than either of them could do alone. And so I 0:14:28.480 --> 0:14:31.320 think you'll see all of those things happen. But I'm 0:14:32.240 --> 0:14:34.960 I'm going to lean heavy as I think all of 0:14:35.000 --> 0:14:38.800 my colleagues will, all the fortune one hundred will lean 0:14:38.880 --> 0:14:42.840 heavy on AI. You cannot be a part of this 0:14:43.080 --> 0:14:48.280 age without understanding the technological revolution. It'll be AI. I 0:14:48.320 --> 0:14:52.480 think personally we get to AGI, like some are saying 0:14:52.520 --> 0:14:54.320 before this now, but I think in the next two 0:14:54.400 --> 0:14:56.800 to four years we're in AGI. I think in the 0:14:56.840 --> 0:15:02.840 next four years we're at quantum. We're already preparing for 0:15:03.600 --> 0:15:07.640 Q day as there early as two years away, because 0:15:07.640 --> 0:15:10.200 we need to look at all the encryption pieces of this, 0:15:10.680 --> 0:15:14.120 and then you're at humanoid robotics, you know, a couple 0:15:14.160 --> 0:15:18.720 of years after that. That's all happening, and we need 0:15:18.760 --> 0:15:23.840 to be ready as a society, as leaders of corporations, 0:15:23.960 --> 0:15:27.920 and then we need to take the responsibility of that. 0:15:28.240 --> 0:15:31.560 So for instance, you know, I think I was one 0:15:31.560 --> 0:15:34.800 of the first to pull together a pretty wide scale 0:15:34.800 --> 0:15:39.479 We put aside twenty million dollars to train and reskill 0:15:40.000 --> 0:15:43.840 people that are impacted by AI. That's the tip of 0:15:43.840 --> 0:15:45.920 the iceberg for what we're going to go do. Like 0:15:46.480 --> 0:15:52.800 my view is, we have a responsibility to put serious money, 0:15:53.600 --> 0:15:58.440 resource and effort into training not just our employees, not 0:15:58.520 --> 0:16:02.040 just people that are impacted, but the communities we serve 0:16:02.280 --> 0:16:08.240 as well in utilizing AI in a responsible way. But 0:16:08.280 --> 0:16:11.280 as I say to everybody inside the company, you should 0:16:11.320 --> 0:16:14.960 not be scared of AI. You need to learn AI. 0:16:15.120 --> 0:16:17.880 You need to be able to use it in your work, 0:16:18.320 --> 0:16:19.800 you need to be able to use it in your 0:16:19.840 --> 0:16:22.520 personal life, because that's the age we live in. 0:16:22.720 --> 0:16:25.680 One of the first moves you made was a difficult move, admittedly, 0:16:26.040 --> 0:16:28.920 in eliminating a lot of jobs at Verizons to the 0:16:28.920 --> 0:16:31.720 tune of thirteen thousand, you set up this fun twenty million, 0:16:33.000 --> 0:16:35.040 you questioned, you said, that's just kind of the tip 0:16:35.040 --> 0:16:37.280 of the iceberg. What are some early like what are 0:16:37.280 --> 0:16:40.800 some of the early takeaways from that and what a 0:16:40.920 --> 0:16:45.480 companies need to do to reskill workers who are affected 0:16:45.480 --> 0:16:47.920 by you know, whether they're in customer service or some 0:16:48.000 --> 0:16:49.880 other area that's affected by AI. 0:16:50.160 --> 0:16:53.800 Yeah. Well, first of all, we're training everybody inside the corporation. 0:16:54.600 --> 0:16:58.280 We do week long events now and that can be 0:16:58.320 --> 0:17:01.560 from some people have don't even know you know, the 0:17:01.640 --> 0:17:06.639 right prompts to go use and how to use basic chatbots, 0:17:08.160 --> 0:17:12.080 two being able to gin up agents. You know, we 0:17:12.160 --> 0:17:17.159 have a whole AI tech stack that we are now implementing, 0:17:17.240 --> 0:17:21.520 most of which will be done next month in July, 0:17:21.800 --> 0:17:24.879 all of it finished by November. But you just you 0:17:25.000 --> 0:17:27.639 have to move quickly. You have to train. You know, 0:17:27.680 --> 0:17:32.000 we have seven thousand people in this reskilling that have 0:17:32.080 --> 0:17:36.119 already applied for that. But as I mentioned, I think 0:17:37.040 --> 0:17:40.119 our responsibility is to work with government. I'm spending a 0:17:40.119 --> 0:17:44.280 lot of time down in DC to think about how 0:17:44.359 --> 0:17:50.280 we take our resources, maybe the resources of fortune five 0:17:50.359 --> 0:17:53.040 hundred as well. Think about it, if we're putting fifty 0:17:53.080 --> 0:17:56.520 to one hundred million into it and you multiply that 0:17:56.920 --> 0:18:00.439 by you know, my peer set, and then what government 0:18:00.480 --> 0:18:02.760 can do. You can have a lot of money going 0:18:02.800 --> 0:18:09.439 into thinking about reskilling, retraining, and how to really utilize 0:18:09.600 --> 0:18:17.280 AI as hopefully a force that kind of unleash the 0:18:17.320 --> 0:18:20.520 best parts of humanity, as opposed to a force that 0:18:21.119 --> 0:18:25.160 you know, could add a lot of stress into our democracy. 0:18:25.920 --> 0:18:28.840 Speaking of powerful tools briefly in our last few seconds, 0:18:28.880 --> 0:18:32.119 i'd like you were at a time recently joined They 0:18:32.119 --> 0:18:36.680 don't even know that recently joined project Project glass Wing. 0:18:38.840 --> 0:18:43.080 Given your background in cybersecurity, give us a sense of 0:18:43.800 --> 0:18:46.280 now that you've had a chance to get in there 0:18:46.280 --> 0:18:48.600 and test it, how powerful is it? 0:18:48.800 --> 0:18:49.399 What does it do? 0:18:49.760 --> 0:18:50.960 Should we be afraid of it? 0:18:55.600 --> 0:19:01.480 Well, you should always be concerned about cybersecurity. I mean 0:19:01.880 --> 0:19:06.800 it is existential. Everything we do is controlled by software. 0:19:07.200 --> 0:19:09.679 You know, the elevators you go in, the planes that 0:19:09.720 --> 0:19:16.240 you uh, you know, board, your financials, everything that. I 0:19:16.240 --> 0:19:17.800 don't know how much money you have in your pocket 0:19:17.880 --> 0:19:21.159 right now, but you know it's probably not a lot. 0:19:21.520 --> 0:19:25.720 And all of your wealth is digital in some ways, 0:19:25.800 --> 0:19:29.919 so I think, and you know, a consumer has their 0:19:29.960 --> 0:19:35.080 identity stolen every two seconds, so I think cyber is 0:19:35.280 --> 0:19:39.800 existential for us. Mythos, which we've been working with as 0:19:39.880 --> 0:19:43.440 part of the Glass Wing, is a tool that can 0:19:43.640 --> 0:19:48.880 identify a lot of elements that might not have been 0:19:49.240 --> 0:19:52.480 seen as critical, but when you link them together, they 0:19:52.600 --> 0:19:57.960 become a critical infrastructure. I think that needs to be repaired. 0:19:59.040 --> 0:20:03.400 Mythos is very pow powerful. It's enabling us to identify 0:20:04.119 --> 0:20:09.480 vulnerabilities but also fix them quite quickly as well. But 0:20:09.560 --> 0:20:13.240 it's also forcing us to think about, you know, how 0:20:13.600 --> 0:20:17.880 we ingest third party vendors into our network, and how 0:20:17.960 --> 0:20:22.879 we everything needs to be patchable remotely, like within the 0:20:22.920 --> 0:20:26.280 next couple of months eighty five percent of everything done 0:20:26.280 --> 0:20:30.040 in our network. Instead of taking multiple hours or days 0:20:30.080 --> 0:20:32.920 to figure out what's going on, it'll we will identify 0:20:32.960 --> 0:20:35.800 it in minutes, go right to the element, and fix 0:20:35.840 --> 0:20:38.120 it autonomously. Lightning Round. 0:20:38.359 --> 0:20:43.160 If the government continues to designate Anthropic a national security threat, 0:20:43.320 --> 0:20:47.240 given its concerns about how its tools are used in defense, 0:20:47.480 --> 0:20:49.600 how problematic is that for you as a company. 0:20:51.840 --> 0:20:57.880 We have access to it, So I would say Mythos 0:20:58.080 --> 0:21:01.560 at a headstart, but all of these models catch up 0:21:01.680 --> 0:21:04.840 very quickly. I think open Aiyes model around cyber is 0:21:05.040 --> 0:21:10.280 extremely powerful as well. And as I mentioned, you know 0:21:10.440 --> 0:21:14.080 every two to four months, you know, these models double 0:21:14.119 --> 0:21:18.040 in strength and capacity. So I think Mythos was a 0:21:18.080 --> 0:21:22.520 real good look at what the capabilities of these models 0:21:22.560 --> 0:21:27.680 can do in specific functional areas. And I'm glad because 0:21:27.720 --> 0:21:29.840 we do a lot for the critical infrastructure of the 0:21:29.960 --> 0:21:33.320 United States and Mythos is going to help us protect it.